Warsaw, a small city in Kentucky situated along the Ohio River, has experienced significant changes in its housing market over the past decade. The city's homeownership rate has remained relatively stable, fluctuating around 60% from 2013 to 2022. In 2013, the homeownership rate was 58%, which increased to 61% by 2019 and 2020, before slightly decreasing to 58% in 2022. During this period, average home prices in Warsaw have shown a consistent upward trend, rising from $100,165 in 2013 to $195,503 in 2022, representing a substantial 95% increase over nine years.

The relationship between federal interest rates and homeownership rates in Warsaw appears to follow the general trend where lower interest rates correspond with higher homeownership rates. For instance, when interest rates were at historic lows between 2013 and 2016 (ranging from 0.09% to 0.40%), homeownership rates in Warsaw remained relatively high, between 55% and 60%. As interest rates began to rise more significantly from 2017 onwards, reaching 1.68% in 2022, the homeownership rate showed slight fluctuations but generally remained stable around 60%.

Renter percentages in Warsaw have shown a slight increase over the years, from 39% in 2019 to 42% in 2022. This trend coincides with a significant rise in average rent prices. In 2013, the average rent was $337, which increased moderately to $383 by 2019. However, from 2020 to 2022, there was a sharp increase in average rent prices, jumping from $557 in 2020 to $830 in 2022, representing a 49% increase in just two years. This substantial rise in rent prices could be attributed to various factors, including increased housing demand and limited supply.