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Average Home Values and Ownership in Zip Code 15668: Suburban Charm Near Pittsburgh
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
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Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Zip code 15668, located in Murrysville, Pennsylvania, is a primarily residential area known for its suburban charm and strong community ties. Over the past decade, this zip code has experienced notable fluctuations in homeownership rates and housing prices, reflecting broader economic trends and local market dynamics.
The homeownership rate in zip code 15668 has remained consistently high, ranging from 87% to 91% between 2013 and 2022. This stability in homeownership coincides with a steady increase in average home prices. In 2013, the average home price was $188,939, and it rose consistently year over year, reaching $304,249 by 2022. This represents a significant 61% increase over the nine-year period. The correlation between high homeownership rates and rising home prices suggests a strong and desirable local real estate market.
Federal interest rates have played a crucial role in shaping homeownership trends in zip code 15668. From 2013 to 2016, when interest rates were historically low (ranging from 0.09% to 0.4%), homeownership rates remained stable at around 90%. As interest rates began to rise from 2017 (1%) to 2019 (2.16%), there was a slight dip in homeownership to 87% in 2019. However, when interest rates dropped again in 2020 (0.38%) and 2021 (0.08%), homeownership rebounded to 90% and 91% respectively. This pattern demonstrates how lower interest rates tend to encourage homeownership by making mortgages more affordable.
Renter percentages in zip code 15668 have fluctuated inversely to homeownership rates, ranging from 9% to 13% between 2013 and 2022. Interestingly, average rent prices have shown a general upward trend during this period, despite these fluctuations. In 2013, the average rent was $740, which increased to $1,260 by 2018, representing a substantial 70% increase. However, rent prices stabilized somewhat after 2018, with the average rent in 2022 being $1,220. This trend suggests that even with relatively low renter percentages, the demand for rental properties has remained strong enough to support rising rent prices.
In 2023, the average home price in zip code 15668 reached $321,082, continuing the upward trend observed in previous years. This represents a 5.5% increase from 2022. The federal interest rate for 2023 was 5.02%, significantly higher than in recent years. Moving into 2024, the average home price has further increased to $341,733, marking a 6.4% rise from 2023. The federal interest rate for 2024 stands at 5.33%, slightly higher than the previous year. These figures indicate a resilient housing market in the area, with home prices continuing to appreciate despite higher interest rates.
Looking ahead, predictive models suggest that average home prices in zip code 15668 are likely to continue their upward trajectory over the next five years, albeit at a potentially slower pace due to higher interest rates. Average rent prices are also expected to increase, but more moderately, as the area maintains its high homeownership rate. The strong correlation between low rental percentages and rising rent prices is likely to persist, indicating ongoing demand for the limited rental inventory in the area.
In summary, zip code 15668 demonstrates a robust and stable housing market characterized by high homeownership rates and steadily increasing property values. The inverse relationship between homeownership and federal interest rates highlights the impact of broader economic factors on local real estate dynamics. Despite the area's preference for homeownership, the rental market has shown resilience with consistently rising average rents, pointing to a balanced and diverse housing ecosystem in this Pennsylvania suburb.
