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Average Home Values and Ownership in Zip Code 16674: A Decade of Change in Broad Top City
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 16674, encompassing Broad Top City in Pennsylvania, presents an intriguing case study of housing market dynamics in a small, rural community. This area has experienced notable fluctuations in homeownership rates and housing prices over the past decade, reflecting broader economic trends and local factors.
The homeownership rate in zip code 16674 has shown a gradual decline from 2013 to 2022, with some fluctuations. In 2013, the area boasted a high 89% homeownership rate, which decreased to 79% by 2022. This trend coincides with variations in average home prices, though precise data for earlier years is limited. The most recent data shows that average home prices in the area reached $93,915 in 2022, indicating a relatively affordable housing market compared to many urban areas.
Federal interest rates have played a significant role in shaping homeownership trends. The period from 2013 to 2016 saw extremely low interest rates, hovering around 0.1% to 0.4%. Despite these favorable borrowing conditions, homeownership in the area still declined from 89% to 84%. This suggests that other local factors, such as employment opportunities or demographic shifts, may have influenced housing decisions more strongly than interest rates alone.
Renter percentages in zip code 16674 have correspondingly increased from 11% in 2013 to 21% in 2022. This rise in renters has been accompanied by a general upward trend in average rent prices. In 2013, the average rent was $757, which increased to $856 by 2022, representing a 13% increase over nine years. This trend occurred despite fluctuations in the local population, which peaked at 772 in 2014 and decreased to 626 by 2022, suggesting that rental demand remained robust even as the overall population declined.
In 2023 and 2024, we observe a significant shift in the housing market for zip code 16674. Average home prices decreased from $93,915 in 2022 to $84,555 in 2023, and further to $79,597 in 2024. This represents a 15.2% decline in average home prices over two years. Concurrently, federal interest rates rose sharply, reaching 5.02% in 2023 and 5.33% in 2024, marking the highest rates since 2007. These higher interest rates likely contributed to the cooling of home prices in the area.
Looking ahead, our predictive models suggest a potential stabilization in home prices for zip code 16674 over the next five years, with modest growth possible if economic conditions improve and interest rates moderate. Rent prices are projected to continue their gradual upward trend, potentially reaching an average of around $900-$950 by 2029, assuming consistent demand for rental properties in the area.
In summary, zip code 16674 has experienced a shift towards more renters and fewer homeowners over the past decade, with recent years showing a decline in average home prices amid rising interest rates. The area's housing market appears to be in a transitional phase, balancing affordability with changing economic conditions. The coming years will likely see a continued evolution of these trends, shaped by both local factors and broader economic forces.
