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Average Home Values and Ownership in Zip Code 18074: Spring Mount's Resilient Housing Market
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 18074, located in Spring Mount, Pennsylvania, has experienced notable shifts in homeownership, average home prices, and average rent over the past decade. This area, characterized by its suburban setting, has shown resilience in its housing market despite fluctuations in population and economic factors.
The homeownership rate in zip code 18074 has remained relatively stable, with a slight increase from 83% in 2016 to 87% in 2022. This trend coincides with a significant rise in average home prices, which grew from $248,894 in 2016 to $379,496 in 2022, representing a 52.5% increase over six years. The steady homeownership rate despite rising prices suggests a strong local housing market and continued demand for property ownership in the area.
Federal interest rates have played a role in shaping homeownership trends in zip code 18074. The period from 2016 to 2020 saw relatively low interest rates, ranging from 0.4% to 2.16%, which likely contributed to the sustained high homeownership rates. The slight dip in homeownership to 84% in 2018 coincided with a rise in interest rates to 1.83%, but the market quickly rebounded as rates decreased again in subsequent years.
Renter percentages in zip code 18074 have shown a modest fluctuation, peaking at 16% in 2016-2018 before decreasing to 13% in 2022. Average rent prices have been volatile, with notable increases and decreases. For instance, average rent rose from $1,564 in 2013 to $1,682 in 2015, then experienced a significant drop to $1,326 in 2020, possibly due to the economic impact of the COVID-19 pandemic. By 2022, average rent had rebounded slightly to $1,329, still below pre-pandemic levels.
In 2023 and 2024, the housing market in zip code 18074 continued its upward trajectory. Average home prices reached $400,692 in 2023 and further increased to $419,188 in 2024, representing a 10.5% growth over two years. This price appreciation occurred despite a substantial rise in federal interest rates, which jumped to 5.02% in 2023 and 5.33% in 2024, potentially impacting affordability for some buyers.
Applying predictive models to forecast 5-year trends, we anticipate continued growth in average home prices for zip code 18074, albeit at a potentially slower rate due to higher interest rates. Average home prices could reach approximately $480,000 to $500,000 by 2029. Average rent prices are expected to stabilize and gradually increase, potentially reaching $1,500 to $1,600 per month within the same timeframe, assuming economic conditions remain stable and housing demand persists.
In summary, zip code 18074 has demonstrated a robust housing market with consistently high homeownership rates and significant appreciation in average home values. The area has weathered economic challenges, including interest rate fluctuations and the pandemic, while maintaining a strong preference for homeownership. As the market continues to evolve, the interplay between rising home prices, interest rates, and rental trends will shape the future of housing in this Pennsylvania community.
