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Average Home Values and Ownership in Zip Code 39556: A Decade of Stability and Growth in Kiln, Mississippi
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 39556, located in Kiln, Mississippi, has shown interesting demographic and housing trends over the past decade. This area has experienced fluctuations in homeownership rates and significant changes in average home and rent prices, reflecting the dynamic nature of its real estate market.
The homeownership rate in zip code 39556 has remained relatively stable, with a slight increase from 83% in 2013 to 89% in 2022. During this period, average home prices have shown a consistent upward trend. In 2012, the average home price was $121,798, which steadily increased to $234,546 by 2022, representing a substantial 92.6% growth over a decade. This trend suggests a strong correlation between rising home values and sustained high homeownership rates in the area.
Federal interest rates have played a significant role in shaping homeownership trends. From 2013 to 2016, when interest rates were exceptionally low (ranging from 0.11% to 0.40%), homeownership in the zip code increased from 83% to 89%. This aligns with the general trend of lower interest rates encouraging homeownership due to more affordable financing options. However, the area maintained its high homeownership rate even as interest rates began to rise in subsequent years, indicating other factors contributing to the strong ownership culture in this zip code.
Renter percentages in zip code 39556 have shown a slight decrease, from 16% in 2013 to 11% in 2022. Interestingly, average rent prices have fluctuated significantly during this period. In 2013, the average rent was $1,124, which remained relatively stable until 2015. However, there was a sharp decline to $688 in 2017, followed by an increase to $1,060 in 2019. By 2022, the average rent had settled at $921. These fluctuations in rent prices, coupled with the decreasing renter percentage, suggest a complex rental market influenced by factors such as housing supply, local economic conditions, and possibly a preference for homeownership in the area.
In 2023 and 2024, the zip code experienced some notable changes. The average home price in 2023 was $221,405, showing a slight decrease from the 2022 peak. However, in 2024, prices rebounded to $229,765. This coincides with a significant increase in federal interest rates, which rose to 5.02% in 2023 and further to 5.33% in 2024. Despite these higher interest rates, the area's housing market appears to remain robust.
Looking ahead, predictive models suggest that average home prices in zip code 39556 may continue to rise moderately over the next five years, albeit at a slower pace than the previous decade. This forecast is based on the historical trend of steady appreciation and the area's consistent high homeownership rate. For rent prices, the model predicts a potential stabilization or slight increase, considering the historical volatility and the current balance between supply and demand in the rental market.
In summary, zip code 39556 demonstrates a strong preference for homeownership, with average home prices showing significant appreciation over the past decade. The area has maintained high homeownership rates despite fluctuations in federal interest rates and average rent prices. The resilience of the housing market in this zip code, even in the face of recent interest rate hikes, suggests a robust local real estate environment with potential for continued growth in the coming years.
