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Average Home Values and Ownership in Zip Code 43407: A Decade of Growth in Rural Ohio
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 43407, located in Burgoon, Ohio, has experienced significant fluctuations in population and housing dynamics over the past decade. This small community, covering 13.98 square miles, has seen notable shifts in homeownership rates and property values, reflecting broader economic trends and local market conditions.
The homeownership rate in zip code 43407 has remained relatively high, with some variations over the years. In 2013, the homeownership rate stood at 88%, and it peaked at 94% in 2016. Since then, there has been a slight decline, with the rate settling at 88% in 2022. This high rate of homeownership suggests a stable, long-term resident population in the area. Concurrent with these ownership trends, average home prices in the zip code have shown a steady increase. From 2013 to 2022, average home prices rose from $112,519 to $181,336, representing a substantial 61% increase over this period.
The relationship between federal interest rates and homeownership rates in this zip code shows some interesting patterns. During periods of lower interest rates, such as 2013-2016 when rates were below 0.5%, homeownership rates in the area reached their peak. This aligns with the general trend of lower interest rates encouraging homeownership due to more affordable financing options. However, the area maintained high homeownership rates even as interest rates began to rise from 2017 onwards, suggesting other factors contributing to the strong ownership culture in this community.
Renter percentages in zip code 43407 have remained relatively low, complementing the high homeownership rates. The renter-occupied housing percentage fluctuated between 6% and 14% from 2013 to 2022. Average rent prices in the area have shown some volatility. In 2013, the average rent was $670, which increased to $724 in 2014 before declining to $575 in 2016 and 2017. By 2022, the average rent had risen slightly to $625. These fluctuations in rent prices, coupled with the low renter percentages, suggest a limited rental market in the area.
Moving to more recent data, in 2023, the average home price in zip code 43407 reached $193,204, continuing the upward trend observed in previous years. This represents a 6.5% increase from 2022. For 2024, the average home price has further increased to $204,939, marking a 6.1% rise from 2023. Notably, federal interest rates have also seen significant increases, rising to 5.02% in 2023 and 5.33% in 2024. These higher interest rates may impact future homebuying activity and property values in the area.
Looking ahead, based on the observed trends and current economic conditions, we can project potential scenarios for the next five years. Average home prices in zip code 43407 are likely to continue their upward trajectory, albeit potentially at a more moderate pace due to higher interest rates. A conservative estimate might see average home prices reaching around $240,000 to $250,000 by 2029. Rent prices, which have shown less consistent growth, may see modest increases, potentially reaching an average of $700 to $750 per month by 2029. However, these projections are subject to various economic factors and local market conditions.
In summary, zip code 43407 demonstrates a strong homeownership culture with steadily increasing property values. The area has maintained high homeownership rates despite recent increases in interest rates, indicating a resilient local housing market. While the rental market remains small, it has shown some stability in recent years. The continued rise in home prices, coupled with higher interest rates, may present both opportunities and challenges for this community in the coming years.
