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Average Home Values and Ownership in Zip Code 44824: A Decade of Change 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 44824, located in Castalia, Ohio, presents an intriguing demographic and real estate landscape. This area has experienced notable fluctuations in homeownership rates and housing prices over the past decade. The overall trend shows a slight decrease in homeownership, coupled with a significant increase in average home prices and average rent costs.
The homeownership rate in zip code 44824 has shown a gradual decline from 2013 to 2022. In 2013, the area boasted an 82% homeownership rate. This figure peaked at 89% in 2016 but has since decreased to 81% in 2022. Interestingly, this decline in homeownership coincides with a substantial increase in average home prices. The average home price in 2013 was $125,818, which steadily rose to $206,733 by 2022, representing a 64% increase over this period. This inverse relationship suggests that rising home prices may have made homeownership less attainable for some residents.
Federal interest rates have played a significant role in shaping homeownership trends in zip code 44824. The period from 2013 to 2016, when homeownership rates were at their highest (reaching 89% in 2016), coincided with historically low interest rates, ranging from 0.11% to 0.40%. These low rates likely made mortgages more affordable, encouraging homeownership. However, as interest rates began to rise more sharply from 2017 onwards, reaching 1.68% in 2022, we observe a corresponding decline in homeownership rates.
The rental market in zip code 44824 has shown interesting trends as well. The percentage of renters increased from 18% in 2013 to 19% in 2022, with fluctuations in between. Notably, the average rent price has seen significant volatility. In 2013, the average rent was $741, which decreased to $589 in 2016 before rising again to $763 in 2022. This represents a modest 3% increase in average rent over the decade, despite the more substantial increase in home prices.
Looking at the most recent data, the average home price in zip code 44824 reached $221,149 in 2023 and further increased to $229,165 in 2024. This represents a 10.8% increase from 2022 to 2024. Concurrently, federal interest rates have risen dramatically, reaching 5.02% in 2023 and 5.33% in 2024. These high interest rates, combined with rising home prices, may present challenges for potential homebuyers in the area.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 44824 will continue to rise, potentially reaching around $275,000 by 2029. This projection is based on the consistent upward trend observed over the past decade. For average rent prices, we predict a more moderate increase, potentially reaching approximately $850 by 2029, assuming the trend of gradual rent increases continues.
In summary, zip code 44824 has experienced a slight decrease in homeownership rates despite significant increases in average home prices. The rental market has shown more stability in terms of occupancy rates, with modest increases in average rent prices. The recent sharp rise in both home prices and interest rates suggests that the real estate market in this area may face challenges in terms of affordability and accessibility for potential homebuyers in the near future.
