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Average Home Values and Ownership in Zip Code 59910: Big Arm'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 59910, located in Big Arm, Montana, presents an intriguing case study of housing trends in a small, rural community. This area has experienced significant fluctuations in homeownership rates and property values over the past decade, with a general trend towards increased average home prices and a slight decrease in homeownership rates.
The percentage of owner-occupied homes in zip code 59910 has shown some variability, starting at 82% in 2013 and reaching a peak of 93% in 2018 before settling at 82% in 2022. This trend has occurred alongside a substantial increase in average home prices. In 2013, the average home price was $432,509, and by 2022, it had surged to $872,949, representing a remarkable 101.8% increase over nine years.
The relationship between federal interest rates and homeownership rates in this zip code is not as straightforward as one might expect. Despite historically low interest rates from 2013 to 2021 (ranging from 0.08% to 1.83%), homeownership rates fluctuated rather than consistently increasing. This suggests that other local factors may have a stronger influence on homeownership in this area than national interest rates.
Renter percentages in zip code 59910 have generally remained low, ranging from 7% to 18% between 2013 and 2022. Average rent prices have shown considerable volatility, starting at $833 in 2013, peaking at $1,906 in 2021, and then sharply declining to $765 in 2022. This extreme fluctuation in rent prices, particularly the 59.9% drop from 2021 to 2022, is unusual and may be influenced by the area's small population and limited rental inventory.
In 2023 and 2024, average home prices in zip code 59910 continued to rise, reaching $867,681 in 2023 and $944,408 in 2024. This represents a 8.8% increase from 2023 to 2024, despite federal interest rates climbing to 5.02% in 2023 and 5.33% in 2024. The continued appreciation in home values despite higher interest rates suggests strong demand for properties in this area.
Looking ahead, based on historical trends and current market conditions, we can forecast potential 5-year trends for average home and rent prices in zip code 59910. Average home prices are likely to continue their upward trajectory, potentially reaching around $1.2 million by 2029, assuming a conservative annual growth rate of 5%. Average rent prices, given their recent volatility, are more challenging to predict. However, if they stabilize and follow a modest growth pattern of 3% annually, they could potentially reach around $885 per month by 2029.
In summary, zip code 59910 has demonstrated a strong housing market with significantly increasing average home prices over the past decade. While homeownership rates have slightly declined from their peak, they remain high at 82%. The rental market, though small, has shown considerable volatility in pricing. The area's resilience in maintaining high property values, even in the face of rising interest rates, suggests a robust local real estate market with potential for continued growth in the coming years.
