While homeownership increased, the percentage of renters in zip code 59937 decreased from 35% in 2013 to 25% in 2022. Despite this decline in the renter population, average rent prices showed an upward trend. The average rent rose from $954 in 2013 to $1,098 in 2022, an increase of about 15%. This increase in rent prices, coupled with the rising home values, may have contributed to the shift towards homeownership as residents sought to build equity rather than face increasing rental costs.

In 2023 and 2024, the housing market in zip code 59937 experienced some fluctuations. The average home price decreased slightly from $913,232 in 2022 to $864,269 in 2023, before rising again to $879,024 in 2024. This minor correction and subsequent increase occurred alongside a significant rise in federal interest rates, which jumped from 1.68% in 2022 to 5.02% in 2023 and further to 5.33% in 2024. These higher interest rates may impact future homeownership trends and housing affordability in the area.

Looking ahead, predictive models suggest that average home prices in zip code 59937 may continue to rise over the next five years, albeit at a more moderate pace than the rapid growth seen in the early 2020s. Average rent prices are also expected to increase, potentially driven by ongoing demand for housing in this desirable area. However, the rate of increase for both home prices and rents may be tempered by higher interest rates and overall economic conditions.

In summary, zip code 59937 has experienced a significant shift towards homeownership over the past decade, accompanied by substantial increases in both average home prices and rent costs. The interplay between low interest rates, rising property values, and changing rental markets has shaped these trends. As the area moves forward, the housing market is likely to continue evolving, with potential for further price appreciation balanced against economic factors and interest rate fluctuations.