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Average Home Values and Ownership in Zip Code 60133: A Decade of Housing Market Dynamics in Hanover Park, Illinois
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 60133, located in Hanover Park, Illinois, has experienced notable shifts in homeownership rates and housing prices over the past decade. This area has seen a general trend of decreasing homeownership and increasing average home and rent prices, reflecting broader economic changes and local market dynamics.
The homeownership rate in zip code 60133 has shown a gradual decline from 77% in 2013 to 73% in 2022. This trend coincides with a significant increase in average home prices, which rose from $123,796 in 2013 to $265,077 in 2022, representing a 114% increase over nine years. The inverse relationship between homeownership rates and average home prices suggests that rising property values may have made homeownership less accessible for some residents.
Federal interest rates have played a crucial role in shaping homeownership trends. The period from 2013 to 2016 saw historically low interest rates, hovering around 0.1-0.4%. During this time, homeownership rates remained relatively stable, only decreasing slightly from 77% to 73%. As interest rates began to rise more significantly from 2017 onwards, reaching 1.68% in 2022, the homeownership rate stabilized at 73%. This suggests that while low interest rates initially supported homeownership, other factors such as rapidly increasing home prices may have offset the benefits of affordable financing.
The percentage of renters in zip code 60133 increased from 22% in 2013 to 27% in 2022, mirroring the decline in homeownership. Average rent prices also saw an upward trend, rising from $1,420 in 2013 to $1,496 in 2022, an increase of 5.4% over nine years. The population of the area remained relatively stable during this period, with only minor fluctuations, suggesting that the increase in renters and rent prices was not primarily driven by population growth but rather by shifts in housing preferences or affordability constraints.
In 2023 and 2024, the housing market in zip code 60133 continued to evolve. The average home price reached $277,639 in 2023 and further increased to $295,419 in 2024, representing a 6.8% year-over-year growth. Concurrently, federal interest rates rose significantly to 5.02% in 2023 and 5.33% in 2024, potentially impacting homebuying decisions and affordability in the area.
Looking ahead, predictive models suggest that average home prices in zip code 60133 may continue to rise over the next five years, potentially reaching around $350,000 by 2029 if current trends persist. Average rent prices are also expected to increase, potentially surpassing $1,700 per month within the same timeframe. However, these projections are subject to various economic factors and market conditions.
In summary, zip code 60133 has experienced a gradual shift towards a higher proportion of renters, coupled with substantial increases in both average home prices and rent. The interplay between federal interest rates, local economic conditions, and housing market dynamics has contributed to these trends. As the area continues to evolve, balancing housing affordability with market growth will likely remain a key consideration for residents and policymakers alike.
