Loading Content...
Average Home Values and Ownership in Zip Code 61063: Pecatonica's Resilient Housing Market
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Zip code 61063, located in Pecatonica, Illinois, has experienced significant changes in homeownership rates and housing prices over the past decade. This area, covering 81.5 square miles, has seen a notable shift towards increased homeownership and rising average home prices, while also experiencing fluctuations in average rent prices.
The trend of homeownership in zip code 61063 has shown a strong upward trajectory, particularly in recent years. In 2013, the homeownership rate was 84%, which increased to 89% by 2022. This rise in homeownership coincided with a steady increase in average home prices. In 2013, the average home price was $92,905, which rose to $171,388 by 2022, representing an impressive 84.5% increase over nine years.
The relationship between federal interest rates and homeownership rates in this area is notable. As interest rates remained low from 2013 to 2021, ranging from 0.08% to 1.83%, homeownership rates increased from 84% to 90%. This trend aligns with the general principle that lower interest rates make homeownership more accessible due to reduced borrowing costs.
Conversely, the percentage of renters in zip code 61063 has decreased over time, from 16% in 2013 to 11% in 2022. Despite this decline in the renter population, average rent prices have shown an upward trend. In 2013, the average rent was $873, which increased to $1,150 by 2022, representing a 31.7% increase. This rise in rent prices, coupled with a decreasing renter population, suggests a potential shortage of rental properties or an increase in the quality of available rentals.
Looking at the most recent data, the average home price in zip code 61063 reached $183,297 in 2023 and further increased to $195,606 in 2024. This represents a significant 14.2% increase from 2022 to 2024. Notably, federal interest rates also rose sharply during this period, reaching 5.02% in 2023 and 5.33% in 2024. Despite these higher interest rates, which typically discourage homebuying, the area has continued to see rising home prices, indicating strong demand for housing in this zip code.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 61063 will continue to rise, potentially reaching around $230,000 by 2029. This projection is based on the consistent upward trend observed over the past decade and the area's increasing attractiveness to homeowners. For average rent prices, we predict a more moderate increase, potentially reaching approximately $1,300 by 2029, assuming the current trend of rising rents and decreasing renter population continues.
In summary, zip code 61063 has demonstrated a strong shift towards homeownership, with significant increases in both homeownership rates and average home prices. The area has shown resilience in its housing market, with prices continuing to rise even in the face of increasing interest rates. The rental market, while shrinking in terms of population, has seen steady increases in average rent prices. These trends suggest a robust and evolving housing market in this Illinois zip code, with a clear preference for homeownership among its residents.
