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Average Home Values and Ownership in Zip Code 62067: Bethalto's Real Estate Trends
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 62067, located in Bethalto, Illinois, has experienced notable shifts in homeownership rates and housing prices over the past decade. This area has seen fluctuations in its population, with 3,984 residents recorded in 2022, and has demonstrated interesting trends in both ownership percentages and average home and rent prices.
The ownership percentage in zip code 62067 has shown a general upward trend, particularly in recent years. In 2013, the homeownership rate was 84%, which decreased to 77% in 2017. However, there was a significant rebound, reaching 89% in 2020, before settling at 84% in 2022. This trend coincides with changes in average home prices. The average home price in 2013 was $128,076, which steadily increased to $195,863 by 2022, representing a 53% increase over this period. The most substantial yearly increase occurred between 2020 and 2021, with average home prices jumping from $161,208 to $178,894, a 10.9% rise in a single year.
Federal interest rates have played a crucial role in shaping homeownership trends in this zip code. The period from 2013 to 2020 saw historically low interest rates, ranging from 0.09% to 0.38%. This low-interest environment likely contributed to the increase in homeownership rates, as it made mortgages more affordable for potential buyers. The sharp rise in homeownership from 79% in 2018 to 89% in 2020 coincides with interest rates dropping from 1.83% in 2018 to 0.38% in 2020.
Renter percentages in zip code 62067 have fluctuated inversely to homeownership rates. The renter-occupied percentage increased from 16% in 2013 to a peak of 22% in 2017, before decreasing to 11% in 2020 and then rising slightly to 16% in 2022. Interestingly, average rent prices have shown significant volatility. From 2013 to 2018, average rent remained relatively stable, ranging from $657 to $706. However, there was a dramatic increase in 2019, with average rent more than doubling to $1,424. This high level of rent persisted, reaching $1,586 in 2021 before slightly decreasing to $1,390 in 2022. This substantial increase in rent prices, particularly from 2018 to 2019, may have contributed to the shift towards higher homeownership rates in subsequent years.
In 2023 and 2024, the housing market in zip code 62067 continued to evolve. The average home price rose to $206,757 in 2023 and further increased to $215,092 in 2024, representing a 9.8% increase over these two years. This growth occurred despite a significant rise in federal interest rates, which reached 5.02% in 2023 and 5.33% in 2024. These higher interest rates typically make mortgages more expensive, yet the housing market in this area has shown resilience with continued price appreciation.
Looking ahead, based on the trends observed, we can project that average home prices in zip code 62067 are likely to continue their upward trajectory, albeit potentially at a slower pace due to higher interest rates. Over the next five years, average home prices could reach approximately $240,000 to $250,000. Average rent prices, which have shown volatility, may stabilize around $1,500 to $1,600 per month, assuming no major economic disruptions.
In summary, zip code 62067 has demonstrated a strong trend towards homeownership, particularly in recent years, despite rising home prices. The area has weathered significant changes in both the ownership landscape and housing costs, with homeownership rates rebounding strongly and housing prices showing consistent growth. The interplay between federal interest rates, homeownership rates, and housing prices highlights the complex dynamics at work in this local real estate market.
