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Average Home Values and Ownership in Zip Code 62445: Rural Illinois Village Experiences Significant Housing Market Shifts
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 62445, located in Montrose, Illinois, has experienced notable shifts in homeownership rates and property values over the past decade. This rural area has seen a significant increase in both homeownership percentages and average home prices, particularly in recent years.
The trend in homeownership rates in zip code 62445 shows a steady increase from 81% in 2017 to 88% in 2022. This rise in homeownership coincides with a substantial increase in average home prices. In 2013, the average home price was $82,772, which rose to $148,468 by 2022, representing a 79% increase over nine years. The most dramatic price increases occurred between 2019 and 2022, with average home prices jumping from $99,138 to $148,468, a 50% increase in just three years.
Federal interest rates have played a significant role in homeownership trends in zip code 62445. The period of historically low interest rates from 2013 to 2021, ranging from 0.08% to 0.14%, likely contributed to the increasing homeownership rates. As interest rates remained low, more residents were able to afford mortgages, driving up both homeownership rates and home prices.
Conversely, the percentage of renters in zip code 62445 has decreased from 19% in 2017 to 12% in 2022. Despite this decline in the renter population, average rent prices have shown an upward trend. In 2013, the average rent was $668, which increased to $699 by 2022, representing a 4.6% increase over nine years. Interestingly, the highest average rent of $700 was recorded in 2020, possibly due to the unique economic conditions of that year.
In 2023, the average home price in zip code 62445 reached $155,110, continuing the upward trend seen in previous years. This increase occurred despite a significant rise in federal interest rates to 5.02% in 2023. As of 2024, the average home price has further increased to $160,163, with federal interest rates rising slightly to 5.33%. This suggests that local market factors are driving home price appreciation even in the face of higher borrowing costs.
Looking ahead, predictive models suggest that average home prices in zip code 62445 are likely to continue their upward trajectory over the next five years, albeit at a potentially slower rate due to higher interest rates. Average rent prices are also expected to increase moderately, reflecting the area's growing property values and limited rental inventory.
In summary, zip code 62445 has experienced a significant shift towards homeownership, with a concurrent rise in average home prices. Despite higher interest rates, home values continue to appreciate, indicating strong local demand. The rental market, while shrinking, has seen modest price increases. These trends point to a robust and evolving real estate market in this rural Illinois community.
