Loading Content...
Average Home Values and Ownership in Zip Code 62522: A Decade of Dynamic Real Estate Trends in Decatur, Illinois
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 62522, located in Decatur, Illinois, has experienced significant changes in homeownership rates and housing prices over the past decade. From 2013 to 2022, the percentage of owner-occupied homes increased from 59% to 63%, while average home prices rose from $60,936 to $69,833.
The relationship between ownership percentage and average home prices in this zip code reveals an interesting pattern. As homeownership rates increased from 59% in 2013 to 65% in 2019, average home prices initially declined from $60,936 to $59,491. However, from 2019 to 2022, despite a slight decrease in homeownership to 63%, average home prices rose significantly to $69,833. This suggests that factors beyond ownership rates were influencing home values in the area.
Federal interest rates have played a role in homeownership trends in zip code 62522. The period from 2013 to 2016 saw consistently low interest rates below 0.5%, coinciding with an increase in homeownership from 59% to 62%. As interest rates began to rise from 2017 to 2019, reaching 2.16% in 2019, homeownership continued to climb to 65%. The sharp drop in interest rates in 2020 and 2021 (0.38% and 0.08% respectively) may have contributed to maintaining the relatively high homeownership rate of 63-64% during those years.
Renter percentages and average rent prices in zip code 62522 have shown some volatility. The percentage of renters decreased from 41% in 2013 to 35% in 2019, before slightly increasing to 37% by 2022. Average rent prices fluctuated during this period, starting at $748 in 2013, peaking at $796 in 2019, and then settling at $795 in 2022. The population decline from 15,511 in 2013 to 14,261 in 2022 may have influenced these rental market dynamics.
In 2023 and 2024, average home prices in zip code 62522 continued to rise, reaching $73,011 in 2023 and $78,281 in 2024. This represents a significant increase of 12.1% from 2022 to 2024. Concurrently, federal interest rates have also increased substantially, rising to 5.02% in 2023 and 5.33% in 2024. These higher interest rates may impact future homeownership rates and home price growth in the area.
Looking ahead, based on the trends observed, we can forecast potential 5-year trends for average home and rent prices in zip code 62522. Average home prices are likely to continue their upward trajectory, potentially reaching around $90,000 to $95,000 by 2029. However, the rate of increase may slow due to higher interest rates. Average rent prices may see more moderate growth, potentially reaching $850 to $900 per month in the next five years, influenced by the area's population dynamics and homeownership rates.
In summary, zip code 62522 has experienced an overall increase in homeownership rates and average home prices from 2013 to 2024, despite some fluctuations. The rental market has shown resilience with stable prices, even as the renter population decreased. The recent sharp rise in both home prices and interest rates will likely shape the housing market in this area over the coming years, potentially moderating price growth but maintaining a strong homeownership base.
