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Average Home Values and Ownership in Zip Code 62951: Johnston City's Decade of Change
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 62951, located in Johnston City, Illinois, has experienced notable shifts in homeownership rates and housing prices over the past decade. This area has seen a general trend of increasing homeownership and fluctuating average home and rent prices, reflecting the dynamic nature of its real estate market.
The ownership percentage in this zip code has shown a significant upward trend, rising from 72% in 2013 to 78% in 2022. This increase in homeownership coincided with fluctuations in average home prices. In 2013, the average home price was $58,172, which rose to $79,349 by 2022, representing a 36.4% increase over this period. Notably, there was a sharp increase in average home prices between 2020 and 2021, jumping from $69,683 to $76,430, a 9.7% rise in just one year.
Federal interest rates have played a crucial role in shaping homeownership trends in zip code 62951. 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 increasing homeownership rates observed during this time. As interest rates began to rise in 2022 to 1.68%, we still saw a high homeownership rate of 78%, suggesting a strong desire for homeownership in this area despite increasing borrowing costs.
Conversely, the renter percentage has decreased from 28% in 2013 to 22% in 2022. Despite this decline in the renter population, average rent prices have shown an overall upward trend. In 2013, the average rent was $578, which increased to $600 by 2022, a modest 3.8% rise. However, there were significant fluctuations within this period, with the average rent reaching a peak of $701 in 2014 before declining and then rising again.
Looking at the most recent data, the average home price in zip code 62951 continued to rise in 2023, reaching $83,142, and further increased to $83,729 in 2024. This represents a 5.5% increase from 2022 to 2024. Concurrently, federal interest rates have risen sharply, reaching 5.02% in 2023 and 5.33% in 2024, which may impact future homeownership rates and housing affordability in the area.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 62951 will continue to rise, albeit at a more moderate pace. The forecast suggests average home prices could reach approximately $90,000 by 2029. For rent prices, the model predicts a gradual increase, potentially reaching around $650 by 2029. However, these projections are subject to various economic factors and local market conditions.
In summary, zip code 62951 has demonstrated a strong trend towards homeownership, with increasing average home prices over the past decade. Despite rising interest rates, the area has maintained a high rate of owner-occupied housing. The rental market, while shrinking in terms of percentage, has seen modest increases in average rent prices. The coming years are likely to see continued growth in both home values and rent prices, reflecting the area's evolving real estate landscape.
