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Average Home Values and Ownership in Zip Code 63141: A Decade of Rising Costs and Shifting 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 63141, encompassing Creve Coeur in Missouri, has witnessed significant changes in homeownership rates and property values over the past decade. This suburban area, known for its mix of residential and commercial development, reflects broader economic trends and local market dynamics in its housing landscape.
From 2013 to 2022, zip code 63141 experienced a gradual decline in homeownership rates, dropping from 76% to 72%. Concurrently, average home prices in the area saw a substantial increase, rising from $358,507 in 2013 to $552,666 in 2022, marking a 54% increase over nine years. This inverse relationship between homeownership rates and average home prices suggests that rising property values may have made homeownership less attainable for some residents.
Federal interest rates have played a crucial role in shaping homeownership trends in zip code 63141. From 2013 to 2016, interest rates remained historically low, ranging from 0.1% to 0.4%, and homeownership rates remained relatively stable at around 77%. However, as interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, homeownership rates started to decline. This trend aligns with the general principle that higher interest rates can make mortgages more expensive, potentially discouraging homeownership.
Rental trends in zip code 63141 have shown a corresponding increase as homeownership rates declined. The percentage of renters rose from 24% in 2013 to 28% in 2022. Average rent prices also increased during this period, albeit with some fluctuations. In 2013, the average rent was $1,179, and by 2022, it had risen to $1,383, an increase of about 17%. The population of the zip code remained relatively stable during this period, ranging from 21,432 in 2013 to 21,494 in 2022, suggesting that changes in rental demand were more likely driven by shifts from homeownership to renting rather than significant population growth.
In 2023 and 2024, the housing market in zip code 63141 continued to evolve. The average home price in 2023 reached $577,020, a further increase from 2022. By 2024, it had risen to $596,210, showing continued appreciation in property values. Notably, federal interest rates also increased significantly during this period, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates may have implications for future homeownership trends and property values in the area.
Looking ahead, based on historical trends and current market conditions, we can project potential scenarios for the next five years. Average home prices in zip code 63141 may continue to appreciate, potentially reaching around $650,000 to $700,000 by 2029. However, the rate of increase might slow down due to higher interest rates. Average rent prices could also continue to rise, possibly reaching $1,600 to $1,800 per month by 2029, driven by increased demand for rental properties as homeownership becomes more challenging.
In summary, zip code 63141 has experienced a gradual shift towards renting, with declining homeownership rates despite rising property values. The interplay between federal interest rates, average home prices, and rental demand has shaped these trends. As the area moves forward, it's likely to see continued appreciation in both home values and rent prices, though the pace may be influenced by broader economic factors and local market dynamics.
