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Average Home Values and Ownership in Zip Code 63301: A Decade of Growth in St. Charles, Missouri
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 63301, encompassing St. Charles, Missouri, has experienced significant changes in its housing market over the past decade. This area has seen a gradual increase in homeownership rates, coupled with substantial growth in average home prices and rent costs.
The homeownership rate in zip code 63301 has shown a steady upward trend, increasing from 64% in 2014 to 68% in 2022. This rise in homeownership coincides with a significant increase in average home prices. In 2014, the average home price was $162,390, which grew to $276,730 by 2022, representing a 70.4% increase over eight years. This trend suggests a strong correlation between rising property values and increasing homeownership rates, possibly indicating growing confidence in the local real estate market.
Federal interest rates have played a significant role in homeownership trends. From 2014 to 2016, when interest rates were extremely low (0.09% to 0.4%), homeownership remained stable at 64-65%. As interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), homeownership actually increased from 65% to 67%. This counterintuitive trend might be attributed to buyers rushing to purchase homes before rates climbed further, or to other local economic factors outweighing the impact of interest rates.
Renter occupancy in zip code 63301 has conversely decreased from 36% in 2014 to 32% in 2022. Despite this decline, average rent prices have shown an overall upward trend. In 2014, the average rent was $1,002, which increased to $1,062 by 2022, a 6% rise. The most significant jump occurred between 2020 and 2021, when average rent increased from $1,070 to $1,155, a 7.9% increase in just one year. This surge could be attributed to various factors, including increased demand for rental properties or improvements in the quality of available rentals.
In 2023, the average home price in zip code 63301 reached $289,728, a 4.7% increase from 2022, while federal interest rates rose sharply to 5.02%. As of 2024, the average home price has further increased to $298,331, with interest rates at 5.33%. These figures indicate a continuing upward trend in home values despite higher borrowing costs, suggesting strong demand and resilience in the local housing market.
Looking ahead, predictive models suggest that average home prices in zip code 63301 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, driven by ongoing demand for rental properties and the overall appreciation of real estate in the area.
In summary, zip code 63301 has demonstrated a robust housing market characterized by increasing homeownership rates, rising average home prices, and steadily growing average rent costs. The area has shown resilience in the face of fluctuating interest rates, with property values continuing to appreciate even as borrowing costs have increased. These trends point to a strong local economy and sustained demand for both owned and rented housing in St. Charles, Missouri.
