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Average Home Values and Ownership in Zip Code 64156: A Decade of Growth and Resilience
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 64156, located in Kansas City, Missouri, has experienced significant growth and development over the past decade. This area has seen a consistent trend of high homeownership rates, averaging around 80%, along with steadily increasing average home prices and average rent prices.
The homeownership rate in zip code 64156 has remained relatively stable, fluctuating between 79% and 82% from 2013 to 2022. During this period, average home prices have shown a strong upward trend. In 2010, the average home price was $230,039, which increased to $425,416 by 2022, representing an impressive 84.9% growth over 12 years. This trend suggests a positive correlation between homeownership rates and rising home values. For instance, as average home prices rose from $320,207 in 2019 to $339,288 in 2020, the homeownership rate increased slightly from 82% to 81%.
Federal interest rates have played a significant role in homeownership trends. From 2010 to 2020, interest rates remained relatively low, ranging from 0.08% to 2.16%. This period coincided with the steady homeownership rates observed in zip code 64156. Low interest rates typically make mortgages more affordable, encouraging homeownership. For example, in 2020, when the federal interest rate dropped to 0.38% from 2.16% in 2019, the homeownership rate in the area remained high at 81%.
Renter percentages in zip code 64156 have remained relatively low, ranging from 17% to 21% between 2013 and 2022. Average rent prices have shown an overall increasing trend, albeit with some fluctuations. In 2013, the average rent was $1,086, which increased to $1,201 by 2022, representing a 10.6% increase over nine years. Notably, there was a significant spike in average rent in 2017, reaching $1,420, before declining to $1,230 in 2018. These rent price changes appear to have a slight inverse relationship with renter percentages, as the renter percentage dropped to 19% in 2017 when rent prices peaked, and then decreased further to 17% in 2018 as rent prices moderated.
In 2023 and 2024, average home prices in zip code 64156 continued their upward trajectory. The average home price reached $431,956 in 2023 and further increased to $438,931 in 2024. This represents a 1.6% year-over-year increase from 2023 to 2024. Concurrently, federal interest rates rose significantly, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates may impact future homeownership trends in the area.
Looking ahead, based on the historical data and current trends, we can project that average home prices in zip code 64156 will likely continue to rise over the next five years, albeit potentially at a slower rate due to higher interest rates. If the current trend persists, average home prices could potentially reach around $480,000 to $500,000 by 2029. Average rent prices are also expected to increase, possibly reaching $1,400 to $1,500 per month in the same timeframe, assuming consistent growth patterns and barring any major economic shifts.
In summary, zip code 64156 has maintained high homeownership rates despite significant increases in average home prices. The area has experienced substantial population growth, rising from 5,613 in 2010 to 11,104 in 2022, indicating strong demand for housing. The relationship between federal interest rates, homeownership rates, and housing prices suggests that while low interest rates have supported homeownership, the area's desirability has driven price increases. The rental market, although smaller, has also seen growth in both prices and demand. These trends point to a robust and dynamic real estate market in this Kansas City zip code.
