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Average Home Values and Ownership in Zip Code 67002: A Suburban Kansas Community's 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
In zip code 67002, Andover, Kansas, has experienced significant changes in homeownership rates, average home prices, and average rent prices over the past decade. This suburban area has shown a dynamic real estate market with interesting trends in both ownership and rental sectors.
The homeownership rate in Andover has fluctuated over the years, starting at 85% in 2013 and ending at 81% in 2022. During this period, average home prices have shown a consistent upward trend. In 2013, the average home price was $181,685, which steadily increased to $300,285 by 2022, representing a substantial 65% increase over nine years. This rise in home values coincided with periods of both increasing and decreasing homeownership rates, suggesting that other factors beyond just price were influencing ownership decisions.
Federal interest rates have played a significant role in shaping homeownership trends. From 2013 to 2016, when interest rates were extremely low (ranging from 0.11% to 0.40%), homeownership rates remained relatively stable at around 80-82%. As interest rates began to rise more significantly from 2017 (1.00%) to 2019 (2.16%), there was a noticeable decline in homeownership, dropping to 76% by 2019. This trend aligns with the general principle that higher interest rates can make mortgages less affordable, potentially discouraging homeownership.
Renter percentages and average rent prices in Andover have shown interesting correlations. In 2013, the renter-occupied rate was 13% with an average rent of $965. By 2022, the renter percentage had increased to 19%, while the average rent rose to $1,511, a 57% increase. The peak in renting was observed in 2020 and 2021, with 22% of housing units being renter-occupied. This coincided with a slight dip in average rent prices to $1,458 in 2020 and $1,389 in 2021, possibly reflecting market adjustments to increased rental supply or economic factors.
Looking at the most recent data, the average home price in Andover reached $310,789 in 2023 and further increased to $316,981 in 2024. This continued upward trajectory in home values occurs alongside a significant rise in federal interest rates, which stood at 5.02% in 2023 and 5.33% in 2024. These higher interest rates might impact future homeownership trends and affordability in the area.
Applying predictive models to forecast 5-year trends, we can expect average home prices in Andover to continue their upward trajectory, potentially reaching around $350,000-$375,000 by 2029. Average rent prices are also likely to increase, possibly reaching the $1,700-$1,800 range in the same timeframe, assuming current economic conditions and population growth trends continue.
In summary, Andover's real estate market in zip code 67002 has demonstrated robust growth in both home values and rental prices over the past decade. The interplay between homeownership rates, federal interest rates, and housing costs reveals a complex market dynamic. While homeownership has slightly decreased from its peak, it remains high at 81%. The consistent rise in both home prices and rents, coupled with recent interest rate increases, suggests a strong demand for housing in this area, likely driven by factors such as population growth and economic development.
