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Avon Lake, Ohio: Rising Home Values and Ownership in a Lakeside Community
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
Avon Lake, Ohio, a vibrant city on Lake Erie's shores, is known for its beautiful parks and high-quality schools. Over the past decade, this suburban community has experienced steady growth in both population and homeownership, with a notable increase in average home prices and fluctuating average rent prices. The homeownership rate in Avon Lake has shown a consistent upward trend, rising from 80% in 2013 to 83% in 2022. This increase in homeownership coincides with a significant rise in average home prices. In 2013, the average home price was $206,829, which steadily increased to $358,345 by 2022, representing a 73.3% increase over nine years. This trend suggests a strong correlation between rising home values and the growing desire for homeownership in the city.
Federal interest rates have played a crucial role in shaping homeownership trends in Avon Lake. From 2013 to 2016, interest rates remained historically low, ranging from 0.11% to 0.40%. During this period, homeownership rates held steady at 80%, likely due to favorable borrowing conditions. As interest rates began to rise more significantly from 2017 (1.00%) to 2019 (2.16%), homeownership rates actually increased to 81-82%, possibly indicating strong local economic factors outweighing the impact of higher borrowing costs.
The renter population in Avon Lake has fluctuated slightly over the years, with the percentage of renters decreasing from 19% in 2013 to 17% in 2022. Interestingly, average rent prices have shown considerable volatility. In 2013, the average rent was $1,199, peaking at $1,596 in 2017 before declining to $1,329 in 2022. This fluctuation in rent prices, coupled with the decreasing percentage of renters, suggests that rising home values may have made homeownership a more attractive option for some residents.
In 2023 and 2024, Avon Lake continued to see growth in average home prices, reaching $372,893 in 2023 and $382,925 in 2024. This represents a 4.1% increase from 2022 to 2023 and a further 2.7% increase from 2023 to 2024. Notably, federal interest rates rose significantly to 5.02% in 2023 and 5.33% in 2024, which could potentially impact future homeownership trends.
Looking ahead, based on historical trends and current market conditions, we can project that average home prices in Avon Lake may continue to rise over the next five years, albeit at a potentially slower rate due to higher interest rates. A conservative estimate might see average home prices reaching approximately $425,000 by 2029. Average rent prices, which have been more volatile, could stabilize or see modest increases, potentially reaching around $1,500 by 2029, assuming continued population growth and demand for rental properties.
In summary, Avon Lake has demonstrated a strong housing market with increasing homeownership rates and rising average home prices over the past decade. The city has maintained a high percentage of owner-occupied homes despite fluctuations in federal interest rates and average rent prices. The recent sharp increase in interest rates may influence future homeownership trends, but the consistent growth in population and home values suggests a continued robust housing market in Avon Lake for the foreseeable future.
