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Beverly, Chicago: Rising Home Values Amidst Stable Ownership in a Historic Neighborhood
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Beverly, a neighborhood in Chicago, Illinois, is characterized by its strong community ties and historic architecture. This area has consistently maintained a high rate of homeownership over the years, with average home prices showing an overall upward trend and average rent prices experiencing some fluctuations. The homeownership rate in Beverly has remained relatively stable, with a slight increase from 82% in 2013 to 85% in 2022. During this period, average home prices have shown a significant upward trend. In 2013, the average home price was $271,324, which steadily increased to $413,744 by 2022, representing a 52.5% increase over nine years. This positive correlation between homeownership rates and average home prices suggests a strong and desirable housing market in Beverly.
Federal interest rates have played a role in homeownership trends in Beverly. From 2013 to 2016, when interest rates were at historic lows (0.11% to 0.40%), the homeownership rate remained stable at around 82-84%. As interest rates began to rise from 2017 (1%) to 2019 (2.16%), the homeownership rate held steady at 82%. Interestingly, despite the sharp drop in interest rates in 2020 and 2021 (0.38% and 0.08% respectively), homeownership rates actually increased slightly to 83% and 84%, possibly due to increased savings and a desire for more space during the pandemic.
The percentage of renters in Beverly has remained relatively low, fluctuating between 15% and 17% from 2013 to 2022. Average rent prices, however, have shown more volatility. In 2013, the average rent was $999, which increased to $1,086 by 2017, representing an 8.7% increase. There was a significant jump to $1,212 in 2019, followed by a slight decrease to $1,184 in 2020. By 2022, the average rent had reached $1,210, showing a 21.1% increase from 2013. These rent price fluctuations don't seem to have a strong correlation with the percentage of renters, suggesting other factors such as overall market conditions and housing supply may be influencing rent prices.
Looking at the most recent data, average home prices in Beverly reached $412,899 in 2023 and $416,265 in 2024, showing continued growth in the housing market. This growth has occurred despite the significant increase in federal interest rates, which rose to 5.02% in 2023 and 5.33% in 2024. These higher interest rates may impact future homebuying decisions and could potentially slow down the rate of home price appreciation.
Applying predictive models to forecast 5-year trends, we can expect average home prices in Beverly to continue their upward trajectory, albeit at a potentially slower pace due to higher interest rates. Average home prices could reach around $450,000 to $475,000 by 2029. Average rent prices are likely to continue their upward trend as well, potentially reaching $1,400 to $1,500 per month by 2029, assuming consistent economic conditions and housing demand in the area.
In summary, Beverly has maintained a strong homeownership market with steadily increasing average home prices over the past decade. The rental market, while smaller, has seen more fluctuation in prices. The neighborhood's ability to maintain high homeownership rates even during periods of rising interest rates suggests a robust and desirable housing market. However, the recent sharp increase in interest rates may pose challenges for future homebuyers and could impact the rate of home price appreciation in the coming years.
