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Black Mountain: Resilient Home Values Amid Shifting Market Dynamics
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Black Mountain, a neighborhood in Henderson, Nevada, has experienced significant changes in its housing market over the past decade. This area has shown a trend of increasing average home prices while maintaining relatively stable homeownership rates. From 2013 to 2022, the percentage of owner-occupied homes in Black Mountain fluctuated between 62% and 69%, with the lowest ownership rate observed in 2018 and 2019 at 62%, and the highest recorded in 2020 at 69%. During this same period, average home prices demonstrated a consistent upward trend, rising from $151,480 in 2013 to $434,484 in 2022, representing a substantial 186% increase over nine years.
The relationship between federal interest rates and homeownership rates in Black Mountain shows some correlation. When interest rates were at historic lows between 2020 and 2021 (0.38% and 0.08% respectively), homeownership rates in the neighborhood reached their peak at 69% in 2020. This aligns with the general trend of lower interest rates encouraging homeownership due to more affordable financing options. Renter percentages in Black Mountain have shown a slight inverse relationship to ownership rates, ranging from 31% to 38% between 2013 and 2022. The highest percentage of renters was observed in 2018 at 38%, coinciding with the lowest ownership rate. Average rent prices have generally increased over time, albeit with some fluctuations. In 2013, the average rent was $1,174, which rose to $1,195 by 2022, representing a modest 1.8% increase over nine years. However, there was a significant spike in average rent to $1,419 in 2021, before decreasing in 2022.
In 2023, the average home price in Black Mountain was $417,733, showing a slight decrease from the 2022 peak. This trend continued into 2024, with average home prices rising slightly to $432,048. These changes occurred against a backdrop of rising federal interest rates, which reached 5.02% in 2023 and 5.33% in 2024. This suggests that despite higher borrowing costs, the local housing market has remained relatively resilient.
Looking ahead, based on historical trends and current market conditions, it's projected that average home prices in Black Mountain may continue to experience moderate growth over the next five years. However, the rate of increase is likely to be more tempered compared to the rapid appreciation seen in the early 2020s. Average rent prices are also expected to show a gradual upward trend, potentially stabilizing around the $1,300 to $1,400 range by 2029.
In summary, Black Mountain has demonstrated a robust housing market with steadily increasing property values over the past decade. While homeownership rates have remained relatively stable, there have been notable fluctuations in both ownership and rental percentages. The neighborhood has shown resilience in the face of changing economic conditions, including shifts in interest rates. As we move forward, moderate growth in both home prices and rent is anticipated, reflecting the area's continued desirability and economic stability.
