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Broomfield's Rising Home Values and Stable Ownership Rates: A Decade of Growth
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
Broomfield, Colorado, a thriving community in the Denver-Boulder metropolitan area, has experienced significant growth and development in recent years. Known for its excellent quality of life and strong job market, Broomfield has seen a general trend of increasing average home prices and rent prices, while homeownership rates have remained relatively stable with some fluctuations.
From 2015 to 2022, Broomfield's homeownership rate fluctuated between 63% and 67%. During this period, average home prices rose steadily from $358,039 in 2015 to $663,730 in 2022, representing an impressive 85% increase. This substantial growth in average home prices did not significantly impact homeownership rates, suggesting a resilient local economy and strong demand for housing in the area. For instance, in 2015, when the homeownership rate was 66% and the average home price was $358,039, the rate remained at 63% in 2022 despite the average home price reaching $663,730.
Federal interest rates have played a role in homeownership trends in Broomfield. From 2015 to 2020, interest rates remained relatively low, ranging from 0.13% to 2.16%. During this period, homeownership rates in Broomfield remained stable, fluctuating between 63% and 67%. The low interest rates likely contributed to maintaining homeownership levels by making mortgages more affordable for potential buyers, even as home prices increased.
Renter percentages in Broomfield have shown a slight inverse relationship with homeownership rates, ranging from 33% to 37% between 2015 and 2022. Average rent prices have steadily increased during this period, rising from $1,413 in 2015 to $1,952 in 2022, a 38% increase. This growth in average rent prices has been less dramatic than the increase in average home prices. The city's population has also grown during this time, from 65,065 in 2015 to 76,121 in 2022, which may have contributed to the upward pressure on both home prices and rent prices.
In 2023, the average home price in Broomfield decreased slightly to $648,841, representing a 2.2% decline from 2022. However, in 2024, the average home price has rebounded to $655,602, showing a 1% increase from 2023. Interestingly, federal interest rates have risen significantly in recent years, reaching 5.02% in 2023 and 5.33% in 2024. Despite these higher interest rates, the housing market in Broomfield appears to remain robust.
Looking ahead, based on the historical trends and current market conditions, it is projected that average home prices in Broomfield will continue to increase moderately over the next five years. The average home price is expected to reach approximately $725,000 by 2029. Average rent prices are also anticipated to rise, potentially reaching around $2,300 per month in the same timeframe. These projections assume continued population growth and economic stability in the region.
In summary, Broomfield has demonstrated a resilient housing market with steadily increasing average home and rent prices over the past decade. Despite significant growth in home values, homeownership rates have remained relatively stable, indicating a strong local economy and sustained demand for housing. The recent rise in interest rates has not yet significantly impacted the housing market, but its long-term effects remain to be seen. As Broomfield continues to grow and develop, it is likely to remain an attractive destination for both homeowners and renters in the coming years.
