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Carrollton, Illinois: Rising Home Values and Shifting Ownership Patterns in a Historic Agricultural Community
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Carrollton, a small city in Illinois, has experienced notable shifts in its housing market over the past decade. This charming Midwestern community, with its rich history dating back to the early 19th century, has seen fluctuations in homeownership rates and property values that reflect broader economic trends.
The homeownership rate in Carrollton has shown a gradual decline from 2013 to 2022. In 2013, 76% of residents owned their homes, but by 2022, this figure had dropped to 68%. This decline coincided with a steady increase in average home prices. In 2012, the average home price was $82,304, rising to $106,565 by 2022, representing a 29.5% increase over a decade.
The relationship between federal interest rates and homeownership rates in Carrollton follows a generally inverse pattern. As interest rates remained low from 2013 to 2020, hovering around 0.1% to 0.4%, homeownership rates stayed relatively stable, ranging from 72% to 77%. However, as interest rates began to rise more sharply in 2022 to 1.68%, the homeownership rate dropped to its lowest point of 68%, suggesting that higher borrowing costs may have deterred potential buyers.
Renter percentages in Carrollton have shown an upward trend, increasing from 24% in 2013 to 32% in 2022. This rise in renters coincided with fluctuations in average rent prices. The average rent peaked at $792 in 2016 before declining to $661 in 2021, then rising again to $722 in 2022. The increase in renters despite variable rent prices may indicate a shift in housing preferences or affordability challenges for potential homebuyers.
In 2023 and 2024, Carrollton's housing market continued to evolve. The average home price rose to $116,065 in 2023 and further increased to $123,029 in 2024, marking a 15.5% increase from 2022 to 2024. This surge occurred alongside a significant jump in federal interest rates, which reached 5.02% in 2023 and 5.33% in 2024, potentially impacting affordability for prospective homebuyers.
Looking ahead, predictive models suggest that average home prices in Carrollton may continue to rise over the next five years, potentially reaching around $140,000 by 2029. Average rent prices are also expected to increase, possibly surpassing $800 per month within the same timeframe. These projections assume a continuation of current economic conditions and housing market trends.
In summary, Carrollton has experienced a gradual shift towards renting, with homeownership rates declining as property values increased. The interplay between interest rates, home prices, and rental trends reflects a dynamic housing market responding to broader economic factors. As the city moves forward, these trends will likely continue to shape the residential landscape of this historic Illinois community.
