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Columbus, Mississippi: Resilient Housing Market Amidst Rising Home Values
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Columbus, Mississippi, is a vibrant city located in the eastern part of the state, known for its rich history and cultural heritage. Over the past decade, Columbus has experienced fluctuations in homeownership rates, average home prices, and average rent prices. The city has maintained a relatively stable homeownership rate, while both average home prices and average rent prices have shown an overall upward trend.
The homeownership rate in Columbus has remained relatively consistent, hovering around 56-58% from 2013 to 2022. During this period, average home prices have shown a general upward trend. In 2012, the average home price was $104,627, which increased to $157,446 by 2022, representing a significant 50.5% growth over a decade. This rise in average home prices did not significantly impact homeownership rates, suggesting that other factors may have played a role in maintaining stable ownership levels.
Federal interest rates have fluctuated over the years, potentially influencing homeownership rates in Columbus. From 2013 to 2016, interest rates remained very low, below 0.5%, coinciding with a stable homeownership rate of 56%. As interest rates began to rise in 2017, reaching 1.83% in 2018, the homeownership rate remained steady. Interestingly, even as interest rates increased to 2.16% in 2019, Columbus saw a slight increase in homeownership to 58%. This suggests that while interest rates may play a role, other local factors likely contribute to homeownership decisions in the city.
Renter percentages in Columbus have remained relatively stable, ranging from 41% to 44% between 2013 and 2022. Average rent prices have shown an overall upward trend during this period. In 2013, the average rent was $747, which increased to $820 by 2022, representing a 9.8% increase. The most significant jump in average rent occurred between 2014 and 2015, rising from $705 to $829, a 17.6% increase in a single year. Despite these rent increases, the renter percentage has not changed dramatically, suggesting that rental demand remains strong in the city.
In 2023, the average home price in Columbus was $150,867, showing a slight decrease from the 2022 figure. However, 2024 has seen a rebound, with average home prices rising to $155,956. This upward trend coincides with higher federal interest rates, which stood at 5.02% in 2023 and increased to 5.33% in 2024. Despite these higher interest rates, the housing market in Columbus appears to be maintaining its strength.
Looking ahead, based on historical trends and current market conditions, we can expect average home prices in Columbus to continue their upward trajectory over the next five years. Assuming a conservative annual growth rate of 3-4%, average home prices could potentially reach around $180,000-$190,000 by 2029. Average rent prices are also likely to increase, albeit at a more moderate pace. If the current trend continues, we might see average rents in the range of $900-$950 by 2029.
In summary, Columbus, Mississippi, has demonstrated resilience in its housing market over the past decade. The city has maintained stable homeownership rates despite rising average home prices, suggesting a strong local economy and sustained demand for housing. The rental market has also shown steady growth, with increasing average rents not significantly impacting the proportion of renters in the population. As Columbus moves forward, it appears well-positioned to continue its pattern of steady growth in both the homeownership and rental sectors of its housing market.
