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Converse, Texas: Rising Home Values and Ownership Rates in a Growing Suburban Community
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
Converse, Texas, a suburban community in Bexar County, has experienced significant changes in homeownership and property values from 2010 to 2024. Located northeast of San Antonio and known for its family-friendly atmosphere and proximity to Joint Base San Antonio-Randolph, the city has seen substantial growth over the past decade. This analysis explores the trends in homeownership, average home prices, and average rent prices in Converse during this period.
Homeownership rates in Converse have shown a steady increase, rising from 69% in 2013 to 73% in 2022. This upward trend has coincided with a substantial rise in average home prices. In 2010, the average home price in Converse was $124,628. By 2022, this figure had more than doubled to $264,058, representing a 111.9% increase over 12 years. The most dramatic rise occurred between 2020 and 2022, with average home prices jumping from $192,803 to $264,058, a 36.9% increase in just two years.
Federal interest rates have played a significant role in shaping homeownership trends in Converse. From 2010 to 2020, interest rates remained historically low, ranging from 0.08% to 2.16%. This period of low interest rates corresponded with the steady increase in homeownership rates observed in Converse. The accessibility of affordable financing options likely contributed to the growing percentage of homeowners, which rose from 69% in 2013 to 72% in 2020.
As homeownership rates increased, the percentage of renters in Converse decreased from 31% in 2013 to 27% in 2022. Despite this decline in the renter population, average rent prices have shown an upward trend. In 2013, the average rent was $1,236 per month. By 2022, it had increased to $1,340, representing an 8.4% rise over nine years. The highest average rent was recorded in 2021 at $1,386 per month. It's worth noting that the city's population grew from 31,273 in 2010 to 41,023 in 2022, a 31.2% increase, which may have contributed to the upward pressure on rent prices despite the decreasing percentage of renters.
Looking at the most recent data, the average home price in Converse reached $265,343 in 2023, showing a slight increase from 2022. However, in 2024, there was a minor decline to $259,838. This slight downturn coincides with a significant rise in federal interest rates, which increased from 1.68% in 2022 to 5.02% in 2023 and further to 5.33% in 2024. These higher interest rates may be contributing to a cooling in the housing market.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in Converse will continue to experience moderate growth, albeit at a slower pace than the rapid increases seen in recent years. The current higher interest rate environment is likely to temper price appreciation. Average rent prices are expected to maintain their upward trajectory, driven by the city's continued population growth and the potential shift of some prospective buyers to the rental market due to higher mortgage rates.
In summary, Converse has witnessed a significant increase in homeownership rates and average home prices over the past decade, with particularly strong growth between 2020 and 2022. The rental market has seen steady increases in average rent prices despite a decreasing percentage of renters. Recent data suggests a potential cooling in the housing market, likely influenced by rising interest rates. Moving forward, we expect moderate growth in both home prices and rent prices, with the pace of increase potentially slowing compared to recent years.
