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Euclid's Housing Market: Rising Prices and Shifting Ownership on Lake Erie's Shore
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Euclid, Ohio, a city located on the shores of Lake Erie, has experienced significant shifts in its housing market over the past decade. This analysis explores the trends in homeownership rates, average home prices, and average rent prices in Euclid, revealing a dynamic real estate landscape. The homeownership rate in Euclid has seen a steady decline from 2013 to 2022. In 2013, 51% of housing units were owner-occupied, but by 2022, this figure had dropped to 44%. Conversely, the percentage of renter-occupied units increased from 49% to 56% during the same period. This shift towards renting coincided with a substantial rise in average home prices. In 2013, the average home price in Euclid was $55,160, which more than doubled to $125,860 by 2022, representing a 128% increase over nine years.
The relationship between federal interest rates and homeownership rates in Euclid presents an interesting dynamic. Despite historically low interest rates from 2013 to 2021, ranging from 0.08% to 2.16%, homeownership rates continued to decline. This suggests that other factors, such as rising home prices, may have played a more significant role in deterring potential homebuyers than the attractiveness of low interest rates.
As the renter population grew, average rent prices in Euclid showed some fluctuation but remained relatively stable compared to the dramatic increase in home prices. In 2013, the average rent was $937, which decreased slightly to $906 by 2019. However, by 2022, the average rent had returned to $905, almost back to its 2013 level. This stability in rent prices, combined with the increasing percentage of renters, suggests that rental properties have become an increasingly attractive option for Euclid residents.
Looking at the most recent data, the average home price in Euclid continued its upward trajectory, reaching $129,038 in 2023 and $134,467 in 2024. This represents a 6.8% increase from 2022 to 2024. Interestingly, this price growth occurred despite a significant rise in federal interest rates, which jumped from 1.68% in 2022 to 5.02% in 2023 and 5.33% in 2024. This suggests a strong underlying demand for housing in Euclid, even in the face of higher borrowing costs.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in Euclid will continue to rise, albeit at a potentially slower rate due to higher interest rates. By 2029, average home prices could reach approximately $160,000 to $170,000, assuming a moderation in the growth rate. For rent prices, we expect a gradual increase over the next five years, potentially reaching an average of $1,000 to $1,050 per month by 2029, reflecting ongoing demand for rental properties and potential inflationary pressures.
In summary, Euclid's housing market has undergone significant changes, characterized by a shift from homeownership to renting, coupled with substantial increases in average home prices. Despite relatively stable rent prices, the proportion of renters has grown consistently. The resilience of home price growth in the face of rising interest rates suggests a robust demand for housing in Euclid. As the city moves forward, these trends are likely to shape its residential landscape, potentially influencing urban development policies and community dynamics.
