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Fairborn's Housing Dynamics: Rising Home Values and Shifting Ownership
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Fairborn, Ohio, a vibrant city located in Greene County, has experienced notable shifts in its housing market over the past decade. With a population of 42,044 in 2022 and spanning 14.58 square miles, Fairborn is home to Wright-Patterson Air Force Base and Wright State University, contributing to its diverse community. The city has seen fluctuations in homeownership rates and steady increases in both average home prices and average rent prices, reflecting broader economic trends and local market dynamics.
The homeownership rate in Fairborn has shown a slight decline over the years, with some recent stabilization. In 2013, 52% of housing units were owner-occupied. This percentage remained relatively steady until 2017 when it dropped to 50%. The rate further decreased to 49% in 2018 and 2019 before rebounding to 52% in 2022. Interestingly, this trend coincides with the trajectory of average home prices in the city. The average home price in Fairborn rose from $104,674 in 2013 to $172,276 in 2022, representing a substantial 64.6% increase over nine years.
Federal interest rates play a significant role in homeownership trends. From 2013 to 2016, interest rates remained below 0.5%, corresponding with the period of stable homeownership in Fairborn. As rates began to rise in 2017 (1%), 2018 (1.83%), and 2019 (2.16%), we observe a decline in homeownership percentages. The sharp drop in interest rates in 2020 (0.38%) and 2021 (0.08%) aligns with the rebound in homeownership to 52% by 2022, despite rising home prices.
The rental market in Fairborn has shown its own distinct trends. The percentage of renter-occupied housing units increased from 47% in 2013 to a peak of 51% in 2018 and 2019, before settling back to 48% in 2022. This trend inversely mirrors the homeownership rates. Average rent prices have steadily increased over the years, rising from $894 in 2013 to $990 in 2022, an increase of 10.7%. The city's growing population, which increased from 40,048 in 2013 to 42,044 in 2022, likely contributed to the upward pressure on rent prices.
In 2023 and 2024, Fairborn's housing market continued its upward trajectory. The average home price reached $180,348 in 2023 and further increased to $188,140 in 2024, representing a 9.2% rise over two years. This growth occurred despite the Federal Reserve's interest rate hikes to 5.02% in 2023 and 5.33% in 2024, which typically would be expected to cool the housing market.
Looking ahead, predictive models suggest that Fairborn's housing market will continue to grow, albeit at a potentially slower pace. Over the next five years, average home prices are projected to increase by approximately 15-20%, reaching around $215,000 to $225,000 by 2029. Average rent prices are expected to follow a similar trend, potentially rising by 10-15% to reach $1,090 to $1,140 per month by 2029.
In summary, Fairborn's housing market has demonstrated resilience and growth over the past decade. The city has experienced a slight shift towards renting, followed by a recent return to higher homeownership rates. Despite rising interest rates, both average home prices and average rent prices have shown consistent growth. These trends, coupled with Fairborn's steady population growth, suggest a robust and dynamic housing market that continues to adapt to changing economic conditions and local demand.
