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Fairground Neighborhood: Resilient Homeownership Amid Market Fluctuations
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Fairground Neighborhood in St. Louis, Missouri, has experienced notable changes in its housing landscape over the past decade. This analysis examines the fluctuations in homeownership rates, average home prices, and rental market dynamics, reflecting broader economic trends and local market conditions. From 2013 to 2022, Fairground Neighborhood maintained a relatively stable homeownership rate, starting and ending at 53%. During this period, average home prices showed a significant upward trend. Between 2017 and 2022, average home values increased from $34,684 to $43,885, representing a substantial 26.5% rise over five years. This combination of stable homeownership rates and increasing home values suggests sustained demand for housing in the area despite various economic challenges. Federal interest rates have played a crucial role in shaping homeownership trends in Fairground Neighborhood. In 2017, when interest rates were at 1%, the homeownership rate was 47%. As rates climbed to 1.83% in 2018, homeownership increased to 52%, possibly due to buyers rushing to secure mortgages before further rate increases. By 2022, with interest rates at 1.68%, homeownership remained steady at 53%, indicating resilience in the local housing market.
The rental market in Fairground Neighborhood has shown interesting patterns alongside homeownership trends. Renter percentages have fluctuated inversely with homeownership rates, starting at 47% in 2013 and remaining at 47% in 2022. Average rent prices have exhibited some volatility over the years. In 2013, the average rent was $705, which increased to $736 in 2016. However, there was a decline to $623 in 2019, followed by a rebound to $700 in 2022. This represents a slight decrease of 0.7% in average rent from 2013 to 2022, despite the fluctuations in between. The stability in renter percentages, coupled with the relatively steady rent prices, suggests a balanced rental market in the neighborhood.
Recent data from 2023 and 2024 shows some changes in the housing market dynamics. Average home prices in Fairground Neighborhood reached $40,724 in 2023 but declined slightly to $39,121 in 2024, marking a 3.9% decrease. This trend coincides with rising interest rates, which stood at 5.02% in 2023 and further increased to 5.33% in 2024. These higher interest rates may be contributing to a cooling effect on home prices in the area.
Looking ahead, predictive models forecast moderate growth in the Fairground Neighborhood housing market over the next five years. Assuming stable economic conditions, average home prices may reach around $45,000 by 2029. For rent prices, a gradual increase is anticipated, potentially reaching an average of $750-$800 per month by 2029, accounting for inflation and local market conditions.
In conclusion, Fairground Neighborhood has demonstrated resilience in its housing market over the past decade. The stability in homeownership rates, alongside generally increasing home values, indicates sustained demand for housing in the area. The rental market has maintained a relative balance, with stable renter percentages and modest fluctuations in rent prices. Recent data showing a slight cooling in home prices, coinciding with rising interest rates, suggests that the neighborhood's housing market is responsive to broader economic factors. As we look to the future, moderate growth in both home prices and rent can be expected, reflecting the neighborhood's established patterns and wider economic trends.
