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Fontana, Kansas: Home Values Soar as Ownership Remains High
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Fontana, Kansas, located in Miami County, is a small city with a rich history dating back to its founding in 1857. Over the past decade, this charming community has experienced notable fluctuations in homeownership rates and housing prices, reflecting broader economic trends and local dynamics. The homeownership rate in Fontana has shown a general decline from 2013 to 2022, with some fluctuations. In 2013, the city boasted a high 94% homeownership rate, which gradually decreased to 83% by 2022. This trend coincided with a significant increase in average home prices, rising from $122,869 in 2013 to $301,466 in 2022, representing a 145% increase over this period. The relationship between federal interest rates and homeownership rates in Fontana presents an interesting pattern. From 2013 to 2016, when interest rates were extremely low (ranging from 0.11% to 0.4%), homeownership rates remained high, above 88%. However, as interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, homeownership rates experienced a general decline, dropping to 83% in 2022. This trend aligns with the typical economic principle that lower interest rates tend to encourage homeownership due to more affordable financing options.
Renter percentages in Fontana have generally increased from 2013 to 2022, mirroring the decline in homeownership. The renter population grew from 6% in 2013 to 17% in 2022. Interestingly, average rent prices have not shown a consistent upward trend during this period. In 2013, the average rent was $1,087, and by 2022, it had only increased slightly to $1,113. This modest 2.4% increase in average rent over nine years suggests that rental prices have remained relatively stable despite the growing renter population.
Looking at the most recent data, the average home price in Fontana continued to rise, reaching $315,165 in 2023 and $331,209 in 2024. This represents a 4.6% increase from 2022 to 2023 and a further 5.1% increase from 2023 to 2024. Concurrently, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024, which may impact future homeownership trends in the city.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in Fontana will continue to rise, potentially reaching around $400,000 by 2029. This projection is based on the consistent upward trend observed over the past decade. For average rent prices, a more modest increase is expected, potentially reaching approximately $1,200 by 2029, assuming the trend of slow growth continues.
In summary, Fontana has experienced a gradual shift from a predominantly homeowner community to one with a growing renter population. This transition has occurred alongside a substantial increase in average home prices and relatively stable rent prices. The interplay between federal interest rates, homeownership rates, and housing prices underscores the complex dynamics shaping Fontana's housing market. As the city continues to evolve, these trends will likely play a crucial role in shaping its residential landscape and community composition in the coming years.
