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Fremont, Missouri: Soaring Home Ownership Amidst Fluctuating Values
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
Fremont, Missouri, is a small community with a rich history and a dynamic real estate market. Over the past decade, this city has experienced significant shifts in homeownership rates and housing prices, reflecting broader economic trends and local demographic changes.
Homeownership in Fremont has shown a remarkable upward trend, particularly in recent years. In 2013, the homeownership rate stood at 73%, but by 2022, it had surged to an impressive 98%. This substantial increase coincided with fluctuations in average home prices. The average home price in 2019 was $108,828, which rose to $154,597 by 2022, representing a 42% increase over just three years.
The relationship between federal interest rates and homeownership rates in Fremont presents an interesting case. Despite the general trend of lower interest rates encouraging homeownership, Fremont saw its highest homeownership rates during a period of rising interest rates. For instance, as interest rates increased from 0.08% in 2021 to 1.68% in 2022, homeownership in Fremont reached its peak of 98%. This suggests that local factors may have played a more significant role in driving homeownership than national interest rate trends.
Conversely, the percentage of renters in Fremont has decreased dramatically. In 2013, 27% of residents were renters, but by 2022, this figure had dropped to just 2%. Despite this decline in the renter population, average rent prices have remained relatively stable. In 2013, the average rent was $474, which decreased to $359 by 2022, a modest 24% reduction over nine years. This stability in rent prices, despite the significant decrease in renter population, could be attributed to factors such as limited rental inventory or the quality of available rental properties.
Looking at more recent data, 2023 saw a slight decrease in average home prices to $145,561, followed by a further dip to $140,958 in 2024. This cooling of the housing market coincides with a sharp increase in federal interest rates, which rose to 5.02% in 2023 and 5.33% in 2024. These higher interest rates likely contributed to the moderation in home prices by making mortgages more expensive and potentially reducing buyer demand.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in Fremont may continue to experience moderate growth, albeit at a slower pace than seen in recent years. The current high interest rate environment is likely to persist in the near term, which could temper rapid price increases. Average rent prices are expected to remain relatively stable, possibly with slight increases to account for inflation and any improvements in rental property quality.
In summary, Fremont has witnessed a significant shift towards homeownership, with the rate reaching near-total levels by 2022. This trend occurred alongside substantial increases in average home prices from 2019 to 2022. However, recent data shows a cooling in the housing market, likely influenced by rising interest rates. The rental market has shrunk considerably, yet rent prices have remained relatively stable. These trends reflect a complex interplay of local economic factors, demographic shifts, and broader national economic conditions, painting a picture of a dynamic real estate market in this small Missouri community.
