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Greenwich, Philadelphia: Rising Home Values and Ownership Rates Reshape Neighborhood
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
Greenwich, a neighborhood in Philadelphia, Pennsylvania, has undergone significant changes in its housing market over the past decade. This area has experienced notable shifts in homeownership rates, average home prices, and average rent prices, reflecting broader economic trends and local market dynamics. From 2013 to 2022, Greenwich saw a substantial increase in homeownership rates. The neighborhood's homeownership rate rose from 51% in 2013 to 74% in 2022, marking a 23 percentage point increase. This rise in homeownership coincided with a significant increase in average home prices. In 2013, the average home price in Greenwich was $109,482, which more than doubled to $254,067 by 2022. This correlation suggests that as property values increased, more residents were motivated to invest in homeownership, possibly viewing it as a sound financial decision. The trend in homeownership rates appears to have been influenced by federal interest rates. From 2013 to 2016, when interest rates were historically low, ranging from 0.1% to 0.4%, homeownership in Greenwich increased from 51% to 55%. As interest rates began to rise more significantly from 2017 onwards, reaching 1.68% in 2022, homeownership continued to grow, possibly due to residents anticipating further rate increases and deciding to purchase homes before borrowing became more expensive.
Conversely, the percentage of renters in Greenwich decreased from 49% in 2013 to 26% in 2022. This decline in the renter population coincided with fluctuations in average rent prices. In 2013, the average rent was $1,381, which decreased to $1,284 by 2016. However, rent prices then began to climb, reaching $1,511 in 2022. The decrease in the renter population, despite the initial drop in rent prices, may be attributed to the neighborhood's overall population decline from 3,057 in 2013 to 2,065 in 2022, as well as the shift towards homeownership.
Looking at the most recent data, average home prices in Greenwich experienced a slight dip to $244,590 in 2023 but rebounded to $253,364 in 2024. This recovery occurred despite the federal interest rate rising to 5.02% in 2023 and further to 5.33% in 2024, indicating resilience in the local housing market.
Applying predictive models to forecast 5-year trends, average home prices in Greenwich are anticipated to continue showing moderate growth, potentially reaching around $275,000 by 2029. This projection is based on the historical price appreciation and the neighborhood's increasing desirability. Average rent prices are expected to follow a similar upward trajectory, potentially surpassing $1,700 by 2029, driven by the limited supply of rental properties and the area's ongoing development.
In summary, Greenwich has transformed from a predominantly renter-occupied neighborhood to one with a strong majority of homeowners. This shift has been accompanied by significant appreciation in home values and more modest increases in rent prices. The resilience of the housing market, even in the face of rising interest rates, suggests that Greenwich remains an attractive location for both homeowners and investors. As the neighborhood continues to evolve, it is likely to maintain its appeal, potentially driving further increases in property values and rental rates in the coming years.
