Loading Content...
Home Values and Ownership in Harrisonville, Missouri: A Decade of Resilience
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Harrisonville, Missouri, is a vibrant city located in Cass County, known for its rich history and charming small-town atmosphere. Over the past decade, this community has experienced notable shifts in homeownership rates and housing market dynamics. The city has seen a general trend of increasing average home prices, while ownership percentages have fluctuated, and average rent prices have shown varying patterns.
The relationship between homeownership rates and average home prices in Harrisonville reveals an interesting dynamic. In 2013, the city had a high homeownership rate of 73%, coinciding with an average home price of $119,849. As average home prices steadily increased, reaching $188,353 by 2019, the homeownership rate declined to 65%. This trend suggests that rising home prices may have made homeownership less accessible for some residents. However, by 2022, despite average home prices climbing to $257,470, the homeownership rate rebounded to 69%, indicating a potential improvement in economic conditions or increased desire for homeownership among residents.
Federal interest rates have played a significant role in shaping homeownership trends in Harrisonville. The period from 2013 to 2016 saw historically low interest rates, ranging from 0.11% to 0.40%. During this time, homeownership rates in Harrisonville decreased from 73% to 63%, contrary to the typical expectation that lower interest rates encourage homeownership. However, as interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, Harrisonville's homeownership rate actually increased to 69%. This suggests that local factors, such as job market conditions or housing supply, may have had a stronger influence on homeownership rates than national interest rate trends.
Renter percentages and average rent prices in Harrisonville have shown some correlation over the years. In 2013, when the renter-occupied percentage was 27%, the average rent was $911. As the renter percentage increased to 37% by 2016, average rent decreased to $860, possibly due to increased rental supply. However, by 2021, despite a decrease in the renter percentage to 32%, average rent reached its peak at $977. This could indicate improved rental property quality or increased demand for rental units despite a smaller renter population.
Looking at the most recent data, average home prices in Harrisonville continued to rise in 2023, reaching $260,451, and further increased to $266,541 in 2024. This upward trend has persisted despite significant increases in federal interest rates, which rose to 5.02% in 2023 and 5.33% in 2024. These higher interest rates could potentially impact future home buying activity and price growth in the coming years.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in Harrisonville will continue to increase, albeit at a potentially slower rate due to higher interest rates. We project average home prices could reach approximately $290,000 to $310,000 by 2029. For average rent prices, the forecast suggests a moderate upward trend, potentially reaching $1,050 to $1,150 per month by 2029, assuming continued population growth and demand for rental properties.
In summary, Harrisonville has experienced a complex interplay between homeownership rates, average home prices, and rental market dynamics over the past decade. The city has shown resilience in maintaining a relatively high homeownership rate despite rising home prices. The rental market has demonstrated flexibility, adapting to changing demand. As Harrisonville moves forward, it will be crucial to monitor how these trends evolve, particularly in light of the current high-interest rate environment and its potential impact on the local housing market.
