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Home Values and Ownership in Pittston: A Coal City's Housing Shift
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
Pittston, a small city in Luzerne County, Pennsylvania, spanning 1.53 square miles, has experienced significant changes in its housing market over the past decade. The city has witnessed a notable shift in homeownership rates, average home prices, and rental costs, reflecting broader economic trends and local demographic changes. The trend in homeownership in Pittston has shown a steady decline from 2013 to 2022. In 2013, 56% of residents owned their homes, but by 2022, this figure had dropped to 49%. This decline in homeownership coincided with an increase in average rent prices. The average rent in Pittston rose from $634 in 2013 to $681 in 2022, representing a 7.4% increase over nine years. The relationship between federal interest rates and homeownership rates in Pittston follows a generally expected pattern. As interest rates remained low from 2013 to 2016, hovering around 0.1%, homeownership rates remained relatively stable, ranging from 56% to 58%. However, as interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, homeownership rates declined more rapidly, falling from 53% in 2017 to 49% in 2022.
The rental market in Pittston has shown a clear upward trend. The percentage of renters increased from 44% in 2013 to 51% in 2022. This rise in renter-occupied units corresponds with the increase in average rent prices. The most significant jump in average rent occurred between 2018 and 2019, rising from $715 to $785, a 9.8% increase in just one year. This surge in rent prices coincided with a population increase from 7,693 in 2018 to 7,759 in 2019, suggesting that increased demand may have driven up rental costs.
In 2023 and 2024, Pittston's housing market has shown some interesting developments. The average home price in 2023 was $182,839, slightly decreasing to $182,481 in 2024. This minor decline of 0.2% occurs despite the federal interest rate rising from 5.02% in 2023 to 5.33% in 2024, indicating a resilient housing market in the face of higher borrowing costs.
Looking ahead to the next five years, predictive models suggest that average home prices in Pittston may experience moderate growth. Based on the current trends and economic indicators, average home prices are expected to potentially reach around $190,000 by 2029. For average rent prices, the forecast indicates a continued upward trajectory, potentially reaching approximately $750 per month by 2029, assuming the current economic conditions and population trends persist.
In summary, Pittston has witnessed a shift towards a renter-majority market over the past decade, with homeownership rates declining and average rent prices increasing. The city's housing market has shown resilience in recent years, with stable home prices despite rising interest rates. As Pittston moves forward, it's likely to see continued growth in its rental market and a gradual appreciation in home values, reflecting the changing dynamics of this Pennsylvania city.
