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Home Values and Ownership in Stevensville: A Decade of Housing Market Dynamics
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Stevensville, Montana, is a charming town located in Ravalli County. With a population of 6,784 in 2022, this small community has experienced notable changes in its housing market over the past decade. The town has maintained a consistently high rate of homeownership, while average home prices and average rent prices have shown distinct trends.
The homeownership rate in Stevensville has remained relatively stable, with a slight increase from 69% in 2013 to 73% in 2022. This high rate of homeownership coincides with a significant rise in average home prices. In 2013, the average home price was $208,444, which steadily increased to $591,996 by 2022, representing a substantial 184% increase over nine years. This trend suggests that despite rising prices, Stevensville residents have maintained a strong preference for homeownership.
Federal interest rates have played a role in shaping homeownership trends in Stevensville. From 2013 to 2016, when interest rates were extremely low (ranging from 0.11% to 0.40%), the homeownership rate increased from 69% to 71%. This aligns with the general trend of lower interest rates encouraging homeownership due to more affordable financing options. However, the homeownership rate continued to rise even as interest rates increased in subsequent years, reaching 74% in 2017 when the federal interest rate was 1%, and maintaining at 73% through 2022 when the rate reached 1.68%.
The renter population in Stevensville has seen a slight decrease, from 31% in 2013 to 27% in 2022. Interestingly, average rent prices have shown volatility during this period. In 2013, the average rent was $805, which increased to a peak of $1,053 in 2016 before declining to $692 in 2019. Since then, average rent has risen again, reaching $930 in 2022. This fluctuation in rent prices, coupled with the town's population growth from 5,806 in 2013 to 6,784 in 2022, suggests a complex rental market influenced by various factors including housing supply and local economic conditions.
In 2023 and 2024, Stevensville's housing market has shown some interesting developments. The average home price in 2023 was $568,983, representing a slight decrease from the 2022 peak. However, in 2024, prices have rebounded to $586,111. This coincides with higher federal interest rates of 5.02% in 2023 and 5.33% in 2024, which may impact housing affordability and market dynamics.
Looking ahead, based on historical trends and current market conditions, we can expect average home prices in Stevensville to continue their upward trajectory, albeit at a more moderate pace. Over the next five years, average home prices could potentially reach the $650,000 to $700,000 range. Average rent prices are likely to follow a similar trend, potentially increasing to around $1,100 to $1,200 per month within the same timeframe.
In summary, Stevensville has maintained a strong homeownership culture despite significant increases in average home prices. The rental market has shown more volatility, with fluctuating average rent prices and a slight decrease in the percentage of renters. The town's housing market has demonstrated resilience and growth, with recent data suggesting a continued upward trend in both home prices and rents, albeit potentially at a more moderate pace than in previous years.
