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Homeownership Soars in Zip Code 46741: Harlan's Resilient Housing Market Defies Rising Prices
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
Zip code 46741, located in Harlan, Indiana, demonstrates a robust housing market characterized by increasing homeownership rates and substantial growth in average home prices. From 2013 to 2022, this area experienced significant changes in both ownership rates and property values, reflecting broader economic trends and local market conditions. The homeownership rate in zip code 46741 showed a notable increase from 85% in 2013 to 89% in 2022. This upward trend in homeownership coincided with a substantial increase in average home prices. In 2013, the average home price was $169,222, and by 2022, it had risen dramatically to $315,141, representing an impressive 86.2% increase over this period. The relationship between federal interest rates and homeownership rates in this zip code presents an interesting case. Despite fluctuations in interest rates, the area maintained a high rate of homeownership. For instance, when interest rates were at a low of 0.08% in 2021, the homeownership rate was at its peak of 90%. However, even as interest rates rose to 1.68% in 2022, the homeownership rate remained strong at 89%, suggesting that other factors beyond interest rates influenced homeownership decisions in this area.
Renter percentages and average rent prices in zip code 46741 have shown some volatility. The percentage of renters decreased from 15% in 2014 to 11% in 2022. During this period, average rent prices fluctuated considerably. In 2014, the average rent was $782, rising to a peak of $996 in 2017, before settling at $919 in 2022. This represents a 17.5% increase in average rent from 2014 to 2022, despite the decrease in the renter population percentage.
As of 2023 and 2024, the real estate market in zip code 46741 continues to show strength. The average home price in 2023 was $329,060, and in 2024 it further increased to $343,770. This represents a 4.5% year-over-year increase. Concurrently, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024, which may impact future homebuying trends in the area.
Looking ahead, predictive models suggest that the upward trend in average home prices is likely to continue over the next five years, albeit potentially at a more moderate pace due to higher interest rates. Average rent prices are also expected to increase, driven by the overall appreciation of property values in the area. However, the rate of increase may be tempered by the strong preference for homeownership in this zip code.
In summary, zip code 46741 has demonstrated a robust housing market characterized by increasing homeownership rates and substantial growth in average home prices. The area has maintained high homeownership levels despite fluctuations in interest rates, and while the rental market has seen some volatility, it represents a smaller portion of the housing landscape. The continued rise in property values, coupled with recent increases in interest rates, will likely shape the future of this market, potentially affecting affordability and homeownership trends in the coming years.
