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Honesdale, PA: Rising Home Values and Ownership Fluctuations in the Birthplace of American Railroad
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
Honesdale, located in Pennsylvania, is a charming community with a rich history as the birthplace of the American Railroad. The city has experienced fluctuating homeownership rates and average home prices over the past decade, while average rent prices have shown a relatively stable trend.
The ownership percentage in Honesdale has varied between 47% and 55% from 2013 to 2022. In 2013, the homeownership rate was 54%, which dropped to 47% in 2014. It then fluctuated over the years, reaching 55% in 2022. Interestingly, the average home prices have shown a consistent upward trend during this period. In 2013, the average home price was $156,323, which steadily increased to $261,409 by 2022, representing a substantial 67% increase over nine years.
The relationship between federal interest rates and homeownership rates in Honesdale doesn't show a strong correlation. For instance, in 2014, when interest rates were at a low 0.09%, the homeownership rate dropped to 47%. Conversely, in 2022, with higher interest rates at 1.68%, the homeownership rate increased to 55%. This suggests that local factors may have a more significant influence on homeownership rates in Honesdale than national interest rates.
Renter percentages in Honesdale have fluctuated inversely to homeownership rates, ranging from 45% to 53% between 2013 and 2022. The average rent prices, however, have shown less volatility compared to home prices. In 2013, the average rent was $788, which peaked at $830 in 2017 before declining to $731 in 2022. Despite the population decreasing from 4,404 in 2013 to 4,469 in 2022, rent prices have remained relatively stable, suggesting a balanced rental market in the borough.
In 2023, the average home price in Honesdale reached $265,195, showing a continued upward trend. The federal interest rate for 2023 was 5.02%, significantly higher than previous years. Moving into 2024, the average home price has further increased to $277,864, while the federal interest rate has slightly risen to 5.33%. These figures indicate a resilient housing market in Honesdale, despite higher interest rates.
Looking ahead, predictive models suggest that average home prices in Honesdale may continue to rise over the next five years, potentially reaching around $320,000 by 2029. Average rent prices, however, are expected to remain relatively stable, possibly fluctuating between $700 and $800 per month.
In summary, Honesdale has demonstrated a resilient housing market with steadily increasing average home prices, despite fluctuations in homeownership rates. The rental market has remained relatively stable, with average rent prices showing less volatility compared to home prices. The recent increase in federal interest rates doesn't seem to have significantly impacted the local housing market, suggesting strong local economic factors driving real estate trends in this Pennsylvania borough.
