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Hunker: Stable Homeownership Amidst Rising Home Values
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Hunker, located in Pennsylvania, is a small community with a rich history and a tight-knit population. Over the past decade, this borough has experienced notable shifts in homeownership rates, average home prices, and average rent prices, reflecting broader economic trends and local dynamics. The homeownership rate in Hunker has remained relatively stable, hovering around 89% from 2013 to 2022. This high rate of homeownership indicates a strong preference for property ownership among residents. Despite minor fluctuations, such as a slight decrease to 88% in 2018 and 2022, the overall trend suggests a deeply rooted community of homeowners. The stability in homeownership rates is particularly noteworthy given the changes in average home prices over the same period.
Federal interest rates have played a significant role in shaping homeownership trends in Hunker. From 2013 to 2016, when interest rates were historically low (ranging from 0.11% to 0.4%), the homeownership rate increased slightly from 87% to 90%. This aligns with the general trend of lower interest rates encouraging homeownership due to more affordable financing options. As interest rates began to rise more significantly from 2017 onwards, the homeownership rate remained relatively stable, suggesting that other factors, such as local economic conditions and housing supply, may have also influenced homeownership decisions in the borough.
Renter percentages in Hunker have shown a complementary trend to homeownership rates, ranging from 10% to 13% between 2013 and 2022. Interestingly, average rent prices have seen a steady increase over this period. In 2013, the average rent was $527, which gradually rose to $681 by 2022, representing a 29% increase over nine years. This upward trend in rent prices occurred despite fluctuations in the borough's population, which peaked at 505 in 2015 and declined to 325 by 2022. The rising rent prices, even with a decreasing population, suggest factors such as housing quality improvements or regional economic influences may be at play.
Looking at the most recent data, the average home price in Hunker for 2023 was $191,712, increasing to $193,896 in 2024. This represents a modest year-over-year increase of about 1.14%. Concurrently, federal interest rates rose from 5.02% in 2023 to 5.33% in 2024, potentially impacting homebuying decisions and affordability in the area.
Applying predictive models to forecast 5-year trends, we can anticipate a continued gradual increase in average home prices in Hunker. Based on the current trajectory, average home prices could potentially reach around $205,000 by 2029. For rent prices, the upward trend is likely to persist, potentially pushing average rents to approximately $750 per month by 2029, assuming the current rate of increase continues.
In summary, Hunker demonstrates a robust homeownership culture with consistently high rates of owner-occupied housing. The stability in homeownership, coupled with rising rent prices, suggests a strong local housing market despite population fluctuations. The recent increases in average home prices and federal interest rates indicate a dynamic market environment. Moving forward, the borough is likely to see continued growth in both home values and rent prices, maintaining its character as a predominantly owner-occupied community while potentially facing challenges in housing affordability for renters.
