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Jackson Park Highlands: Rising Home Values and Shifting Ownership in a Historic Chicago Neighborhood
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
Jackson Park Highlands, a historic neighborhood in Chicago, Illinois, has experienced significant changes in its housing market over the past decade. The area, known for its historic homes and tree-lined streets, has seen notable increases in both homeownership rates and average home prices. From 2013 to 2022, the homeownership rate rose from 19% to 31%, while average home prices increased by 78%, from $283,722 to $505,442. This upward trend in homeownership was particularly pronounced in 2021, with a jump from 24% to 33%, coinciding with a substantial increase in average home prices.
Federal interest rates have influenced homeownership trends in Jackson Park Highlands. The period from 2013 to 2015 saw historically low interest rates of 0.11% to 0.13%, which may have contributed to the initial increase in homeownership. As interest rates began to rise from 2016 onwards, reaching 1.68% in 2022, the homeownership rate stabilized around 31%, suggesting that higher interest rates may have moderated further growth in homeownership.
The rental market in Jackson Park Highlands has also experienced changes, with renter percentages inversely mirroring homeownership trends. The percentage of renters decreased from 81% in 2013 to 69% in 2022. Average rent prices showed overall growth, increasing by 7.9% from $849 in 2013 to $916 in 2022, albeit with some fluctuations. The peak average rent of $1,063 was observed in 2016 before declining and stabilizing. The population growth in the area, from 1,603 in 2013 to 2,583 in 2022, likely contributed to the overall increase in rent prices due to higher demand for rental properties.
In 2023, the average home price in Jackson Park Highlands reached $519,339, continuing the upward trend. The federal interest rate for that year was 5.02%, a significant increase from previous years. Moving into 2024, the average home price further increased to $529,953, while the federal interest rate slightly rose to 5.33%. These figures indicate a continued appreciation in home values despite higher borrowing costs.
Looking ahead, predictive models suggest that average home prices in Jackson Park Highlands are likely to continue their upward trajectory over the next five years, potentially reaching around $600,000 by 2029. Average rent prices are also expected to increase, albeit at a slower pace, potentially reaching approximately $1,000 per month in the same timeframe. These predictions are based on historical trends and current market conditions.
In summary, Jackson Park Highlands has demonstrated a robust housing market over the past decade, with significant increases in homeownership rates and average home prices. The neighborhood has shown resilience, with home values appreciating even in the face of rising interest rates. The rental market has also experienced growth, though with more fluctuations. As the area continues to attract residents, both homeowners and renters, it is likely to maintain its status as a desirable Chicago neighborhood with a strong housing market.
