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Lawrence, Nebraska: Rising Home Values and Ownership Rates in a Small Community
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
Lawrence, Nebraska, is a small community that has experienced notable fluctuations in its population and housing market over the past decade. The town has seen a significant shift towards homeownership, with a corresponding increase in average home prices and rent costs.
The trend of homeownership in Lawrence has been steadily increasing since 2013. In 2013, the homeownership rate was 82%, and by 2022, it had risen to 93%. This substantial increase in homeownership coincides with a rise in average home prices. In 2016, the average home price was $104,885, and by 2022, it had increased to $155,710, representing a 48.5% increase over six years.
Federal interest rates have played a role in homeownership trends. From 2013 to 2016, when interest rates were extremely low (ranging from 0.11% to 0.4%), homeownership rates remained stable at around 82%. As interest rates began to rise from 2017 (1%) to 2019 (2.16%), homeownership rates actually increased, reaching 87% in 2019. This suggests that other factors, such as local economic conditions or housing availability, may have had a stronger influence on homeownership in Lawrence than national interest rates during this period.
The percentage of renters in Lawrence has decreased significantly, from 18% in 2013 to just 7% in 2022. Despite this decrease, average rent prices have shown an upward trend. In 2013, the average rent was $479, and by 2022, it had increased to $570, a 19% rise. This increase in rent prices, despite a smaller renter population, could be attributed to various factors such as improved rental property quality or limited rental stock availability.
In 2023 and 2024, Lawrence continued to see growth in average home prices. The average home price reached $163,656 in 2023 and further increased to $168,933 in 2024. This represents a 5.1% year-over-year increase from 2022 to 2023, and a 3.2% increase from 2023 to 2024. Notably, these price increases occurred despite a significant rise in federal interest rates, which stood at 5.02% in 2023 and 5.33% in 2024.
Looking ahead, based on the historical data and current trends, it's projected that average home prices in Lawrence will continue to rise over the next five years, albeit at a potentially slower rate due to higher interest rates. Average home prices could reach approximately $190,000 by 2029. Rent prices are also expected to increase, potentially reaching around $650 by 2029, assuming the current trends continue.
In summary, Lawrence has experienced a significant shift towards homeownership, with a corresponding decrease in the renter population. Despite this, both average home prices and rent costs have increased steadily. The community has shown resilience in its housing market, with home prices continuing to rise even in the face of increasing interest rates. These trends suggest a strong local housing market with potential for continued growth in the coming years.
