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Lewis Place: Fluctuating Home Values and Ownership in a Resilient St. Louis 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
Lewis Place, a neighborhood in St. Louis, Missouri, has experienced significant changes in its housing market over the past decade. This analysis examines the fluctuations in homeownership rates, average home prices, and rental trends from 2013 to 2024, providing insights into the neighborhood's real estate dynamics. Homeownership rates in Lewis Place have shown considerable variability between 2013 and 2022. Starting at 45% in 2013, the rate decreased to 38% in 2016 and 2017, before rising to 50% in 2022. This fluctuation coincided with changes in average home prices, which increased from $74,329 in 2016 to $78,839 in 2022, representing a 6% growth. However, this increase was not linear, with prices peaking at $77,004 in 2017, dropping to $61,601 in 2020, and then rebounding.
The relationship between federal interest rates and homeownership rates in Lewis Place generally followed expected trends. During the period of historically low interest rates from 2013 to 2016 (ranging from 0.09% to 0.4%), homeownership rates decreased from 45% to 38%. As interest rates began to rise more significantly from 2017 onwards, reaching 1.68% in 2022, homeownership rates in Lewis Place increased, reaching 50% in 2022. This aligns with the general principle that rising interest rates can motivate potential buyers to enter the market before rates climb higher.
Rental trends in Lewis Place have displayed distinct patterns. The percentage of renters fluctuated between 53% and 62% from 2013 to 2022. Average rent prices increased from $767 in 2013 to $840 in 2022, a 9.5% increase. The highest average rent was recorded in 2021 at $938, coinciding with a lower renter percentage of 47%, suggesting a potential relationship between higher rents and decreased rental occupancy.
Recent data shows that the average home price in Lewis Place was $72,734 in 2023 and increased to $75,643 in 2024, a 4% rise. This increase occurred despite the federal interest rate rising from 5.02% in 2023 to 5.33% in 2024, indicating a resilient local housing market in the face of higher borrowing costs.
Predictive models forecast a continued moderate increase in average home prices in Lewis Place over the next five years, potentially reaching around $85,000 by 2029. Average rent prices are also expected to rise, possibly surpassing $1,000 per month within the next five years if current trends persist.
In conclusion, Lewis Place has demonstrated resilience in its housing market, with homeownership rates rebounding to 50% in 2022 despite fluctuations in previous years. The neighborhood has seen overall growth in both average home prices and rent prices since 2013, with recent data showing continued appreciation despite rising interest rates. These trends suggest a potentially strong and stable real estate market in Lewis Place for the coming years, balancing homeownership opportunities with a robust rental market.
