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Lewisville, Idaho: Rising Home Values and Shifting Ownership in a Small City
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
Lewisville, a city in Idaho, has experienced significant changes in its housing market over the past decade. This small but growing community has seen fluctuations in homeownership rates, average home prices, and average rent prices, reflecting broader economic trends and local market dynamics.
The homeownership rate in Lewisville has remained relatively high but has shown a slight downward trend in recent years. In 2013, 86% of housing units were owner-occupied, and this figure peaked at 91% in 2016. However, by 2022, the homeownership rate had decreased to 84%. Concurrently, average home prices in Lewisville have seen a substantial increase. In 2013, the average home price was $126,964, and by 2022, it had risen dramatically to $371,685, representing a 193% increase over this period. This inverse relationship between homeownership rates and average home prices suggests that rising property values may be making homeownership less accessible for some residents.
Federal interest rates have played a significant role in shaping homeownership trends in Lewisville. From 2013 to 2016, when interest rates were at historic lows (ranging from 0.11% to 0.40%), homeownership rates in Lewisville reached their peak. As interest rates began to rise more significantly from 2017 onwards, there was a corresponding decline in homeownership rates. This trend aligns with the general principle that lower interest rates tend to encourage homeownership by making mortgages more affordable.
The rental market in Lewisville has also undergone notable changes. The percentage of renter-occupied housing units increased from 14% in 2013 to 15% in 2022. During this same period, average rent prices saw a substantial rise. In 2013, the average rent was $248 per month, but by 2022, it had increased to $817, representing a 230% increase. This significant jump in rental costs outpaced the growth in homeownership costs, potentially reflecting increased demand for rental properties as homeownership became less attainable for some residents.
Looking at the most recent data, the average home price in Lewisville for 2023 was $365,126, showing a slight decrease from 2022. However, in 2024, the average home price increased marginally to $367,079. Interestingly, federal interest rates have continued to rise, reaching 5.33% in 2024, which is the highest level in over a decade. This combination of high home prices and increased interest rates may continue to impact homeownership rates in the near future.
Applying predictive models to forecast 5-year trends, it's anticipated that average home prices in Lewisville will continue to rise, albeit at a more moderate pace than seen in recent years. Average rent prices are also expected to increase, driven by ongoing demand for rental properties. However, the rate of increase for both home prices and rents may slow down if interest rates remain high, potentially cooling the housing market.
In summary, Lewisville has experienced a significant increase in both average home prices and average rent prices over the past decade, with a slight decrease in homeownership rates. The interplay between federal interest rates, home prices, and rental costs has shaped the housing market dynamics in this Idaho city. As the community continues to grow and adapt to changing economic conditions, the housing market in Lewisville is likely to remain dynamic, with potential for further adjustments in homeownership rates and housing costs in the coming years.
