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Longmont's Housing Market: Rising Home Values and Steady Ownership in the Foothills
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Longmont, Colorado, a vibrant city at the Rocky Mountains' foothills, is known for its beautiful parks and thriving craft beer scene. The city has experienced significant growth and changes in its housing market over the past decade, with fluctuations in homeownership rates and steady increases in both average home prices and average rent prices.
From 2013 to 2022, Longmont's homeownership rate fluctuated between 57% and 65%. During this period, average home prices in the city rose dramatically, from $243,720 in 2013 to $583,100 in 2022, representing a 139% increase. This substantial growth in home values did not directly correlate with homeownership rates, which remained relatively stable despite the price increases. For instance, in 2015, when the homeownership rate was at its lowest at 57%, the average home price was $303,066. Conversely, in 2018, when homeownership peaked at 63%, the average home price had climbed to $406,098.
The relationship between federal interest rates and homeownership rates in Longmont shows some interesting patterns. In 2013, when interest rates were at a low 0.11%, the homeownership rate was 65%. As interest rates gradually increased to 2.16% by 2019, homeownership rates fluctuated but remained relatively stable, ending at 60% in 2019. This suggests that other factors, such as local economic conditions and housing supply, may have played a more significant role in homeownership decisions than interest rates alone.
Renter percentages in Longmont have ranged from 35% to 43% between 2013 and 2022. During this period, average rent prices increased steadily from $1,018 in 2013 to $1,753 in 2022, a 72% increase. The city's population grew from 90,075 in 2013 to 100,656 in 2022, potentially contributing to the rising rental costs. Interestingly, the highest percentage of renters (43%) was observed in 2015 when the average rent was $1,083, while the lowest renter percentage (35%) occurred in 2013 when rents were at their lowest in the dataset.
In 2023 and 2024, Longmont's housing market showed signs of stabilization. The average home price in 2023 was $571,788, a slight decrease from 2022, and in 2024 it marginally increased to $575,012. This trend coincides with higher interest rates, which rose to 5.02% in 2023 and 5.33% in 2024, potentially influencing buyer behavior and home prices.
Looking ahead, predictive models suggest that Longmont's housing market will continue to evolve. Over the next five years, average home prices are expected to show moderate growth, potentially reaching around $625,000 by 2029. Average rent prices are projected to follow a similar trend, potentially increasing to approximately $2,000 per month in the same period.
In summary, Longmont's housing market has demonstrated resilience and growth over the past decade. Despite significant increases in both home prices and rents, homeownership rates have remained relatively stable. The city's population growth, coupled with its desirable location, suggests that demand for housing will likely continue to drive both the ownership and rental markets in the coming years. The recent stabilization in home prices and higher interest rates may lead to a more balanced market, potentially offering opportunities for both buyers and renters in the future.
