Loading Content...
Marion's Housing Market: Rising Home Values and Declining Ownership in Warren G. Harding's Birthplace
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Marion, Ohio, the birthplace of President Warren G. Harding and a city with a rich industrial heritage, has experienced significant changes in its housing market over the past decade. This analysis explores the trends in homeownership rates, average home prices, and rent costs, and their implications for Marion's housing landscape. From 2013 to 2022, Marion witnessed a notable decrease in homeownership rates, dropping from 62% to 58%. During this same period, average home prices in the city showed a substantial increase. In 2013, the average home price was $68,351, which rose dramatically to $138,865 by 2022, representing a 103% increase over nine years. This inverse relationship between homeownership rates and home prices suggests that rising property values may have made homeownership less attainable for some Marion residents.
The fluctuations in federal interest rates have likely played a role in shaping Marion's homeownership trends. In 2013, when homeownership was at 62%, the federal interest rate was 0.11%. As interest rates remained low through 2020 (0.38%), homeownership rates stabilized around 58-59%. However, the sharp increase in interest rates to 1.68% in 2022 coincided with a slight dip in homeownership to 58%, potentially making mortgages less affordable for prospective buyers.
As homeownership declined, the percentage of renters in Marion increased from 38% in 2013 to 42% in 2022. This shift was accompanied by a steady rise in average rent prices. In 2013, the average rent was $706 per month, climbing to $797 by 2022, an increase of 12.9% over nine years. The growing renter population and rising rent prices indicate an increasing demand for rental properties in Marion, possibly driven by those unable to enter the homeownership market due to rising home prices and interest rates.
Looking at the most recent data, Marion's housing market continued its upward trajectory in 2023 and 2024. The average home price reached $145,346 in 2023 and further increased to $154,719 in 2024, representing a 6.4% and 11.4% rise from 2022, respectively. These increases occurred despite elevated federal interest rates of 5.02% in 2023 and 5.33% in 2024, suggesting strong demand in the local housing market despite higher borrowing costs.
Applying predictive models to forecast the next five years, we anticipate that average home prices in Marion will continue to rise, potentially reaching around $180,000 by 2029 if current trends persist. Average rent prices are also expected to increase, potentially surpassing $900 per month within the same timeframe. These projections assume relatively stable economic conditions and continued population growth in Marion.
In summary, Marion's housing market has undergone significant changes over the past decade, characterized by declining homeownership rates, rapidly appreciating home values, and rising rent costs. The inverse relationship between homeownership and home prices, coupled with the impact of fluctuating interest rates, has reshaped the city's housing landscape. As Marion moves forward, these trends suggest a continuing shift towards a more rental-oriented market, with potential challenges for affordability in both the homeownership and rental sectors.
