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Markham, Illinois: Rising Home Values Amidst Population Decline
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Markham, Illinois, a suburban city south of Chicago, has experienced significant changes in its housing market over the past decade. Known for its diverse community and rich history, Markham has seen a notable increase in average home values despite a slight decline in homeownership rates. This analysis examines the city's housing trends from 2013 to 2024, focusing on homeownership rates, home prices, and rental market dynamics.
The homeownership rate in Markham showed a slight decline from 72% in 2013 to 69% in 2022. During this same period, the city witnessed a remarkable 240% increase in average home values, rising from $39,183 in 2013 to $133,431 in 2022. This substantial growth in home prices occurred despite a decrease in the city's population from 12,990 in 2013 to 11,901 in 2022.
The relationship between federal interest rates and homeownership rates in Markham generally followed expected patterns. When interest rates were at historic lows between 2020 and 2021 (0.38% and 0.08% respectively), homeownership rates remained relatively stable at 70% and 67%. However, as interest rates rose to 1.68% in 2022, the homeownership rate slightly increased to 69%, suggesting the influence of additional local factors on this trend.
The rental market in Markham also experienced changes during this period. Renter percentages increased from 26% in 2013 to 31% in 2022. Average rent prices saw a modest 1.2% increase, rising from $1,351 in 2013 to $1,367 in 2022. These shifts in the rental market occurred alongside the decrease in the city's population.
In 2023 and 2024, Markham's housing market continued to evolve. The average home price in 2023 was $132,411, showing a slight decrease from 2022. However, in 2024, the average home price increased to $136,207, indicating a recovery and continued growth. During this time, federal interest rates rose significantly to 5.02% in 2023 and 5.33% in 2024, potentially impacting home affordability and market dynamics.
Based on historical trends and current market conditions, forecasts for Markham's housing market over the next five years suggest continued growth. Average home prices are projected to maintain their upward trajectory, potentially reaching between $160,000 and $170,000 by 2029, assuming a moderate growth rate. Average rent prices may also see a gradual increase, potentially reaching $1,500 to $1,600 per month by 2029, reflecting inflation and housing demand.
In conclusion, Markham's housing market has demonstrated resilience and growth over the past decade, characterized by a significant increase in average home values despite a slight decline in homeownership rates. The rental market has experienced modest growth in both renter percentages and average rent prices. Recent data from 2023 and 2024 indicates continued appreciation in home values, even in the face of rising interest rates. These trends underscore the dynamic nature of Markham's housing market and its responsiveness to broader economic factors.
