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McCoy Neighborhood: Rising Home Values Amidst Shifting Ownership Trends
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
The McCoy neighborhood in Independence, Missouri has experienced significant changes in its housing market over the past decade. This analysis focuses on the fluctuations in homeownership rates, average home prices, and rental trends from 2013 to 2024, with projections for the future.
The balance between homeowners and renters in McCoy has shifted notably since 2013. Homeownership rates rose from 40% in 2013 to a peak of 52% in 2017, before declining to 35% by 2022. This trend coincided with a substantial increase in average home prices, which more than doubled from $63,242 in 2013 to $169,604 in 2022, representing a 168% increase over nine years.
Federal interest rates appear to have influenced homeownership trends in McCoy. During periods of historically low interest rates (0.09% to 0.4%) between 2013 and 2016, homeownership rates increased from 40% to 48%. However, as interest rates began to rise more significantly from 2017 onwards, reaching 1.68% by 2022, homeownership rates in McCoy declined to 35%.
Renter percentages in McCoy have generally moved inversely to homeownership rates, increasing from 60% in 2013 to 65% in 2022. Average rent prices showed an overall upward trend, rising from $544 in 2013 to $659 in 2022, a 21% increase. However, there were periods of decline, such as in 2020 and 2021 when average rents dropped to $511 and $510 respectively, possibly due to broader economic conditions.
As of 2024, the average home price in McCoy has further increased to $186,363, a 10% rise from 2022. This appreciation occurs against a backdrop of higher interest rates, with the federal interest rate at 5.33% in 2024. The combination of rising home prices and higher interest rates may present challenges for potential homebuyers in the neighborhood.
Looking ahead to the next five years, if current trends continue, average home prices in McCoy could potentially reach around $230,000 to $250,000 by 2029. Rent prices might stabilize or continue a moderate upward trend, potentially averaging $700 to $750 per month by 2029. However, these projections are subject to various economic factors and local market conditions.
In conclusion, the McCoy neighborhood has experienced a significant shift towards renting over the past decade, coupled with substantial appreciation in home values. The interplay between interest rates, homeownership rates, and housing costs highlights the complex dynamics shaping this local real estate market. As the neighborhood continues to evolve, these trends will likely play a crucial role in determining its future housing landscape.
