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Mill Run: Shifting Home Values and Ownership in a Columbus Neighborhood
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Mill Run, a neighborhood in Columbus, Ohio, has undergone significant changes in its housing market over the past decade. The area has experienced a notable shift from a predominantly homeowner community to one with a majority of renters, accompanied by substantial increases in average home prices.
From 2013 to 2022, Mill Run saw a dramatic change in homeownership rates. Initially at 62% in 2013, homeownership peaked at 67% in 2016 before plummeting to 42% by 2022. This 20 percentage point decrease over six years signifies a rapid transition towards a renter-majority community.
Concurrent with declining homeownership, average home prices in Mill Run have shown a consistent upward trend. The average home price more than doubled from $112,116 in 2013 to $242,865 in 2022, representing a 116.6% increase over nine years. This substantial appreciation in home values likely contributed to the shift towards renting, as higher prices may have made homeownership less attainable for some residents.
The relationship between federal interest rates and homeownership rates in Mill Run appears to follow general economic principles. During periods of historically low interest rates (0.11% to 0.40% from 2013 to 2016), homeownership rates increased. However, as interest rates began to rise more significantly from 2017 onwards, reaching 1.68% in 2022, homeownership rates in the neighborhood declined sharply, suggesting that rising interest rates may have contributed to making mortgages less affordable.
The renter population in Mill Run has grown substantially, with the percentage of renters increasing from 38% in 2013 to 58% in 2022. Interestingly, average rent prices have not risen as dramatically as home prices. The average rent decreased from $1,573 in 2013 to $1,081 in 2015 before gradually rising to $1,306 in 2022, representing a modest 17% decrease over the nine-year period. This trend potentially made renting a more attractive option for residents faced with rising home prices.
Recent data shows a slight cooling in the housing market. The average home price in Mill Run decreased from $242,865 in 2022 to $232,454 in 2024, a modest decline of 4.3% over two years. Concurrently, federal interest rates have risen significantly, reaching 5.33% in 2024, which may further impact homebuying decisions in the neighborhood.
Predictive models forecast that over the next five years, average home prices in Mill Run may stabilize or experience moderate growth, assuming relatively stable economic conditions. Rent prices are expected to continue their gradual upward trend, potentially reaching around $1,500 by 2029. However, these predictions are subject to various economic factors and local market conditions.
In conclusion, Mill Run has transformed from a predominantly homeowner community to one with a majority of renters over the past decade. This shift has occurred alongside substantial increases in average home prices and more modest changes in rent prices. The interplay between federal interest rates, housing affordability, and demographic changes has significantly shaped the neighborhood's real estate landscape, creating a dynamic and evolving market for both homeowners and renters.
