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Morrisville, Missouri: Rising Home Values and Declining Ownership in a Changing Small Town
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
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Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Morrisville, a small town in Missouri, has experienced significant changes in its housing market and population dynamics over the past decade. The town has seen a notable shift in homeownership rates and fluctuations in average home and rent prices, reflecting broader economic trends and local market conditions.
From 2013 to 2022, Morrisville witnessed a substantial decline in homeownership rates, dropping from 87% to 55%. This 32 percentage point decrease coincided with a significant rise in average home prices. In 2013, the average home price in Morrisville was $127,710, which steadily increased to $268,946 by 2022, representing a 110% increase over this period.
The trend of declining homeownership rates appears to be inversely related to federal interest rates. From 2013 to 2016, when interest rates were at historic lows (ranging from 0.11% to 0.40%), homeownership in Morrisville remained relatively stable, hovering around 78-79%. However, as interest rates began to rise more significantly from 2017 onwards, reaching 1.68% by 2022, homeownership rates in Morrisville saw a steeper decline, falling to 55% by 2022.
Conversely, the percentage of renters in Morrisville has increased substantially, rising from 13% in 2013 to 45% in 2022. This trend has been accompanied by a significant increase in average rent prices. In 2013, the average rent was $483, which increased to $657 by 2022, representing a 36% rise. It's worth noting that the town's population decreased from 1,354 in 2013 to 929 in 2022, which may have influenced the rental market dynamics.
In 2023 and 2024, Morrisville's housing market continued to evolve. The average home price in 2023 reached $273,223, further climbing to $281,973 in 2024. This represents a 4.8% increase from 2022 to 2024. Concurrently, federal interest rates rose significantly, reaching 5.02% in 2023 and 5.33% in 2024, potentially impacting homebuying affordability and market dynamics.
Looking ahead, based on the observed trends, we can project that average home prices in Morrisville may continue to rise over the next five years, potentially reaching around $320,000 by 2029. Average rent prices could also see continued growth, possibly approaching $800 per month in the same timeframe. However, these projections assume a continuation of current trends and do not account for potential economic shifts or policy changes.
In summary, Morrisville has experienced a significant shift from a predominantly homeowner community to one with a more balanced mix of owners and renters. This transition has occurred alongside substantial increases in both home values and rent prices. The interplay between federal interest rates, local economic conditions, and population changes has likely contributed to these evolving housing market dynamics in Morrisville.
