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Oakmont's Rising Home Values and Shifting Ownership: A Decade of Change in a Historic Pennsylvania Borough
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Oakmont, situated in Pennsylvania, is a charming community renowned for its historic appeal and the prestigious Oakmont Country Club, which has played host to numerous U.S. Open Championships. Over the past decade, this small town has experienced notable shifts in its housing market, with interesting trends in homeownership rates, average home prices, and average rent prices.
The percentage of owner-occupied homes in Oakmont has shown a gradual decline from 2013 to 2022. In 2013, 62% of housing units were owner-occupied, but by 2022, this figure had decreased to 59%. Concurrently, average home prices have seen a substantial increase. In 2013, the average home price was $182,563, which rose steadily to reach $300,799 by 2022, representing a significant 64.8% increase over this period.
The relationship between federal interest rates and homeownership rates in Oakmont presents an interesting dynamic. Despite historically low interest rates from 2013 to 2021, ranging from 0.08% to 0.14%, homeownership rates did not increase as might be expected. Instead, the percentage of owner-occupied homes decreased slightly during this period, suggesting that other local factors may have influenced homeownership trends more strongly than national interest rates.
As homeownership rates declined, the percentage of renter-occupied units increased from 38% in 2013 to 41% in 2022. Average rent prices have fluctuated over this period but showed an overall upward trend. In 2013, the average rent was $896, which increased to $954 by 2021, representing a 6.5% rise. However, there was a notable decrease to $864 in 2022, potentially indicating a shift in the local rental market dynamics.
The years 2023 and 2024 have brought further changes to Oakmont's housing market. The average home price continued its upward trajectory, reaching $304,151 in 2023 and climbing further to $317,256 in 2024. This represents a 5.5% increase from 2022 to 2024. Concurrently, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024, which may impact future homebuying decisions in the area.
Looking ahead, predictive models suggest that average home prices in Oakmont are likely to continue their upward trend over the next five years, potentially reaching around $350,000 by 2029. Average rent prices, which have shown more volatility, may stabilize and gradually increase, potentially reaching approximately $1,000 per month in the same timeframe.
In summary, Oakmont has experienced a gradual shift towards more renter-occupied housing units over the past decade, despite an overall increase in average home prices. The recent sharp rise in federal interest rates, coupled with steadily increasing home prices, may further impact homeownership trends in the coming years. The rental market, while showing some fluctuations, has generally trended upwards, reflecting the increasing demand for rental properties in this desirable Pennsylvania borough.
