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Parkview, Chicago: Soaring Home Values and Resilient Ownership Rates
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Parkview, a neighborhood in Chicago, Illinois, has experienced significant changes in its housing market over the past decade. This area has seen notable shifts in homeownership rates, average home prices, and rental trends, reflecting broader economic and demographic changes in the region.
The homeownership rate in Parkview has shown a remarkable increase in recent years. In 2013, the neighborhood had a high 96% owner-occupied rate, which slightly decreased to 83% by 2019. However, there has been a significant rebound, with homeownership reaching an impressive 98% in 2022. This trend coincides with fluctuations in average home prices. The average home price in Parkview rose from $94,370 in 2013 to $228,931 in 2022, representing a substantial 142% increase over this period.
The relationship between federal interest rates and homeownership rates in Parkview appears to follow typical patterns. As interest rates remained low from 2013 to 2021, ranging from 0.08% to 1.83%, homeownership rates generally remained high. The slight dip in homeownership between 2016 and 2019 could be attributed to the gradual increase in interest rates during that period. However, the sharp rise in homeownership from 2020 to 2022, despite increasing interest rates, suggests other factors such as local market conditions or demographic shifts may have played a significant role.
Rental trends in Parkview have shown volatility. The percentage of renter-occupied units increased from 4% in 2013 to a peak of 17% in 2017 and 2019, before sharply declining to just 2% in 2022. Average rent prices have fluctuated considerably, peaking at $2,250 in 2013-2015, then decreasing to $965 by 2022. This decline in both rental percentage and average rent prices, coupled with the increase in homeownership, suggests a strong preference for home buying in the neighborhood in recent years.
Looking at the most recent data, the average home price in Parkview slightly decreased to $222,283 in 2023 but is projected to rise to $229,004 in 2024. This occurs against the backdrop of significantly higher federal interest rates, which reached 5.02% in 2023 and 5.33% in 2024. Despite these higher rates, the housing market in Parkview appears to remain robust, indicating strong local demand.
Applying predictive models to forecast 5-year trends, we can anticipate continued growth in average home prices in Parkview, albeit at a potentially slower rate due to higher interest rates. The average home price could potentially reach around $250,000 by 2029. Rent prices may stabilize or see modest increases, possibly reaching an average of $1,100-$1,200 per month in the same timeframe, assuming the rental market regains some share.
In summary, Parkview has transformed into a predominantly owner-occupied neighborhood with steadily increasing property values. The sharp rise in homeownership, coupled with declining rental rates and average rents, suggests a strong local preference for home buying. Despite recent increases in interest rates, the housing market in Parkview remains resilient, indicating sustained demand and potentially continued growth in the coming years.
