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Pawtuckett's Housing Market: Rising Home Values and High Ownership Rates in Charlotte Neighborhood
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
Pawtuckett, a neighborhood in Charlotte, North Carolina, has experienced notable changes in homeownership rates and property values over the past decade. This area has maintained a high percentage of owner-occupied homes, with average home prices showing a consistent upward trend. The local real estate market's dynamic nature is reflected in fluctuating average rent prices.
The homeownership rate in Pawtuckett has remained relatively stable, with minor fluctuations over the years. In 2013, the ownership rate was 83%, increasing slightly to 86% by 2022. This trend aligns with the substantial growth in average home prices during the same period. The average home price in 2013 was $81,324, and by 2022, it had more than tripled to $285,685. This significant increase in property values may have contributed to the slight rise in homeownership, as residents sought to capitalize on the appreciating market.
Federal interest rates have played a crucial role in shaping homeownership trends in Pawtuckett. From 2013 to 2016, historically low interest rates ranged from 0.11% to 0.4%, coinciding with high homeownership rates between 78% and 85%. As interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, the homeownership rate in Pawtuckett actually increased slightly to 86%. This suggests that local factors, such as the strong appreciation in home values, may have outweighed the impact of rising interest rates on homeownership decisions in this neighborhood.
The renter population in Pawtuckett has fluctuated inversely to homeownership rates. In 2013, renters comprised 17% of the population, and this percentage remained relatively stable at 14% through 2022. Average rent prices have shown some variation, starting at $1,121 in 2013, peaking at $1,327 in 2021, and then decreasing to $1,111 in 2022. The population growth from 3,845 in 2013 to 4,883 in 2022 may have influenced these rent price fluctuations, as demand for rental properties likely changed with the growing population.
In 2023 and 2024, the real estate market in Pawtuckett continued to evolve. The average home price in 2023 was $291,929, showing a modest increase from 2022. In 2024, the average home price further rose to $306,448, indicating continued appreciation in the local housing market. Federal interest rates increased significantly during this period, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates may impact future homeownership trends and property values in the neighborhood.
Looking ahead, based on historical trends and current market conditions, we can project potential scenarios for the next five years. Average home prices in Pawtuckett are likely to continue their upward trajectory, albeit at a potentially slower rate due to higher interest rates. We might expect average home prices to reach around $350,000 to $375,000 by 2029. Average rent prices could also see moderate increases, potentially reaching $1,300 to $1,400 per month in the same timeframe, assuming steady population growth and demand for rental properties.
In summary, Pawtuckett has demonstrated a robust and resilient real estate market over the past decade. The neighborhood has maintained high homeownership rates despite significant increases in property values. The interplay between federal interest rates, population growth, and local market dynamics has shaped the trends in both homeownership and rental markets. As Pawtuckett continues to evolve, it will be interesting to observe how these factors influence the neighborhood's real estate landscape in the coming years.
