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Procter Neighborhood's Housing Market: Rising Home Values Amidst Ownership Fluctuations
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
The Procter neighborhood in Independence, Missouri, has experienced significant changes in its housing market over the past decade. This area has seen fluctuations in homeownership rates, coupled with substantial increases in both average home prices and average rent prices. The neighborhood's population has remained relatively stable, hovering around 3,000 to 3,500 residents throughout the observed period.
The relationship between homeownership rates and average home prices in Procter reveals some interesting trends. In 2013, the homeownership rate stood at 48%, with an average home price of $39,085. As average home prices steadily increased, reaching $54,949 by 2016, the homeownership rate declined to 41%. This trend continued, with homeownership falling to its lowest point of 34% in 2019, while average home prices surged to $87,255. Interestingly, there was a slight recovery in homeownership to 41% by 2021, despite average home prices climbing to $118,004. This suggests that factors beyond just home prices, such as local economic conditions or housing policies, may have influenced homeownership rates.
Federal interest rates have played a role in shaping homeownership trends in Procter. From 2013 to 2015, interest rates remained very low, around 0.1-0.13%, coinciding with stable homeownership rates of 48%. As interest rates began to rise, reaching 1.83% by 2018, homeownership rates declined to 35%. However, the sharp drop in interest rates to 0.38% in 2020 and 0.08% in 2021 corresponded with an increase in homeownership to 41%, likely due to more affordable financing options.
Renter percentages and average rent prices in Procter have shown a generally positive correlation. In 2013, 52% of residents were renters, with an average rent of $717. As the renter percentage increased to 59% by 2016, average rent rose to $740. The renter population peaked at 66% in 2019, with average rent reaching $772. Despite a slight decrease in the renter percentage to 62% by 2022, average rent continued to climb, reaching $960. This trend suggests that increasing demand for rentals has contributed to rising rent prices, even as the renter population has slightly decreased in recent years.
In 2023 and 2024, Procter's housing market continued its upward trajectory. Average home prices rose to $143,599 in 2023 and further increased to $151,509 in 2024. This represents a significant 12.5% increase from 2022 to 2024. Concurrently, federal interest rates climbed to 5.02% in 2023 and 5.33% in 2024, reaching levels not seen since before the 2008 financial crisis. These higher interest rates may impact future homeownership rates and housing affordability in the neighborhood.
Looking ahead, predictive models suggest that average home prices in Procter will continue to rise over the next five years, albeit at a potentially slower pace due to higher interest rates. Average home prices could reach approximately $175,000 to $185,000 by 2029. Average rent prices are also expected to increase, potentially reaching $1,100 to $1,200 per month by 2029, driven by ongoing demand for rental properties and overall housing market appreciation.
In summary, Procter has experienced a significant increase in both average home prices and average rent prices over the past decade, with homeownership rates fluctuating in response to these changes and broader economic factors. The recent surge in interest rates, combined with consistently rising home prices, may present challenges for potential homebuyers in the coming years. However, the neighborhood's resilience in maintaining a relatively stable population suggests that it remains an attractive area for both homeowners and renters alike.
