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Rising Home Values and Changing Ownership in Bourbonnais: A Decade of Housing Trends
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Bourbonnais, located in Illinois, is a vibrant community with a rich history and dynamic real estate market. Over the past decade, the city has experienced notable shifts in homeownership rates and property values, reflecting broader economic trends and local market conditions. The homeownership rate in Bourbonnais has shown a slight downward trend from 2013 to 2022. In 2013, 73% of residents owned their homes, while by 2022, this figure had remained relatively stable at 73%. During this period, average home prices in the area demonstrated a significant upward trajectory. In 2013, the average home price was $173,572, and by 2022, it had risen to $243,356, representing a substantial increase of 40.2% over nine years.
Federal interest rates have played a crucial role in shaping homeownership trends in Bourbonnais. From 2013 to 2015, interest rates remained exceptionally low, hovering around 0.1-0.13%. This period coincided with an increase in homeownership rates, peaking at 76% in 2015 and 2016. As interest rates began to rise gradually from 2016 onwards, reaching 1.68% in 2022, there was a corresponding slight decline in homeownership rates, settling at 73% in 2022.
The rental market in Bourbonnais has shown interesting trends as well. The percentage of renters increased modestly from 27% in 2013 to 27% in 2022. During this period, average rent prices also saw an upward trend. In 2013, the average rent was $1,045, and by 2022, it had risen to $1,071, an increase of 2.5%. It's worth noting that the population grew from 23,774 in 2013 to 23,888 in 2022, potentially contributing to the demand for rental properties.
Looking at the most recent data, the average home price in Bourbonnais reached $254,050 in 2023 and further increased to $268,897 in 2024. This represents a significant jump of 10.5% from 2022 to 2024. Concurrently, federal interest rates have risen sharply, reaching 5.02% in 2023 and 5.33% in 2024, which may impact future homeownership rates and market dynamics.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in Bourbonnais will continue to rise, potentially reaching around $320,000 by 2029. This projection is based on the consistent upward trend observed over the past decade and recent acceleration in price growth. For rent prices, the model suggests a more moderate increase, potentially reaching an average of approximately $1,250 per month by 2029, considering the historical growth rate and current market conditions.
In summary, Bourbonnais has maintained a relatively stable homeownership rate despite rising home prices over the past decade. The interplay between federal interest rates, property values, and rental market dynamics has shaped the local real estate landscape. With recent sharp increases in both home prices and interest rates, the market may face new challenges and opportunities in the coming years, potentially affecting affordability and homeownership trends.
