Loading Content...
Rising Home Values and Declining Ownership: Mt. Auburn's Housing Transformation
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Mt. Auburn, a historic Cincinnati neighborhood, has undergone significant changes in its housing market over the past decade. From 2013 to 2022, the area experienced a substantial decline in homeownership rates coupled with a marked increase in average home prices. The percentage of owner-occupied homes decreased from 39% to 24%, representing a 15 percentage point drop. Simultaneously, average home prices rose from $105,198 to $253,745, a 141% increase over nine years. This inverse relationship suggests that rising home prices may have made homeownership less attainable for many residents.
Federal interest rate fluctuations appear to have influenced homeownership rates in Mt. Auburn. During periods of historically low interest rates between 2020 and 2021 (0.38% and 0.08% respectively), there was a slight uptick in homeownership from 29% to 27%. However, as interest rates rose to 1.68% in 2022, homeownership dropped to 24%, indicating that higher borrowing costs may have deterred potential buyers.
As homeownership declined, the proportion of renters in Mt. Auburn increased from 61% in 2013 to 76% in 2022. Concurrently, average rent prices rose from $697 to $1,065, a 53% increase. This trend suggests a growing demand for rental properties, possibly driven by those priced out of the homebuying market. The neighborhood's population remained relatively stable during this period, fluctuating between 4,900 and 5,200 residents, which may have contributed to the sustained demand for housing and subsequent rise in rent prices.
In 2023, the average home price in Mt. Auburn reached $257,458, showing continued appreciation despite higher interest rates of 5.02%. Moving into 2024, the average home price has further increased to $267,921, with interest rates rising slightly to 5.33%. These figures indicate ongoing strength in the local housing market, even in the face of higher borrowing costs.
Predictive models suggest that both average home prices and rent prices in Mt. Auburn are likely to continue their upward trajectory over the next five years. Home prices could potentially reach or exceed $300,000 by 2029, while average rent prices may approach or surpass $1,300 per month. These projections are based on the consistent growth patterns observed in recent years and assume relatively stable economic conditions.
In summary, Mt. Auburn has experienced a significant shift towards a renter-majority community over the past decade, with homeownership rates declining as housing costs have risen. The interplay between federal interest rates, home prices, and rental demand has shaped the neighborhood's housing landscape. As the area continues to evolve, it will likely see further increases in both home values and rental prices, potentially altering the socio-economic makeup of this historic Cincinnati neighborhood.
