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Rising Home Values and Fluctuating Ownership: La Salle's Evolving Housing Market
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
La Salle, a neighborhood in St. Louis, Missouri, has experienced notable changes in its housing market over the past decade. The area has seen a general trend of increasing average home prices and evolving homeownership rates. From 2013 to 2022, the relationship between homeownership percentages and average home prices in La Salle presented an interesting pattern. In 2013, when the homeownership rate was 25%, the average home price was $156,143. As homeownership increased to 35% in 2022, average home prices rose to $218,841, suggesting a positive correlation between these factors.
Federal interest rates have played a role in shaping homeownership trends in La Salle. During periods of low interest rates, such as 2013-2015 when rates were below 0.15%, homeownership remained relatively stable around 25-29%. Interestingly, as interest rates began to rise from 2016 onwards, reaching 1.68% in 2022, homeownership in La Salle actually increased to 35%. This counterintuitive trend might be attributed to other local factors influencing the housing market.
The rental market in La Salle has shown significant changes as well. The percentage of renters decreased from 74% in 2013 to 65% in 2022. During this period, average rent prices demonstrated considerable volatility. In 2013, the average rent was $755, which decreased to $616 in 2015 before rising sharply to $1,336 in 2019. By 2022, the average rent had stabilized somewhat at $1,092. The population fluctuations, from 332 in 2013 to 298 in 2022, may have contributed to these rental market dynamics.
In 2023 and 2024, La Salle's housing market continued to evolve. The average home price in 2023 reached $224,510, showing continued growth from previous years. However, in 2024, there was a slight decrease to $223,043. This coincided with a significant increase in federal interest rates, which rose to 5.02% in 2023 and further to 5.33% in 2024. These higher interest rates may be contributing to the slight cooling in home prices.
Looking ahead, based on the current trends and market conditions, we can project potential scenarios for the next five years. Average home prices in La Salle may continue to experience moderate growth, potentially reaching around $240,000 by 2029. However, this growth might be tempered by the high interest rates if they persist. Average rent prices could stabilize around $1,200-$1,300, assuming the population remains relatively stable and no major economic shifts occur.
In summary, La Salle has experienced a gradual increase in homeownership rates alongside rising average home prices over the past decade. The rental market has shown volatility, with a general trend towards higher average rents despite a decreasing percentage of renters. The recent rise in interest rates appears to be having a cooling effect on home price growth, which may influence future homeownership trends in the neighborhood.
