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Rising Home Values and Ownership in East Beverly: A Decade of Change
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
East Beverly, a neighborhood in Chicago, Illinois, has experienced significant shifts in its housing market over the past decade. This area has seen a notable increase in homeownership rates, coupled with fluctuating average home prices and rent costs. The neighborhood's unique character is reflected in its changing demographics and housing trends.
The percentage of owner-occupied homes in East Beverly has shown a consistent upward trend. In 2013, 68% of homes were owner-occupied, and this figure steadily increased to 81% by 2022. This substantial rise in homeownership coincides with interesting patterns in average home prices. In 2013, the average home price was $153,852, which rose to $277,524 by 2022, representing an impressive 80.4% increase over nine years.
The relationship between federal interest rates and homeownership rates in East Beverly presents an intriguing case. Despite historically low interest rates from 2013 to 2021 (ranging from 0.08% to 2.16%), homeownership rates continued to climb. This trend suggests that factors beyond interest rates, such as local economic conditions or neighborhood desirability, may have played a significant role in driving homeownership in East Beverly.
As homeownership increased, the percentage of renters in East Beverly decreased from 28% in 2013 to 19% in 2022. Interestingly, despite this decline in the renter population, average rent prices showed an overall upward trend. The average rent rose from $844 in 2013 to $1,544 in 2022, an increase of 82.9%. This trend indicates a tightening rental market, possibly due to reduced rental inventory as more properties transitioned to owner-occupied status.
Looking at the most recent data, the average home price in East Beverly slightly decreased to $277,104 in 2023 but is projected to rise to $288,544 in 2024. This represents a 4.1% increase from 2023 to 2024. Notably, federal interest rates have significantly increased to 5.02% in 2023 and 5.33% in 2024, which could potentially impact future homebuying trends in the neighborhood.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in East Beverly will continue to rise, albeit at a more moderate pace due to higher interest rates. We project average home prices could reach approximately $320,000 by 2029. For rent prices, the trend suggests continued growth, potentially reaching an average of around $1,800 per month by 2029, assuming the current trajectory and market conditions persist.
In summary, East Beverly has demonstrated a strong trend towards increased homeownership over the past decade, with a corresponding rise in average home prices. The rental market, while shrinking in terms of occupancy, has seen significant increases in average rent prices. These trends, combined with recent changes in interest rates, suggest a dynamic and evolving housing market in this Chicago neighborhood.
