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Rising Home Values and Ownership in Zip Code 44089: Vermilion's Resilient Housing Market
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
Zip code 44089, located in Vermilion, Ohio, has shown interesting trends in homeownership and housing prices over the past decade. This area has experienced fluctuations in its population and housing market, with a general trend towards increased homeownership and rising average home prices. The ownership percentage in zip code 44089 has shown a steady increase from 2013 to 2022. In 2013, 75% of residents were homeowners, and this figure rose to 79% by 2022. This upward trend in homeownership coincides with a significant increase in average home prices. In 2013, the average home price was $128,453, and it rose consistently year over year, reaching $222,006 by 2022. This represents a substantial 72.8% increase in average home prices over this period.
Federal interest rates have played a role in influencing homeownership rates in the area. From 2013 to 2016, interest rates remained very low, hovering around 0.1% to 0.4%. During this period, homeownership rates fluctuated slightly but remained relatively stable. As interest rates began to rise more significantly from 2017 onwards, reaching 1.68% in 2022, homeownership rates continued to increase, suggesting that other factors such as local economic conditions and housing market dynamics may have had a stronger influence on homeownership in this zip code.
The renter percentage in zip code 44089 has correspondingly decreased from 25% in 2013 to 21% in 2022. Despite this decrease in the proportion of renters, average rent prices have generally trended upward. In 2013, the average rent was $913, and it increased to $904 by 2022, with some fluctuations in between. The highest average rent was recorded in 2021 at $1,041. It's worth noting that despite the decrease in the percentage of renters, the actual number of renters may not have decreased significantly due to the overall population growth in the area from 15,757 in 2013 to 15,821 in 2022.
In 2023, the average home price in zip code 44089 reached $230,596, continuing the upward trend observed in previous years. This increase occurred despite a significant rise in federal interest rates to 5.02% in 2023. Moving into 2024, the average home price further increased to $239,757, while federal interest rates slightly rose to 5.33%. These figures indicate a resilient housing market in the area, with home prices continuing to appreciate even in the face of higher borrowing costs.
Looking ahead, based on the historical data and current trends, we can predict that average home prices in zip code 44089 will likely continue to rise over the next five years, albeit potentially at a more moderate pace due to higher interest rates. Average rent prices may also see a gradual increase, driven by overall housing demand and inflation. However, the rate of increase for both home prices and rents may be tempered by economic factors and affordability concerns.
In summary, zip code 44089 has demonstrated a clear trend towards increased homeownership and rising average home prices over the past decade. Despite higher interest rates in recent years, the housing market has remained strong, with continued price appreciation. The area has also seen a decrease in the percentage of renters, although average rent prices have generally increased. These trends suggest a robust and desirable housing market in Vermilion, Ohio, with potential for continued growth in the coming years.
