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Rising Home Values and Ownership in Zip Code 66854: Hartford'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
Hartford, Kansas, zip code 66854, presents an intriguing case study of homeownership and rental trends in a small Midwestern community. Over the past decade, this area has seen fluctuations in its ownership rates, average home prices, and average rent prices, reflecting broader economic shifts and local dynamics.
The homeownership rate in zip code 66854 has shown a general upward trend, increasing from 72% in 2015 to 79% in 2022. This rise in homeownership coincides with a significant increase in average home prices, which grew from $83,438 in 2015 to $135,174 in 2022, representing a 62% increase over seven years. This correlation suggests that despite rising prices, more residents have been able to enter the housing market, possibly due to factors such as increased local economic stability or favorable mortgage conditions.
Federal interest rates have played a crucial role in shaping homeownership trends. The period from 2015 to 2022 saw historically low interest rates, ranging from 0.13% to 1.68%. These low rates likely contributed to the increased homeownership in zip code 66854, as they made mortgages more affordable and accessible to a broader range of buyers. The sharp rise in homeownership from 74% in 2020 to 79% in 2022 aligns with the period of exceptionally low interest rates (0.38% in 2020 and 0.08% in 2021), further supporting this connection.
Conversely, the rental market in zip code 66854 has experienced some fluctuations. The percentage of renters decreased from 28% in 2015 to 21% in 2022. Despite this decline in the renter population, average rent prices have shown an overall upward trend, rising from $577 in 2015 to $744 in 2022, a 29% increase. This trend suggests that while fewer residents are renting, those who do are paying higher prices, possibly due to improved rental property quality or increased demand for the limited rental stock available.
Looking at the most recent data, average home prices in zip code 66854 continued to rise, reaching $137,603 in 2023 and $144,531 in 2024. This represents a steady increase of about 5% per year. Interestingly, this growth persists despite the significant jump in federal interest rates to 5.02% in 2023 and 5.33% in 2024, which typically would be expected to cool the housing market.
Applying predictive models to forecast 5-year trends, we can anticipate continued growth in both average home prices and rent prices in zip code 66854. Based on the historical data and current trends, average home prices could potentially reach around $170,000 to $180,000 by 2029. Average rent prices might increase to approximately $850 to $900 per month in the same timeframe, assuming the current growth rate continues.
In summary, zip code 66854 has demonstrated a strong trend towards homeownership, with rising property values and a decreasing renter population. The area has shown resilience in its housing market, with prices continuing to climb even in the face of rising interest rates. These trends suggest a stable and potentially growing local economy, with an increasing preference for homeownership among residents. The rental market, while shrinking, has seen price increases, indicating a possible shift towards higher-quality or more desirable rental properties.
