Renter percentages in Rockford have shown an inverse relationship to homeownership rates, decreasing from 28% in 2013 to 23% in 2022. Interestingly, average rent prices have not followed a consistent trend during this period. In 2013, the average rent was $658, which increased to $791 by 2015. However, rent prices then fluctuated, dropping to $622 in 2017 before rising again to $842 in 2022. This 28% increase in average rent from 2013 to 2022, coupled with the city's population growth from 1,751 to 2,432 during the same period, suggests increasing demand for rental properties despite the overall decline in renter percentages.

In 2023 and 2024, Rockford's housing market continued its upward trajectory. The average home price reached $298,383 in 2023 and further increased to $310,041 in 2024, representing a 12% rise over two years. Concurrently, federal interest rates climbed significantly, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates may impact future homeownership trends and housing affordability in the city.

Looking ahead, predictive models suggest that Rockford's average home prices will continue to rise over the next five years, potentially reaching around $350,000 by 2029. Average rent prices are also expected to increase, possibly surpassing $1,000 per month within the same timeframe. These projections are based on historical trends and current market conditions.

In summary, Rockford has experienced a robust increase in homeownership rates and average home prices over the past decade, despite fluctuations in interest rates. The rental market has seen more variable trends, with decreasing renter percentages but overall increasing average rent prices. The city's growing population and rising property values indicate a strong demand for housing, which is likely to continue driving both the ownership and rental markets in the coming years.