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Rising Home Values and Ownership Trends in Freedom, PA: A Decade of Housing Market Dynamics
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Freedom, Pennsylvania, is a small community with a population of 1,625 as of 2022, situated in a compact area of just 0.6 square miles. This charming borough has experienced fluctuations in its homeownership rates and housing prices over the years, reflecting broader economic trends and local market dynamics.
The homeownership rate in Freedom has shown some variability, ranging from a high of 70% in 2015 and 2016 to a low of 63% in 2017. As of 2022, the homeownership rate stood at 64%. Concurrently, average home prices have demonstrated a general upward trend, particularly in recent years. In 2010, the average home price was $132,192, which increased to $209,067 by 2022, representing a significant appreciation of approximately 58% over this period.
Examining the relationship between homeownership rates and average home prices reveals some interesting patterns. Despite the overall increase in home prices, homeownership rates have remained relatively stable, fluctuating within a 7-percentage point range. For instance, when average home prices rose from $141,522 in 2016 to $146,219 in 2017, there was a notable decrease in homeownership from 70% to 63%. However, as prices continued to climb to $209,067 in 2022, the homeownership rate slightly recovered to 64%.
Federal interest rates have played a role in shaping homeownership trends in Freedom. The period from 2010 to 2015 saw historically low interest rates, ranging from 0.09% to 0.18%. During this time, homeownership rates increased from 65% in 2013 to 70% in 2015, likely influenced by the favorable borrowing conditions. As interest rates began to rise more significantly from 2016 onwards, reaching 1.68% in 2022, homeownership rates showed a slight decline, settling at 64% by 2022.
Renter percentages in Freedom have inversely mirrored homeownership rates, ranging from 30% to 37% between 2013 and 2022. Average rent prices have shown volatility over this period. In 2013, the average rent was $855, which decreased to $696 in 2015 before rising again to $949 in 2021. By 2022, the average rent had moderated to $784. The fluctuations in rent prices don't always directly correspond with changes in the renter population, suggesting that other factors such as local economic conditions and housing supply also influence rental markets.
Looking at the most recent data, average home prices in Freedom continued to rise, reaching $210,157 in 2023 and $231,215 in 2024. This represents a substantial increase of about 10% from 2022 to 2024. Concurrently, federal interest rates have also climbed significantly, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates may impact affordability and potentially influence future homeownership trends in the borough.
Applying predictive models to forecast 5-year trends, it's anticipated that average home prices in Freedom will continue to appreciate, albeit at a potentially slower rate due to higher interest rates. Average home prices could reach approximately $260,000 to $280,000 by 2029. Rent prices are also expected to increase moderately, potentially reaching an average of $900 to $1,000 per month in the same timeframe.
In summary, Freedom has experienced a general trend of increasing home values over the past decade, with some fluctuations in homeownership rates. The interplay between federal interest rates, home prices, and ownership rates highlights the complex dynamics of the local housing market. While homeownership has remained relatively stable despite rising prices, future trends will likely be influenced by the recent surge in interest rates and continued home price appreciation.
