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Rising Home Values and Shifting Ownership in Holiday Hills, Danville
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Holiday Hills, a neighborhood in Danville, Illinois, has experienced significant changes in its housing market over the past decade. The area has seen a notable shift in homeownership rates, average home prices, and rental dynamics, reflecting broader economic trends and local market conditions.
The homeownership rate in Holiday Hills has gradually declined from 55% in 2013 to 49% in 2022. During this same period, average home prices have shown a general upward trend, increasing from $41,419 in 2013 to $57,196 in 2022, representing a 38% rise over nine years.
Federal interest rates have played a crucial role in shaping homeownership trends in Holiday Hills. From 2013 to 2016, when interest rates were at historic lows (0.11% to 0.40%), the homeownership rate remained relatively stable at around 53%. However, as interest rates began to climb from 2017 onwards, reaching 1.68% in 2022, the homeownership rate declined to 49%. This inverse relationship suggests that rising interest rates may have made homeownership less attainable for some residents.
As homeownership has declined, the renter population in Holiday Hills has grown. The percentage of renters increased from 44% in 2013 to 51% in 2022. Interestingly, average rent prices have not shown a consistent upward trend during this period. In 2013, the average rent was $542, which fluctuated over the years, dropping to $484 in 2015 before rising to $561 in 2022. The population of Holiday Hills has also changed, decreasing from 3,723 in 2013 to 3,603 in 2022, which may have influenced rental market dynamics.
In recent years, Holiday Hills has continued to see an increase in average home prices. The average home price reached $62,482 in 2023 and further rose to $63,737 in 2024, marking a significant 11.4% increase from 2022 to 2024. This price growth has occurred despite the sharp rise in federal interest rates, which stood at 5.02% in 2023 and 5.33% in 2024, potentially impacting affordability for prospective homebuyers.
Based on observed trends and current market conditions, it is projected that average home prices in Holiday Hills may continue to rise moderately over the next five years, possibly reaching around $70,000 by 2029. Average rent prices, which have shown more volatility, may stabilize and potentially increase to approximately $600-$650 per month in the same timeframe, assuming steady demand for rental properties continues.
In conclusion, Holiday Hills has transitioned to a renter-majority population, with declining homeownership rates coinciding with rising home prices and fluctuating interest rates. The recent sharp increases in both home prices and interest rates suggest a challenging environment for potential homebuyers, which may further reinforce the trend towards renting in the near future. The neighborhood's housing market appears to be in a state of transition, with the potential for continued price appreciation in both the ownership and rental sectors.
