Morganton, a city in North Carolina, has experienced significant changes in its housing market over the past decade. This analysis examines the relationship between homeownership rates, average home prices, and average rent prices in this community. Morganton's homeownership rate has fluctuated slightly between 2013 and 2022. In 2013, the rate was 63%, peaking at 68% in 2017, before settling at 64% in 2022. This minor decline in homeownership coincides with a substantial increase in average home prices. From 2016 to 2022, average home prices in Morganton rose from $124,158 to $221,773, representing a 78.6% increase over six years.

The relationship between federal interest rates and homeownership rates in Morganton reveals an interesting pattern. As interest rates remained low from 2013 to 2016, around 0.1%, homeownership rates increased from 63% to 66%. However, as interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, homeownership rates showed a slight decline, settling at 64% in 2022. This trend aligns with the general principle that lower interest rates tend to encourage homeownership due to more affordable financing options.

Renter percentages in Morganton have shown an inverse relationship to homeownership rates. The percentage of renters decreased from 37% in 2013 to 32% in 2017, before increasing slightly to 36% by 2022. Average rent prices have shown volatility during this period. In 2013, the average rent was $643, which increased to $838 in 2016, a 30.3% jump. However, rent prices then fluctuated, dropping to $731 in 2019 before rising again to $761 in 2022. This volatility in rent prices, coupled with the city's fluctuating population (from 27,545 in 2013 to 27,379 in 2022), suggests a complex rental market influenced by various factors beyond simple supply and demand.