Rising Home Values and Shifting Ownership in Sublette, Illinois: A Decade of Housing Market Changes
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
DATA SOURCE
Sublette, located in Illinois, is a small community that has experienced significant changes in its housing market over the past decade. This analysis explores the trends in homeownership rates, average home prices, and average rent prices in Sublette, highlighting the relationship between these factors and their potential future trajectories.
The homeownership rate in Sublette has shown a general decline from 2013 to 2022. In 2013, 79% of housing units were owner-occupied, but by 2022, this figure had dropped to 62%. This downward trend in homeownership coincides with a period of rising average home prices. While specific home price data for earlier years is not available, we can see that the average home price in 2022 was $189,458, increasing to $194,365 in 2024.
The relationship between federal interest rates and homeownership rates in Sublette appears to follow the expected pattern. As interest rates remained low from 2013 to 2021, ranging from 0.08% to 1.83%, homeownership rates initially remained relatively stable. However, the sharp increase in interest rates to 5.02% in 2023 and 5.33% in 2024 coincides with the continued decline in homeownership rates, dropping from 68% in 2020 to 62% in 2022.
As homeownership rates declined, the percentage of renters in Sublette increased from 21% in 2013 to 38% in 2022. This shift towards renting is accompanied by a steady rise in average rent prices. In 2013, the average rent was $618, which increased to $1,026 by 2022, representing a 66% increase over nine years. The population of Sublette fluctuated during this period, from 610 in 2013 to 676 in 2022, which may have contributed to the increased demand for rental properties and subsequent rise in rent prices.
Looking at the most recent data, the average home price in Sublette slightly decreased from $189,458 in 2022 to $186,177 in 2023, but then rebounded to $194,365 in 2024. This upward trend in home prices is occurring despite the high federal interest rates of 5.02% in 2023 and 5.33% in 2024, which typically would be expected to dampen housing demand.
Applying predictive models to forecast 5-year trends, we can anticipate that average home prices in Sublette may continue to rise moderately, potentially reaching around $210,000 by 2029. Average rent prices are also likely to continue their upward trajectory, possibly exceeding $1,200 per month within the next five years. However, these predictions are subject to various economic factors and local market conditions.
In summary, Sublette has experienced a shift from homeownership to renting over the past decade, with homeownership rates declining from 79% to 62% between 2013 and 2022. This trend has been accompanied by rising average home prices and a significant increase in average rent prices. The recent spike in federal interest rates appears to be influencing the housing market, potentially contributing to the continued decline in homeownership. As the community moves forward, it will be crucial to monitor these trends and their impact on the local housing market and residents of Sublette.
