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Rising Home Values and Shifting Ownership in Zip Code 19606: A Decade of Change in Reiffton, Pennsylvania
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
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Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Zip code 19606, located in Reiffton, Pennsylvania, has experienced notable shifts in its housing market over the past decade. This area has seen a gradual decline in homeownership rates, coupled with significant increases in both average home prices and average rent prices. These trends reflect the dynamic nature of the local real estate market and provide insights into the changing preferences and economic conditions of the community.
From 2013 to 2022, the homeownership rate in zip code 19606 decreased from 79% to 74%, while average home prices rose substantially. In 2013, the average home price was $144,635, which increased to $244,920 by 2022, representing a 69% increase over this period. This inverse relationship suggests that rising home prices may have made homeownership less attainable for some residents, potentially contributing to the decline in ownership rates.
Federal interest rates have played a significant role in shaping homeownership trends. From 2013 to 2016, when interest rates were historically low (ranging from 0.11% to 0.4%), homeownership rates remained relatively stable at around 78-79%. However, as interest rates began to rise more sharply from 2017 (1%) to 2019 (2.16%), we observed a corresponding decline in homeownership rates, dropping to 76% by 2019. This trend aligns with the general principle that lower interest rates encourage homeownership due to more affordable financing options.
The renter population in zip code 19606 has grown from 21% in 2013 to 26% in 2022, coinciding with a steady increase in average rent prices. In 2013, the average rent was $1,098, which rose to $1,230 by 2022, an increase of 12%. This growth in both renter percentage and rent prices may be attributed to factors such as population growth (from 35,507 in 2013 to 37,088 in 2022) and potentially limited housing supply, making renting a more viable option for some residents.
Looking at the most recent data, the average home price in zip code 19606 reached $261,304 in 2023 and further increased to $273,022 in 2024. This represents a significant jump from the 2022 average of $244,920, indicating a continued strong upward trend in home values. Interestingly, federal interest rates have also risen sharply, reaching 5.02% in 2023 and 5.33% in 2024, which could potentially impact future homeownership rates and market dynamics.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 19606 will continue to rise, potentially reaching around $320,000 by 2029. Average rent prices are also expected to increase, potentially surpassing $1,500 per month within the same timeframe. These projections are based on the historical growth patterns observed in the data and assume relatively stable economic conditions.
In summary, zip code 19606 has experienced a gradual shift towards a higher proportion of renters, with homeownership rates declining from 79% to 74% between 2013 and 2022. This trend has occurred alongside significant increases in both average home prices (69% growth) and average rent prices (12% growth) during the same period. The inverse relationship between homeownership rates and home prices, coupled with the influence of fluctuating interest rates, highlights the complex interplay of factors affecting the local housing market. As average home prices continue to rise and interest rates remain elevated, we may see further changes in the balance between homeowners and renters in this area.
