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Rising Home Values and Shifting Ownership in Zip Code 44830: Fostoria's Decade of Housing Trends
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 44830, located in Fostoria, Ohio, has experienced notable changes in homeownership rates and housing prices over the past decade. This area, with a population of 18,687 in 2022, has seen fluctuations in both ownership percentages and average home values, reflecting broader economic trends and local market dynamics.
The homeownership rate in zip code 44830 has shown a gradual decline from 2013 to 2022. In 2013, the ownership rate stood at 75%, but by 2022, it had decreased to 72%. This trend coincides with a significant increase in average home prices. In 2013, the average home price was $65,818, which rose steadily to reach $117,379 by 2022, representing a substantial 78.3% increase over this period.
The relationship between federal interest rates and homeownership rates in this area is notable. From 2013 to 2015, when interest rates were extremely low (0.11% to 0.13%), homeownership rates remained relatively stable at around 74-75%. However, as interest rates began to rise from 2016 onwards, reaching 1.68% in 2022, homeownership rates gradually declined to 72%. This trend aligns with the general principle that lower interest rates tend to encourage homeownership due to more affordable financing options.
Conversely, the percentage of renters in zip code 44830 has increased from 24% in 2013 to 27% in 2022. This rise in renters coincides with fluctuations in average rent prices. The average rent increased from $697 in 2013 to a peak of $761 in 2021, before declining to $663 in 2022. Despite the recent drop in rent, the overall trend shows a slight increase in average rent prices over the decade, which may have contributed to the growing renter population.
In 2023 and 2024, the housing market in zip code 44830 continued to evolve. The average home price rose to $120,807 in 2023 and further increased to $128,917 in 2024, marking a 6.7% year-over-year growth. This price appreciation occurred despite a significant rise in federal interest rates, which reached 5.02% in 2023 and 5.33% in 2024, potentially impacting affordability for prospective homebuyers.
Looking ahead, based on the observed trends, we can project that average home prices in zip code 44830 may continue to rise over the next five years, potentially reaching around $150,000 by 2029. However, this growth rate might moderate due to the current high interest rate environment. Average rent prices could stabilize or see modest increases, potentially reaching about $750 per month by 2029, assuming economic conditions remain relatively stable.
In summary, zip code 44830 has experienced a gradual shift from homeownership to renting, coupled with substantial increases in average home prices. The interplay between rising home values, fluctuating rent prices, and changing interest rates has shaped the local housing market dynamics. As the area moves forward, these trends are likely to continue influencing the balance between homeownership and renting in this Ohio community.
