Rising Home Values and Stable Ownership in Albers, Illinois: A Decade of Housing Market Trends
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
DATA SOURCE
Albers, located in Illinois, is a small community that has experienced fluctuating demographics and housing market trends over the past decade. The village has seen shifts in homeownership rates, along with changes in average home prices and rent costs, reflecting broader economic influences and local market dynamics.
From 2013 to 2022, Albers witnessed a slight overall decline in homeownership rates, starting at 86% in 2013 and ending at the same percentage in 2022, but with fluctuations in between. During this period, average home prices showed a general upward trend. In 2013, the average home price was $149,065, which steadily increased to $217,876 by 2022, representing a significant 46% increase over nine years. This rise in home prices did not directly correlate with homeownership rates, suggesting other factors were at play in determining ownership patterns.
Federal interest rates have played a role in shaping homeownership trends in Albers. In 2013, when interest rates were at a low 0.11%, homeownership was at 86%. As interest rates gradually increased to 1.68% by 2022, homeownership rates initially declined but then rebounded to their 2013 levels. This suggests that while lower interest rates generally encourage homeownership, local factors in Albers may have counterbalanced this effect to some extent.
Renter percentages in Albers showed an inverse relationship to homeownership rates, naturally. The proportion of renters increased from 14% in 2013 to a peak of 19% in 2019 before decreasing to 14% in 2022. Average rent prices demonstrated a strong upward trend during this period. In 2013, the average rent was $573, which more than doubled to $1,271 by 2022. This substantial increase in rent prices occurred despite fluctuations in the renter population, indicating strong demand for rental properties or limited supply in the area.
In 2023 and 2024, Albers continued to see growth in average home prices. The average home price reached $221,615 in 2023 and further increased to $226,221 in 2024. This represents a steady annual growth rate of about 2% from 2022 to 2024. Concurrently, federal interest rates rose significantly to 5.02% in 2023 and 5.33% in 2024, marking a substantial increase from the 1.68% seen in 2022.
Looking ahead, based on the observed trends, we can forecast continued growth in both average home prices and rent costs over the next five years. Average home prices are projected to increase by approximately 2-3% annually, potentially reaching around $260,000 by 2029. Rent prices, which have shown more volatile increases, may continue to rise at a rate of 4-5% per year, potentially reaching an average of about $1,600 per month by 2029.
In summary, Albers has experienced significant changes in its housing market over the past decade. Despite fluctuations, homeownership rates have remained relatively stable, while both home prices and rent costs have seen substantial increases. The relationship between federal interest rates and local housing trends is complex, with other factors likely influencing the market. As the village moves forward, it appears poised for continued growth in property values and rental costs, reflecting ongoing demand in the local real estate market.
