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Rising Home Values and Stable Ownership in Wornall Homestead: A Decade of Growth
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Wornall Homestead, a neighborhood in Kansas City, Missouri, demonstrates a remarkable housing market characterized by consistently high homeownership rates and steadily increasing property values. This analysis examines the neighborhood's housing trends from 2013 to 2024, focusing on homeownership rates, average home prices, and rental market dynamics.
The homeownership rate in Wornall Homestead has remained exceptionally stable over the past decade. In 2013, the ownership rate stood at 97%, and by 2022, it was 96%, showing only a slight decrease of 1 percentage point over nine years. This stability in homeownership persisted despite significant changes in average home prices. From 2013 to 2022, average home prices in the neighborhood rose substantially, increasing from $287,440 to $493,077, representing a remarkable 71.5% increase over the decade.
The interplay between federal interest rates and homeownership trends in Wornall Homestead presents an interesting picture. During the period of historically low interest rates from 2013 to 2016 (ranging from 0.11% to 0.4%), homeownership in the neighborhood remained high at 96-97%. As interest rates began to rise from 2017 (1%) to 2019 (2.16%), homeownership slightly increased to 98%. This trend suggests that despite rising interest rates, the neighborhood maintained its appeal to homeowners, possibly due to other factors such as local amenities or a strong job market.
The rental market in Wornall Homestead has shown some intriguing patterns. Renter percentages have consistently remained low, ranging from 1% to 5% between 2013 and 2022. However, average rent prices have experienced significant volatility. In 2013, the average rent was $2,000, which decreased to $1,730 by 2017. Notably, there was a dramatic increase to $3,247 in 2018, a level that has remained constant through 2022. Despite this sharp rise in rent prices, the renter percentage only increased from 3% to 4% between 2018 and 2022, indicating a strong preference for homeownership in the area regardless of rental costs.
Recent data for 2023 and 2024 shows continued growth in average home prices in Wornall Homestead. Prices reached $499,425 in 2023 and $518,338 in 2024, representing a 5.1% increase from 2022 to 2024. During this same period, federal interest rates have also increased significantly, rising to 5.02% in 2023 and 5.33% in 2024. Despite these higher interest rates, which typically make mortgages more expensive, the neighborhood's home values have continued to appreciate.
Looking ahead, based on historical trends and current market conditions, projections suggest that average home prices in Wornall Homestead may continue to rise over the next five years, potentially reaching around $600,000 by 2029. However, the rate of increase may slow down due to higher interest rates. Average rent prices, which have remained stable since 2018, might see moderate increases, possibly reaching $3,500-$3,800 by 2029, assuming continued demand for rental properties in the area.
The most significant findings in Wornall Homestead's housing market include the persistent high rate of homeownership despite rising property values, the sharp increase in average rent prices in 2018, and the continued appreciation of home values even in the face of rising interest rates. The neighborhood demonstrates a strong preference for homeownership, with property values showing resilience and growth. These trends suggest that Wornall Homestead remains an attractive area for long-term residents and investors, with potential for continued, albeit possibly slower, appreciation in both home values and rental prices in the coming years.
