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Rising Home Values and Strong Ownership in Gambrills, Maryland: A Decade of Real Estate Growth
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
Gambrills, located in Maryland, is a small but growing community with a population of 3,619 as of 2022. This charming area has seen significant changes in homeownership rates and housing prices over the past decade. The city has maintained a high percentage of owner-occupied homes, while experiencing notable fluctuations in average home and rent prices.
The homeownership rate in Gambrills has remained consistently high, albeit with some variations. In 2013, the ownership rate stood at 90%, and it reached its peak of 93% in 2015. However, there was a slight downward trend until 2019, when it dropped to 86%. The ownership rate has since rebounded, reaching 90% in 2022. Interestingly, the average home prices have shown a steady upward trend during this period. In 2013, the average home price was $409,561, and it has consistently increased year over year, reaching $578,560 in 2022. This represents a substantial 41.3% increase over the nine-year period.
The relationship between federal interest rates and homeownership rates in Gambrills shows some correlation. For instance, when interest rates were extremely low between 2013 and 2016 (ranging from 0.09% to 0.4%), homeownership rates remained high, above 90%. As interest rates began to rise from 2017 onwards, there was a slight decline in homeownership rates. However, despite rising interest rates, the homeownership rate in Gambrills has remained resilient, bouncing back to 90% in 2022 even as the federal interest rate reached 1.68%.
Renter percentages in Gambrills have fluctuated inversely to homeownership rates, ranging from a low of 7% in 2015 to a high of 14% in 2019. The average rent prices have shown an overall upward trend, albeit with some volatility. In 2013, the average rent was $1,341, which increased to $1,490 by 2017. There was a significant jump to $2,170 in 2021, followed by a sharp decrease to $1,334 in 2022. This volatility in rent prices could be attributed to various factors, including changes in housing supply and demand within the community.
In 2023 and 2024, Gambrills continued to see growth in average home prices. The average home price in 2023 was $589,332, representing a 1.9% increase from 2022. In 2024, the average home price further increased to $604,301, a 2.5% rise from the previous year. These increases occurred despite the federal interest rate rising to 5.02% in 2023 and 5.33% in 2024, suggesting a strong local housing market that has remained resilient in the face of higher borrowing costs.
Looking ahead, based on the historical data and current trends, we can project that average home prices in Gambrills are likely to continue their upward trajectory over the next five years. Assuming a conservative annual growth rate of 2.5% (similar to the 2023-2024 increase), the average home price could reach approximately $683,000 by 2029. Rent prices, which have shown more volatility, are harder to predict. However, if we consider the overall upward trend and assume a modest annual increase of 3%, average rent could potentially reach around $1,550 by 2029.
In summary, Gambrills has maintained a strong homeownership rate despite rising home prices and fluctuating interest rates. The community has shown resilience in its housing market, with consistent growth in average home values. While rent prices have been more volatile, they have also shown an overall upward trend. The continued increase in home prices, even in the face of rising interest rates, suggests a robust local real estate market with sustained demand for housing in this Maryland community.
