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Rosemont: Housing Market Dynamics Amidst Rising Property Values
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Rosemont, located in California, is a vibrant community with a population of 25,126 as of 2022. This suburban area has experienced interesting shifts in homeownership and housing prices over the past decade, reflecting broader economic trends and local market dynamics.
The ownership percentage in Rosemont has shown a slight decline from 2013 to 2022, while average home prices have experienced significant growth. In 2013, 63% of residents were homeowners, with average home prices at $181,406. By 2022, the homeownership rate decreased to 60%, while average home prices surged to $485,265, marking a remarkable 167% increase over this period. This inverse relationship suggests that rising home prices may have made homeownership less attainable for some residents.
Federal interest rates have played a crucial role in shaping homeownership trends. The period from 2013 to 2016 saw historically low interest rates, ranging from 0.11% to 0.40%, which coincided with a slight increase in average home prices from $181,406 to $264,963. However, as interest rates began to rise more significantly from 2017 (1.00%) to 2019 (2.16%), we observed a gradual decline in homeownership rates from 57% to 55%, despite continued growth in home values.
Renter percentages and average rent prices have shown a generally positive correlation. In 2013, 37% of residents were renters, with average rent at $1,444. By 2022, the renter percentage increased to 40%, while average rent rose to $1,562, a 8.2% increase. The population growth from 23,499 in 2013 to 25,126 in 2022 likely contributed to increased rental demand and subsequently higher rents.
In 2023, average home prices in Rosemont decreased slightly to $461,838, a 4.8% drop from 2022. This decline coincided with a sharp increase in federal interest rates to 5.02%. Moving into 2024, we see a modest recovery in average home prices to $474,354, while interest rates further increased to 5.33%. These higher interest rates may continue to impact homeownership affordability in the near term.
Looking ahead, predictive models suggest a continued upward trend in both average home prices and rents over the next five years. Average home prices are projected to reach approximately $550,000 by 2029, representing a 16% increase from 2024 levels. Average rents are expected to climb to around $1,800 per month, a 15% rise from 2022 figures. These projections assume relatively stable economic conditions and continued population growth in the area.
In summary, Rosemont has experienced a gradual shift towards renting, likely driven by substantial increases in home prices and fluctuating interest rates. The inverse relationship between homeownership rates and average home prices, coupled with the positive correlation between renter percentages and average rents, highlights the evolving housing landscape in this California community. As the market continues to evolve, balancing housing affordability with property value appreciation will be crucial for maintaining a diverse and thriving residential ecosystem in Rosemont.
