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Rosewood Heights: Rising Home Values and Ownership Rates Amid Volatile Rental Market
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
Rosewood Heights, Illinois, is a small suburban community located in Madison County. This area has experienced notable shifts in homeownership rates and housing prices over the past decade. The city has seen a general trend of increasing homeownership rates, rising average home prices, and fluctuating average rent prices. The homeownership rate in Rosewood Heights has shown a significant upward trend, particularly in recent years. In 2013, the homeownership rate was 81%, which increased to 90% by 2022. This substantial rise in homeownership coincided with an overall increase in average home prices. In 2013, the average home price was $95,679, which steadily climbed to $144,705 by 2022, representing a 51% increase over this period. The relationship between homeownership rates and average home prices appears to be positive, with both metrics generally rising together.
Federal interest rates have played a role in shaping homeownership trends in Rosewood Heights. From 2013 to 2020, interest rates remained relatively low, ranging from 0.08% to 2.16%. This period of low interest rates corresponded with the increasing homeownership rates observed in the city. For instance, as interest rates dropped from 1.83% in 2018 to 0.38% in 2020, homeownership rates rose from 75% to 84%. This aligns with the general trend of lower interest rates encouraging homeownership due to more affordable financing options.
The renter population in Rosewood Heights has experienced a decline as homeownership rates increased. In 2013, 19% of the population were renters, which decreased to 10% by 2022. Interestingly, average rent prices have shown some fluctuation during this period. In 2013, the average rent was $815, which decreased to $771 by 2022. The decline in the renter population may have contributed to this slight decrease in average rent prices, as reduced demand for rental properties can lead to more competitive pricing.
Looking at the most recent data, the average home price in Rosewood Heights reached $154,430 in 2023 and further increased to $164,263 in 2024. This represents a continued upward trend in home values. Concurrently, federal interest rates rose significantly to 5.02% in 2023 and 5.33% in 2024, which may impact future homeownership trends in the area.
Applying predictive models to forecast 5-year trends, it is anticipated that average home prices in Rosewood Heights will continue to rise, potentially reaching around $200,000 by 2029. Average rent prices are expected to stabilize and may see a modest increase, potentially reaching approximately $850 per month in the same timeframe.
In summary, Rosewood Heights has experienced a significant increase in homeownership rates over the past decade, accompanied by rising average home prices. The period of low interest rates from 2013 to 2020 likely contributed to this trend. As homeownership increased, the renter population decreased, leading to a slight decline in average rent prices. Recent data shows continued growth in home values, despite rising interest rates. Looking ahead, the housing market in Rosewood Heights is expected to remain strong, with continued appreciation in home values and stabilizing rent prices.
