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Salisbury, PA: Rising Home Values and Ownership Rates Amid Population Decline
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
Salisbury, located in Pennsylvania, is a small community that has experienced significant shifts in its housing market over the past decade. The city has seen fluctuations in homeownership rates, average home prices, and average rent prices, reflecting broader economic trends and local dynamics.
Homeownership rates in Salisbury have shown a notable increase in recent years. In 2013, 76% of housing units were owner-occupied, which dipped to 67% by 2017. However, there has been a steady climb since then, reaching 84% owner-occupied units in 2022. This trend aligns with changes in average home prices. From 2015 to 2022, average home prices in Salisbury rose from $105,751 to $158,845, representing a 50% increase over seven years.
The relationship between federal interest rates and homeownership rates in Salisbury shows some correlation. As interest rates remained low from 2013 to 2016 (below 0.5%), homeownership rates initially decreased. However, as rates began to rise moderately from 2017 to 2019 (1% to 2.16%), homeownership rates started to increase. This trend continued even as interest rates dropped again in 2020 and 2021, suggesting that other local factors may have influenced homeownership decisions in Salisbury.
Renter percentages in Salisbury have inversely mirrored the homeownership trends. The percentage of renter-occupied units peaked at 33% in 2017 and has since decreased to 16% in 2022. Despite this decline in the renter population, average rent prices have shown a steady increase. From 2013 to 2022, average rent prices rose from $526 to $638, a 21% increase. This upward trend in rent prices occurred even as the city's population declined from 1,015 in 2017 to 710 in 2022, suggesting that other factors, such as housing quality or local economic conditions, may be influencing rent prices.
In 2023 and 2024, average home prices in Salisbury continued to rise, reaching $162,342 in 2023 and slightly decreasing to $162,038 in 2024. This represents a modest 2% increase from 2022 to 2024. Concurrently, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024, which may impact future homeownership trends and housing affordability in the area.
Looking ahead, predictive models suggest that average home prices in Salisbury may continue to rise moderately over the next five years, potentially reaching around $175,000 by 2029. Average rent prices are also expected to increase, possibly surpassing $700 by 2029 if current trends persist.
In summary, Salisbury has experienced a significant increase in homeownership rates and average home prices over the past decade, while the renter population has decreased despite rising rent prices. The relationship between interest rates and homeownership trends in the borough is complex, suggesting that local factors play a significant role in shaping the housing market. As the community continues to evolve, monitoring these trends will be crucial for understanding the future of housing in Salisbury.
