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Saltese, Montana: Soaring Home Values and Ownership in a Rural Microcosm
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Saltese, Montana, is a small community nestled in Mineral County. This rural settlement has experienced fluctuating homeownership rates and housing prices over the years, with recent trends showing an increase in both average home prices and homeownership percentages.
The homeownership rate in Saltese has shown considerable variability over the past decade. In 2013, the homeownership rate stood at 74%, which increased to 85% by 2021, indicating a significant shift towards owner-occupied housing. This trend coincides with a substantial rise in average home prices. In 2016, the average home price in Saltese was $147,059, which steadily increased to $339,684 by 2022, representing a remarkable 131% increase over six years.
Federal interest rates have played a role in shaping homeownership trends in Saltese. For instance, the low interest rates from 2013 to 2015 (around 0.1%) coincided with high homeownership rates of 74% to 87%. As interest rates began to rise from 2016 onwards, there was a temporary dip in homeownership to 67% in 2016 and 2017. However, despite rising interest rates, homeownership rebounded to 84% by 2022, suggesting other factors were influencing housing decisions in this small community.
Renter percentages in Saltese have generally moved inversely to homeownership rates. In 2013, the renter-occupied rate was 21%, which decreased to 10% by 2021. Average rent prices have shown an overall upward trend, rising from $524 in 2013 to $715 in 2021, representing a 36% increase. However, there was a notable drop in average rent to $533 in 2022, coinciding with a slight decrease in the renter percentage to 11%.
In 2023, the average home price in Saltese reached $348,837, with federal interest rates at 5.02%. Moving into 2024, the average home price has further increased to $371,508, while interest rates have risen slightly to 5.33%. These figures indicate a continuing upward trend in home values despite higher borrowing costs.
Looking ahead, based on the historical data and current trends, it's projected that average home prices in Saltese will continue to rise over the next five years, potentially reaching around $450,000 by 2029. Average rent prices, which have shown more volatility, may stabilize and gradually increase to approximately $750-$800 per month in the same period.
In summary, Saltese has experienced a significant increase in homeownership rates and average home prices over the past decade. Despite fluctuations in federal interest rates, the community has maintained a strong preference for owner-occupied housing. The inverse relationship between homeownership and renter percentages, coupled with rising property values, suggests a dynamic and evolving housing market in this small Montana community.
