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Shavertown: Rising Home Values Amidst High Ownership Rates
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Shavertown, Pennsylvania, a small community of 1.2 square miles in Luzerne County, has experienced significant changes in its housing market over the past decade. This analysis explores the fluctuations in homeownership rates, average home prices, and rent prices, reflecting broader economic trends and local market dynamics.
The homeownership rate in Shavertown has remained relatively stable with minor fluctuations. From 79% in 2013, it dipped to 68% in 2015, rebounded to 81% in 2018, and settled at 73% in 2022. Concurrently, average home prices have shown a steady upward trend, increasing from $185,188 in 2010 to $264,066 in 2022, representing a substantial 42.6% growth over 12 years.
Federal interest rates have influenced homeownership trends in Shavertown. From 2010 to 2015, historically low interest rates of 0.1% to 0.18% corresponded with high homeownership rates, generally above 75%. As interest rates rose from 2016 onwards, reaching 1.68% in 2022, homeownership rates slightly declined from 79% in 2017 to 73% in 2022, aligning with the principle that lower interest rates tend to encourage homeownership due to more affordable financing options.
Renter percentages in Shavertown have shown variability. The renter-occupied rate increased from 16% in 2013 to 27% in 2015, then fluctuated between 18% and 24% from 2016 to 2020, before settling at 27% in 2022. Average rent prices remained stable at $950 from 2013 to 2017, decreased to $752 in 2019, and then increased to $945 in 2022, nearly returning to its previous peak.
In 2023, the average home price in Shavertown reached $267,602, with a federal interest rate of 5.02%. By 2024, the average home price further increased to $278,371, with the federal interest rate rising slightly to 5.33%. These figures indicate a resilient housing market despite higher borrowing costs.
Projections for the next five years suggest continued growth in average home prices in Shavertown, albeit at a potentially slower pace due to higher interest rates. Average rent prices are also expected to increase, driven by demand from those priced out of homeownership. However, the rate of increase for both home prices and rents may moderate compared to recent sharp rises.
In summary, Shavertown has demonstrated a robust housing market with generally high homeownership rates and steadily increasing average home prices. The rental market has shown more volatility but appears to be on an upward trend. The interplay between federal interest rates, homeownership rates, and housing prices continues to shape the local real estate landscape, with recent higher interest rates potentially influencing future market dynamics.
