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Sherwood Oaks: Rising Home Values Amidst Stable Ownership in Bloomington's Resilient Neighborhood
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Sherwood Oaks, a vibrant neighborhood in Bloomington, Indiana, has demonstrated remarkable stability in homeownership rates and consistent growth in housing prices over the past decade. This residential area has maintained a high percentage of owner-occupied homes while experiencing a steady increase in average home prices. The rental market has also seen growth, albeit with some fluctuations in recent years. The homeownership rate in Sherwood Oaks has remained relatively stable, fluctuating between 70% and 79% from 2013 to 2022. During this period, average home prices have shown a significant upward trend. In 2013, the average home price was $181,647, which increased to $355,409 by 2022, representing a substantial 95.6% increase over nine years. This trend suggests a strong correlation between rising home values and sustained homeownership rates in the neighborhood. Federal interest rates have played a crucial role in shaping homeownership trends in Sherwood Oaks. From 2013 to 2016, when interest rates were historically low (ranging from 0.11% to 0.40%), homeownership rates remained relatively stable, hovering around 71-74%. As interest rates began to rise more significantly from 2017 (1.00%) to 2019 (2.16%), there was a slight fluctuation in homeownership rates, but they remained resilient, even increasing to 73% in 2019. Notably, when interest rates dropped sharply in 2020 (0.38%) and 2021 (0.08%), homeownership rates in Sherwood Oaks increased to 79% and 76% respectively, demonstrating how lower interest rates can encourage homeownership.
Renter percentages in Sherwood Oaks have generally been the inverse of homeownership rates, ranging from 21% to 30% between 2013 and 2022. Average rent prices have shown an overall upward trend, albeit with some fluctuations. In 2013, the average rent was $987, which increased to $1,168 by 2019, representing an 18.3% rise. However, there was a slight dip in 2020 to $1,091, possibly due to the economic impacts of the COVID-19 pandemic. By 2022, the average rent had rebounded slightly to $1,116. The population of Sherwood Oaks has remained relatively stable during this period, fluctuating between 5,400 and 6,000 residents, which may have contributed to the steady demand for rental properties.
The most recent data shows that the average home price in Sherwood Oaks continued its upward trajectory, reaching $365,348 in 2023 and further increasing to $373,967 in 2024. This represents a 2.9% year-over-year increase from 2023 to 2024. Concurrently, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates may impact future homeownership trends and housing affordability in the neighborhood.
Applying predictive models to forecast 5-year trends, it is anticipated that average home prices in Sherwood Oaks will continue to rise, albeit potentially at a more moderate pace due to higher interest rates. Based on historical data and current economic conditions, average home prices could reach approximately $425,000 to $450,000 by 2029. Average rent prices are also expected to increase, potentially reaching $1,300 to $1,400 per month within the next five years, assuming continued demand for rental properties in the area.
In summary, Sherwood Oaks has demonstrated resilience in its housing market, with consistently high homeownership rates and steadily increasing average home prices. The neighborhood has weathered various economic conditions, including fluctuations in federal interest rates, while maintaining a strong housing market. The recent sharp increase in interest rates may present new challenges for homeownership and affordability, but the historical data suggests that Sherwood Oaks is likely to adapt to these changes while continuing its upward trajectory in both home values and rental prices.
