Loading Content...
Shipoke's Housing Market: Rising Home Values and Dynamic Ownership Trends in Harrisburg's Riverside 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
Shipoke, a charming neighborhood in Harrisburg, Pennsylvania, has experienced dynamic shifts in its housing market over the past decade. This riverside community has seen fluctuations in homeownership rates, average home prices, and average rent prices, reflecting broader economic trends and local market conditions.
The homeownership rate in Shipoke has shown notable variability, ranging from a low of 19% in 2013 to a high of 35% in 2017. This fluctuation coincides with changes in average home prices, which have generally trended upward over the years. In 2013, when homeownership was at its lowest, the average home price was $134,555. By 2017, as homeownership peaked, average home prices had decreased slightly to $128,324. This inverse relationship suggests that lower home prices may have encouraged more residents to become homeowners during this period.
Federal interest rates play a significant role in homeownership trends. From 2013 to 2016, interest rates remained exceptionally low, ranging from 0.11% to 0.40%. This period coincided with an increase in homeownership from 19% to 30%. The low interest rates likely made mortgages more affordable, encouraging more people to buy homes. However, as interest rates began to rise more steadily from 2017 onwards, reaching 2.16% in 2019, we see some fluctuation in homeownership rates, suggesting that higher borrowing costs may have deterred some potential buyers.
Renter percentages in Shipoke have generally been high, ranging from 64% to 81% over the observed period. Average rent prices have shown some volatility, with a general upward trend. In 2013, the average rent was $955, which decreased to $887 in 2014 before gradually increasing to $944 in 2019. Interestingly, there was a sharp increase in average rent to $1,038 in 2022, despite a slight decrease in the renter percentage from 71% in 2020 to 72% in 2022. This could indicate increased demand for rental properties or improvements in the quality of available rentals.
Looking at the most recent data, average home prices in Shipoke continued their upward trajectory, reaching $193,790 in 2023 and $205,535 in 2024. This represents a significant increase from previous years, potentially reflecting growing demand for housing in the area. Concurrently, federal interest rates have risen sharply to 5.02% in 2023 and 5.33% in 2024, which may impact future homeownership rates and housing affordability in the neighborhood.
Applying predictive models to forecast 5-year trends, we can expect average home prices in Shipoke to continue rising, potentially reaching around $250,000 by 2029. This projection is based on the consistent upward trend observed over the past decade and the recent acceleration in price growth. For average rent prices, the forecast suggests a more moderate increase, potentially reaching approximately $1,200 per month by 2029, assuming the trend of gradual increases continues.
In summary, Shipoke has experienced a complex interplay between homeownership rates, average home prices, and rental market dynamics. The neighborhood has seen a general trend of increasing property values, with fluctuations in homeownership rates that often inversely correlate with price changes. The rental market remains dominant, with recent sharp increases in average rent prices suggesting strong demand. As interest rates have risen significantly in recent years, it will be crucial to monitor how this affects homeownership trends and overall housing affordability in Shipoke moving forward.
