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Taylor, PA: Home Values and Ownership Trends Amidst Interest Rate Fluctuations
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
Taylor, located in Pennsylvania, is a small city with a rich history and evolving real estate landscape. Over the past decade, the city has experienced shifts in homeownership rates and property values, reflecting broader economic trends and local market dynamics.
The homeownership rate in Taylor has fluctuated over the years, with a general downward trend from 2013 to 2018, followed by a recovery in recent years. In 2013, the homeownership rate stood at 68%, but it declined to 57% by 2018. However, there has been a notable rebound, with the rate increasing to 63% by 2022. This recovery in homeownership coincides with a significant increase in average home prices. The average home price in Taylor rose from $105,517 in 2017 to $171,024 in 2022, representing a substantial 62% increase over five years.
The relationship between federal interest rates and homeownership rates in Taylor shows some correlation. As interest rates remained low from 2013 to 2016, hovering around 0.1-0.4%, the homeownership rate experienced a decline. However, as interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, the homeownership rate in Taylor started to recover. This trend suggests that other local factors, such as employment opportunities and housing affordability, may have played a more significant role in homeownership decisions than interest rates alone.
Renter percentages in Taylor have shown an inverse relationship to homeownership rates, as expected. The percentage of renters increased from 30% in 2013 to a peak of 38% in 2018 and 2019, before slightly decreasing to 37% in 2022. Average rent prices have generally trended upward during this period, rising from $795 in 2013 to $822 in 2022, an increase of about 3.4%. It's worth noting that the population of Taylor decreased from 6,240 in 2013 to 6,274 in 2022, which may have influenced the rental market dynamics.
In 2023 and 2024, Taylor experienced continued growth in average home prices. The average home price reached $183,595 in 2023 and further increased to $184,499 in 2024, representing a 7.3% rise from 2022 to 2024. This growth occurred despite a significant increase in federal interest rates, which rose to 5.02% in 2023 and 5.33% in 2024, potentially impacting affordability for prospective homebuyers.
Looking ahead, based on the observed trends and current market conditions, we can forecast the following 5-year trends for Taylor: Average home prices are likely to continue their upward trajectory, albeit at a more moderate pace. We project prices could reach around $210,000-$220,000 by 2029. Average rent prices may also continue to increase, potentially reaching $900-$950 by 2029, assuming the current growth rate persists. Homeownership rates may stabilize or slightly increase, potentially reaching 65-67% by 2029, as the market adjusts to higher interest rates and home prices.
In summary, Taylor has demonstrated resilience in its housing market, with recovering homeownership rates and steadily increasing property values. The interplay between federal interest rates, local economic conditions, and housing affordability will continue to shape the real estate landscape in this Pennsylvania community. The recent surge in home prices, coupled with rising interest rates, presents both opportunities and challenges for residents and potential homebuyers in the coming years.
