Loading Content...
Valley View Garden: Rising Home Values and Ownership Amid Interest Rate Fluctuations
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Valley View Garden, a vibrant neighborhood in Columbia, Missouri, has experienced significant changes in homeownership rates and property values over the past decade. The area has seen a general trend of increasing homeownership, rising average home prices, and fluctuating average rent prices.
The ownership percentage in Valley View Garden has shown a remarkable upward trend, coinciding with a steady increase in average home prices. In 2013, the homeownership rate was 37%, with an average home price of $134,593. By 2018, the ownership rate had nearly doubled to 72%, while average home prices rose to $159,806. This trend continued, with homeownership reaching 68% in 2019 and average home prices climbing to $166,450. The correlation between rising homeownership and increasing home values suggests a growing demand for property ownership in the neighborhood.
Federal interest rates have played a significant role in shaping homeownership trends in Valley View Garden. The period from 2013 to 2016 saw historically low interest rates, ranging from 0.11% to 0.40%. During this time, homeownership in the neighborhood increased from 37% to 55%. As interest rates began to rise more steeply from 2017 onwards, reaching 2.16% by 2019, the rate of increase in homeownership slowed, though it still reached a peak of 72% in 2018 before slightly declining to 68% in 2019.
The renter percentage in Valley View Garden has inversely mirrored the homeownership trend, decreasing from 63% in 2013 to 28% in 2018. Interestingly, average rent prices have shown a general upward trend despite the declining renter population. In 2013, the average rent was $984, rising to $1,010 by 2016. There was a slight dip to $993 in 2018, corresponding with the lowest renter percentage, before increasing again to $1,007 in 2019. This suggests that despite fewer renters, demand for rental properties remained strong, possibly due to the growing population, which increased from 1,943 in 2013 to 3,500 in 2019.
In 2023, the average home price in Valley View Garden reached $237,135, representing a significant increase from previous years. This trend continued into 2024, with average home prices rising further to $245,419. Notably, federal interest rates also saw a substantial increase, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates may impact future homeownership trends in the neighborhood.
Looking ahead, predictive models suggest that average home prices in Valley View Garden will continue to rise over the next five years, albeit at a potentially slower rate due to higher interest rates. Average rent prices are also expected to increase, driven by ongoing demand and the overall appreciation of property values in the area.
In summary, Valley View Garden has experienced a significant shift towards homeownership over the past decade, accompanied by substantial increases in average home prices. The interplay between federal interest rates, homeownership rates, and property values has been a key factor in shaping the neighborhood's real estate landscape. As the community continues to evolve, it will be interesting to observe how these trends develop in response to changing economic conditions and local market dynamics.
