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Wentzville's Home Values and Ownership: A Growing Automotive City's Housing Trends
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
Wentzville, Missouri, a rapidly growing city in St. Charles County, is located approximately 40 miles west of St. Louis. Known for its significant automotive industry presence, particularly the General Motors assembly plant, Wentzville has experienced substantial population growth and development in recent years. The city has maintained a high rate of homeownership, with average home prices steadily increasing over time, while average rent prices have shown some fluctuation.
Homeownership in Wentzville has remained consistently high, ranging from 83% to 86% between 2013 and 2022. This trend aligns with the steady increase in average home prices, which rose from $203,703 in 2010 to $357,042 in 2022, representing a 75.3% increase over 12 years. The relationship between homeownership rates and average home prices suggests a strong local housing market, with residents continuing to invest in property despite rising costs.
Federal interest rates have played a significant role in homeownership trends in Wentzville. From 2010 to 2015, interest rates remained relatively low, ranging from 0.09% to 0.18%. During this period, homeownership rates in Wentzville stayed consistently high, around 85-86%. As interest rates began to rise from 2016 to 2019 (0.4% to 2.16%), there was a slight decrease in homeownership, dropping to 83% by 2019. This trend aligns with the general principle that lower interest rates encourage homeownership due to more affordable financing options.
The rental market in Wentzville has shown interesting trends. The percentage of renters increased slightly from 14% in 2013 to 17% in 2021, before decreasing to 15% in 2022. Average rent prices, however, have not followed a consistent upward trajectory like home prices. Rent prices peaked at $1,295 in 2013 and have since fluctuated, reaching $1,158 in 2022. This represents a 10.6% decrease over nine years. The slight increase in renter percentages, despite decreasing rent prices, may be attributed to the city's growing population, which increased from 28,031 in 2010 to 45,386 in 2022, a 61.9% growth.
In 2023 and 2024, Wentzville's housing market continued to show strength. The average home price in 2023 was $365,294, further increasing to $372,125 in 2024. This represents a 2.3% and 4.2% increase from 2022, respectively. Concurrently, federal interest rates rose significantly to 5.02% in 2023 and 5.33% in 2024, reaching levels not seen since 2007. These higher interest rates may impact future homeownership trends and housing affordability in the city.
Looking ahead, based on historical trends and current market conditions, we can anticipate continued growth in average home prices in Wentzville over the next five years. Projecting the trend observed from 2019 to 2024, we might expect average home prices to reach approximately $425,000 by 2029. However, the rate of increase may slow due to higher interest rates. For rent prices, the trend has been less consistent, but considering the city's growth and recent stabilization, we might see a modest increase to around $1,250 per month by 2029.
In summary, Wentzville has maintained a robust housing market characterized by high homeownership rates and steadily increasing average home prices. The rental market has shown more variability, with fluctuating rent prices despite a growing population. The recent surge in federal interest rates, coupled with continued population growth, may influence future housing trends in the city. Wentzville's strong economic base and proximity to St. Louis position it for continued growth, but the interplay between rising home prices, interest rates, and affordability will be crucial factors shaping its housing market in the coming years.
