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West Humboldt Park: Rising Home Values and Declining Ownership in a Culturally Rich Chicago Neighborhood
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
West Humboldt Park, a Chicago neighborhood, has experienced significant changes in its housing market over the past decade. The area has seen notable shifts in homeownership rates, average home prices, and average rent prices, reflecting its dynamic nature. From 2013 to 2022, West Humboldt Park's homeownership rate declined from 40% to 37%. This decrease coincided with a substantial increase in average home prices, rising from $68,467 in 2013 to $234,612 in 2022, a 242% increase. This trend aligns with economic principles related to federal interest rates. When rates were historically low between 2013 and 2016 (0.11% to 0.40%), homeownership rates remained stable at 40-41%. As interest rates rose from 2017 onwards, reaching 1.68% in 2022, homeownership rates slightly declined to 37%.
The percentage of renters in West Humboldt Park increased from 60% in 2013 to 63% in 2022. Average rent prices fluctuated during this period, starting at $1,058 per month in 2013, peaking at $1,160 in 2017, and settling at $1,049 in 2022, a slight overall decrease of 0.85%. The population growth from 14,899 in 2013 to 16,538 in 2022 may have contributed to sustained rental demand despite the minor decrease in average rent prices.
Recent data shows that the average home price in West Humboldt Park experienced a slight decrease from $234,612 in 2022 to $226,532 in 2023, a 3.4% decline. However, in 2024, the average home price rebounded to $235,872, surpassing the 2022 level by 0.5%. This recent uptick occurred despite the federal interest rate rising to 5.33% in 2024, indicating a resilient housing market in the neighborhood. Predictive models forecast that average home prices in West Humboldt Park will continue to rise over the next five years, albeit at a more moderate pace than observed in the past decade. The average home price is projected to reach approximately $275,000 by 2029. Average rent prices are expected to follow a similar trend, potentially increasing to around $1,200 per month over the same period. In conclusion, West Humboldt Park has witnessed a significant increase in average home prices over the past decade, accompanied by a gradual shift from homeownership to renting. Despite recent fluctuations, the neighborhood's housing market shows resilience, with both home prices and rental rates expected to continue their upward trajectory in the coming years. These trends reflect the ongoing evolution of West Humboldt Park as an increasingly attractive area for residents and investors alike.
