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Zip Code 15340: Rising Home Values and Ownership Rates in Hickory, Pennsylvania
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
Zip code 15340, located in Hickory, Pennsylvania, has experienced significant changes in its housing market over the past decade. This area has seen a notable shift towards homeownership, alongside fluctuations in average home prices and rent values.
The trend in homeownership in zip code 15340 has been consistently upward since 2013. The percentage of owner-occupied homes increased from 82% in 2013 to 92% in 2022, representing a substantial 10 percentage point increase over nine years. This trend coincided with a general increase in average home prices. In 2013, the average home price was $161,725, which rose to $251,485 by 2022, marking a 55.5% increase. This parallel growth suggests a strong correlation between rising home values and increasing homeownership rates in the area.
Federal interest rates have played a significant role in shaping homeownership trends in zip code 15340. The period from 2013 to 2021 saw historically low interest rates, ranging from 0.08% to 1.83%. These low rates likely contributed to the steady increase in homeownership, as they made mortgage financing more accessible and affordable for potential buyers. The sharp rise in homeownership from 85% in 2017 to 93% in 2021 coincided with interest rates dropping from 1% to 0.08%, further illustrating this relationship.
Conversely, the renter percentage in zip code 15340 has decreased over time, from 18% in 2013 to 8% in 2022. Despite this decline, average rent prices have shown an overall upward trend. The average rent increased from $784 in 2013 to $892 in 2022, representing a 13.8% increase. However, there have been fluctuations, with the highest average rent of $925 recorded in 2021. The decreasing renter population, from 264 in 2013 to 121 in 2022, may have influenced landlords to increase rents to maintain profitability with fewer tenants.
In 2023 and 2024, the housing market in zip code 15340 showed signs of stabilization. The average home price slightly decreased to $250,856 in 2023 but rebounded to $253,697 in 2024. This represents a modest 1.1% increase from 2022 to 2024. Notably, federal interest rates rose significantly during this period, reaching 5.02% in 2023 and 5.33% in 2024, which could potentially impact future homeownership rates and housing affordability in the area.
Looking ahead, predictive models suggest that average home prices in zip code 15340 may continue to rise moderately over the next five years, potentially reaching around $275,000 by 2029. However, this growth rate is expected to be slower than the rapid increases seen in the previous decade. Average rent prices are projected to follow a similar pattern, potentially reaching approximately $950 by 2029, assuming current trends persist.
In summary, zip code 15340 has experienced a significant shift towards homeownership, with a corresponding increase in average home prices. The area has benefited from low interest rates, which likely fueled the homeownership trend. While the renter population has decreased, average rent prices have generally increased. The recent stabilization in home prices and the rise in interest rates may signal a new phase in the local housing market, potentially moderating the rapid growth seen in previous years.
