Loading Content...
Zip Code 16160: Rising Home Values and Shifting Ownership in West Pittsburg
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
West Pittsburg, located in zip code 16160 in Pennsylvania, is a small community that has experienced notable shifts in its housing market over the past decade. The area has seen fluctuations in homeownership rates, along with steady increases in both average home prices and average rent prices, reflecting broader economic trends and local market dynamics.
The relationship between homeownership rates and average home prices in West Pittsburg presents an interesting trend. In 2013, the homeownership rate stood at 70%, with average home prices not available for that year. However, by 2022, the homeownership rate had decreased to 57%, while average home prices had risen to $107,997. This inverse relationship suggests that as home prices increased, fewer residents were able to afford homeownership. For instance, between 2014 and 2022, average home prices rose from $68,269 to $107,997, representing a significant 58% increase over eight years.
Federal interest rates have played a role in shaping homeownership trends in the area. In 2014, when interest rates were at a low 0.09%, the homeownership rate was 74%. As interest rates began to rise, reaching 1.68% in 2022, the homeownership rate declined to 57%. This trend aligns with the general principle that lower interest rates tend to encourage homeownership due to more affordable financing options.
The rental market in West Pittsburg has shown a corresponding trend to the decline in homeownership. In 2013, the renter-occupied percentage was 26%, with an average rent of $694. By 2022, the renter percentage had increased to 39%, with average rent rising to $793. This 14% increase in renters over the period coincided with a 14% increase in average rent prices. The population remained relatively stable during this time, fluctuating between 55 and 69 residents, suggesting that the shift towards renting was primarily driven by economic factors rather than significant population changes.
Looking at the most recent data, average home prices in West Pittsburg continued to rise, reaching $110,484 in 2023 and $114,211 in 2024. This represents a steady increase of 2.3% from 2022 to 2023 and 3.4% from 2023 to 2024. Concurrently, federal interest rates have increased significantly, reaching 5.02% in 2023 and 5.33% in 2024, which may further impact homeownership rates in the area.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in West Pittsburg will continue to rise, potentially reaching around $130,000 by 2029. Average rent prices are also expected to increase, potentially surpassing $850 per month within the same timeframe. These projections are based on the consistent upward trends observed in both metrics over the past decade.
In summary, West Pittsburg has experienced a notable shift from homeownership to renting, with rising home prices and increasing average rents. The inverse relationship between homeownership rates and home prices, coupled with the influence of federal interest rates, has reshaped the local housing market. As the community moves forward, it is likely to see continued growth in both home values and rental costs, potentially further impacting the balance between owners and renters in this small Pennsylvania community.
