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Zip Code 16345: High Homeownership Rates and Rising Home Values in Russell, 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 16345, located in Russell, Pennsylvania, is a predominantly rural area known for its scenic beauty and close-knit community. Over the past decade, this region has experienced a relatively stable homeownership rate, with slight fluctuations in average home prices and rent costs.
The homeownership rate in zip code 16345 has remained consistently high, ranging from 88% to 92% between 2013 and 2022. This strong preference for homeownership coincides with an overall upward trend in average home prices. In 2016, the average home price was $135,732, which increased to $181,902 by 2022, representing a 34% rise over six years. Despite this increase in home values, the high homeownership rate suggests that residents in this area have been able to maintain their status as homeowners, possibly due to the relatively affordable housing market compared to more urban areas.
Federal interest rates have played a role in shaping homeownership trends in zip code 16345. From 2013 to 2016, when interest rates were at historic lows (0.11% to 0.40%), the homeownership rate remained stable at around 88-91%. As interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, the homeownership rate actually increased slightly to 92% in 2021 before settling at 90% in 2022. This suggests that while interest rates influence homeownership, other local factors such as job stability and community ties may have a stronger impact in this particular area.
Renter percentages in zip code 16345 have remained low, fluctuating between 8% and 12% from 2013 to 2022. Average rent prices have shown some volatility during this period. In 2013, the average rent was $520, which increased to a peak of $691 in 2017. Since then, rent prices have fluctuated, settling at $686 in 2022. The relatively stable renter population, despite these price fluctuations, may indicate a core group of renters who prefer or need to rent due to personal circumstances or limited housing options in this rural area.
Looking at the most recent data, average home prices in zip code 16345 continued to rise, reaching $188,545 in 2023 and $202,746 in 2024. This represents a significant 11.5% increase from 2022 to 2024. Concurrently, federal interest rates have also increased substantially, rising from 1.68% in 2022 to 5.02% in 2023 and 5.33% in 2024. Despite these higher interest rates, which typically make mortgages more expensive, home prices have continued to appreciate, suggesting strong demand in this local market.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 16345 will continue to rise, albeit at a potentially slower rate due to the higher interest rate environment. By 2029, average home prices could reach approximately $240,000 to $250,000, assuming a moderated annual growth rate of 3-4%. For rent prices, we project a more modest increase, potentially reaching an average of $750 to $800 per month by 2029, factoring in historical volatility and local economic conditions.
In summary, zip code 16345 demonstrates a robust homeownership market with steadily increasing property values, despite recent interest rate hikes. The area maintains a high proportion of homeowners, with a small but consistent renter population. The resilience of the housing market in the face of rising interest rates suggests a strong local economy and continued demand for housing in this rural Pennsylvania community.
