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Zip Code 16832: Rising Home Values and Shifting Ownership in Rural 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 16832, located in Coburn, Pennsylvania, presents an interesting case study in homeownership and housing market trends. This rural area has experienced fluctuations in its ownership rates and housing prices over the past decade, reflecting broader economic shifts and local demographic changes.
The homeownership rate in zip code 16832 has shown remarkable stability, with only minor fluctuations between 2013 and 2022. In 2013, the ownership rate stood at 88%, and by 2022, it remained strong at 84%. This high rate of homeownership suggests a deeply rooted community with a preference for long-term residency. Concurrently, average home prices in the area have seen a steady increase. In 2013, the average home price was $140,543, and by 2022, it had risen to $219,298, representing a significant 56% increase over nine years.
Federal interest rates have played a crucial role in shaping homeownership trends in zip code 16832. The period from 2013 to 2016 saw historically low interest rates, hovering around 0.1% to 0.4%. This low-interest environment likely contributed to the area's high homeownership rates, making mortgage financing more accessible. As interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, the homeownership rate showed slight declines but remained robust, dropping only 4 percentage points from its peak.
Renter percentages in zip code 16832 have shown a modest increase over the years, rising from 12% in 2013 to 16% in 2022. This shift coincides with a general upward trend in average rent prices. In 2013, the average rent was $849, which increased to $953 by 2022, representing a 12.2% rise. The population growth from 535 in 2013 to 641 in 2022 may have contributed to this increase in rental demand and prices.
As of 2024, the average home price in zip code 16832 has reached $238,718, continuing the upward trend observed in previous years. This represents an 8.9% increase from the 2022 average. Notably, the federal interest rate has significantly risen to 5.33% in 2024, potentially impacting future homeownership rates and housing market dynamics in the area.
Looking ahead, predictive models suggest that average home prices in zip code 16832 are likely to continue their upward trajectory over the next five years, albeit at a potentially slower rate due to higher interest rates. Average rent prices are also expected to increase, driven by population growth and the rising cost of homeownership. However, the rate of increase may moderate as the market adjusts to economic conditions.
In summary, zip code 16832 demonstrates a robust housing market characterized by high homeownership rates and steadily increasing property values. The area has shown resilience in maintaining strong ownership percentages despite rising home prices and recent increases in interest rates. The gradual rise in renter percentages and rent prices reflects a diversifying housing market, likely influenced by population growth and changing economic conditions. As the community moves forward, it will be crucial to monitor how these trends evolve, particularly in light of the current higher interest rate environment.
