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Zip Code 16870: Rising Home Values and Ownership Rates in Stormstown, 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 16870, located in Stormstown, Pennsylvania, has experienced significant changes in its housing market over the past decade. This area has seen a general trend of increasing homeownership rates, rising average home prices, and fluctuating average rent prices. The community has also witnessed substantial population growth, which has likely influenced these housing market dynamics.
The homeownership rate in zip code 16870 has shown a notable increase from 2013 to 2022. In 2013, 83% of residents were homeowners, and this figure rose to 85% by 2022. This upward trend in homeownership coincided with a steady increase in average home prices. The average home price in 2013 was $246,647, and it rose consistently year over year, reaching $384,040 in 2022. This represents a significant 55.7% increase in average home prices over this period.
Federal interest rates have played a role in shaping homeownership trends in the area. From 2013 to 2016, interest rates remained below 0.5%, which likely contributed to the steady homeownership rate of around 80%. As interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, the homeownership rate actually increased to 85%. This suggests that other factors, such as local economic conditions or housing supply, may have had a stronger influence on homeownership in this zip code than national interest rates.
Renter percentages in zip code 16870 have fluctuated over the years, with a general downward trend from 21% in 2017 to 15% in 2022. Average rent prices, however, have shown an overall upward trend. In 2013, the average rent was $885, which increased to $1,208 by 2022, representing a 36.5% increase. It's worth noting that there were some fluctuations in rent prices during this period, with a notable dip to $852 in 2017 before rising again. The population of the zip code grew from 7,129 in 2013 to 8,234 in 2022, which may have contributed to the upward pressure on both home prices and rents.
Looking at the most recent data, the average home price in zip code 16870 continued to rise in 2023 and 2024, reaching $400,962 and $409,985 respectively. This represents a 6.8% increase from 2022 to 2024. Interestingly, federal interest rates also saw a significant increase during this period, rising from 1.68% in 2022 to 5.33% in 2024. Despite this sharp rise in interest rates, home prices in the area continued to appreciate, suggesting strong local demand for housing.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 16870 will continue to rise, albeit at a potentially slower rate due to the higher interest rate environment. We project that average home prices could reach approximately $450,000 to $475,000 by 2029. Average rent prices are also expected to increase, potentially reaching $1,400 to $1,500 per month in the same timeframe, assuming current trends continue.
In summary, zip code 16870 has demonstrated a robust housing market with increasing homeownership rates and steadily rising average home prices. The area has shown resilience in the face of changing interest rates, with home prices continuing to appreciate even as rates have increased. The rental market has seen some fluctuations but maintains an overall upward trend in prices. With a growing population and consistent demand for housing, both the ownership and rental markets in this zip code are poised for continued growth in the coming years.
