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Zip Code 17042: Rising Home Values and Shifting Ownership in Cornwall, PA
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 17042, located in Cornwall, Pennsylvania, has experienced significant demographic and housing market changes over the past decade. This area has seen fluctuations in homeownership rates, average home prices, and average rent prices, reflecting broader economic trends and local market dynamics.
The homeownership rate in zip code 17042 has shown a slight decline over the years, starting at 72% in 2013 and settling at 71% in 2022. During this period, average home prices have demonstrated a consistent upward trend. In 2013, the average home price was $160,640, which steadily increased to $242,859 by 2022, representing a substantial 51.2% growth over nine years. This inverse relationship between homeownership rates and average home prices suggests that rising property values may have made homeownership less accessible for some residents.
Federal interest rates have played a significant role in shaping homeownership trends in the area. For instance, when interest rates were at historic lows between 2020 and 2021 (0.38% and 0.08% respectively), the homeownership rate in zip code 17042 increased slightly from 69% to 71%. This aligns with the well-established trend that lower interest rates generally encourage homeownership due to more affordable financing options.
The renter population in zip code 17042 has shown a corresponding increase as homeownership rates slightly declined. The percentage of renters rose from 28% in 2013 to 29% in 2022. During this period, average rent prices also experienced an overall upward trend, albeit with some fluctuations. Average rent increased from $1,018 in 2013 to $999 in 2022, peaking at $1,123 in 2021. The slight decrease in average rent from 2021 to 2022, coupled with a small increase in homeownership, might indicate a temporary shift in the local housing market dynamics.
Looking at the most recent data, average home prices in zip code 17042 continued their upward trajectory, reaching $259,138 in 2023 and further climbing to $271,178 in 2024. This represents a significant 11.7% increase from 2022 to 2024. Concurrently, federal interest rates rose sharply to 5.02% in 2023 and 5.33% in 2024, potentially impacting affordability and homeownership rates in the area.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 17042 will continue to rise, potentially reaching around $320,000 by 2029. This projection is based on the consistent upward trend observed over the past decade and recent acceleration in price growth. Average rent prices are also expected to increase, potentially surpassing $1,200 per month within the next five years, following the general upward trend with occasional fluctuations.
In summary, zip code 17042 has experienced a gradual shift towards a slightly higher proportion of renters, accompanied by significant increases in both average home prices and average rent prices. The interplay between federal interest rates, local economic conditions, and housing market dynamics has shaped these trends. As property values continue to rise, it will be crucial to monitor how these changes affect the area's demographics and housing affordability in the coming years.
