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Zip Code 17062: Rising Home Values and Stable Ownership in Millerstown, 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 17062, located in Millerstown, Pennsylvania, showcases a remarkable trend of high homeownership rates and fluctuating home values. This area has consistently maintained a homeownership rate between 87-88% over the past decade, demonstrating a strong preference for property ownership among residents. The average home prices in this zip code have shown notable changes, reflecting broader economic trends and local market conditions. The homeownership rate in zip code 17062 has remained notably stable, with only slight variations between 86% and 88% from 2013 to 2022. This consistency in homeownership has occurred alongside a general upward trend in average home prices. In 2013, the average home price stood at $190,524, which gradually increased to $266,352 by 2022, representing a substantial 39.8% increase over this period. The most significant increase occurred between 2020 and 2021, when average home prices surged from $218,074 to $245,602, marking a 12.6% increase in just one year. Federal interest rates have played a significant role in shaping homeownership trends in zip code 17062. The period from 2013 to 2016 experienced historically low interest rates, ranging from 0.09% to 0.4%. During this time, homeownership rates in the area remained high and stable, likely due to the favorable borrowing conditions. As interest rates began to rise from 2017 (1%) to 2019 (2.16%), there was a slight decrease in homeownership from 88% in 2018 to 86% in 2019. However, the dramatic drop in interest rates to 0.38% in 2020 and 0.08% in 2021 corresponded with a rebound in homeownership to 87% in both years.
The rental market in zip code 17062 has exhibited trends inverse to homeownership. Renter-occupied housing units have fluctuated between 11% and 14% from 2013 to 2022. Average rent prices have generally increased over this period, rising from $722 in 2013 to $747 in 2022. However, there were notable fluctuations, with the highest average rent of $841 recorded in 2018 when the renter percentage was at its lowest (11%). This suggests a potential correlation between supply and demand in the rental market.
The most recent data shows that average home prices in zip code 17062 continued to rise, reaching $272,620 in 2023 and further increasing to $278,294 in 2024. This represents a 4.5% increase from 2022 to 2024. Concurrently, federal interest rates have significantly increased, rising to 5.02% in 2023 and 5.33% in 2024. These higher interest rates may potentially impact future homeownership rates and home price growth in the area.
Applying predictive models to forecast 5-year trends, it is anticipated that average home prices in zip code 17062 will continue to rise, albeit at a more moderate pace due to the higher interest rate environment. Projections suggest average home prices could reach approximately $300,000 by 2029. Average rent prices are expected to follow a similar upward trajectory, potentially reaching around $900 per month in the same timeframe. However, these projections are subject to change based on economic conditions and local market factors.
In summary, zip code 17062 has demonstrated a strong and stable homeownership market, with gradually increasing average home prices over the past decade. The rental market, while smaller, has shown responsiveness to supply and demand dynamics. The recent sharp increase in interest rates may introduce new challenges to the housing market, potentially moderating the rapid home price appreciation seen in recent years. The interplay between homeownership rates, housing prices, and economic factors will continue to shape the real estate landscape in this Pennsylvania community.
