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Zip Code 17502: Rising Home Values and High Ownership Rates in Bainbridge, 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 17502, located in Bainbridge, Pennsylvania, has seen significant changes in homeownership rates and property values over the past decade. This area, covering 14.17 square miles, has experienced a notable shift in its real estate landscape, with homeownership rates and average home prices showing distinct trends.
The ownership percentage in zip code 17502 has demonstrated a strong upward trend, particularly in recent years. In 2013, the homeownership rate stood at 87%, and by 2022, it had increased to 90%. This 3% rise in homeownership aligns with a substantial increase in average home prices. In 2013, the average home price was $170,913, which steadily climbed to $274,484 by 2022, representing a remarkable 60.6% increase over this period.
Federal interest rates have played a significant role in shaping homeownership trends in zip code 17502. The period from 2013 to 2016 saw historically low interest rates, ranging from 0.11% to 0.40%, which likely contributed to the initial rise in homeownership. As interest rates began to increase more significantly from 2017 (1%) to 2019 (2.16%), we observed a slight dip in homeownership to 83% in 2017. However, the dramatic drop in interest rates in 2020 (0.38%) and 2021 (0.08%) coincided with a sharp increase in homeownership, reaching 91% in 2020.
Renter percentages in zip code 17502 have shown an inverse relationship to homeownership rates, naturally decreasing as more residents became homeowners. The renter population peaked at 17% in 2016 when the average rent was $1,005. Interestingly, despite the decreasing renter population, average rent prices continued to rise, reaching $1,597 in 2018 before slightly declining to $1,032 in 2022. This trend suggests that while fewer people are renting, those who do are willing to pay higher prices, possibly due to improved rental property quality or increased demand for the limited rental stock.
In 2023 and 2024, we see a continuation of the upward trend in average home prices in zip code 17502. The average home price reached $293,820 in 2023 and further increased to $303,663 in 2024, representing a 3.35% year-over-year growth. This rise occurs despite a significant increase in federal interest rates, which jumped to 5.02% in 2023 and 5.33% in 2024, potentially impacting affordability for new homebuyers.
Looking ahead, our predictive models forecast continued growth in both average home prices and rent prices over the next five years. Average home prices are expected to maintain a steady upward trajectory, potentially reaching around $350,000 by 2029. Rent prices, while more volatile, are also projected to increase, possibly surpassing $1,200 per month on average within the same timeframe.
In summary, zip code 17502 has experienced a significant increase in homeownership rates, rising from 87% to 90% between 2013 and 2022, coupled with a substantial 60.6% growth in average home prices. Despite rising interest rates, the area continues to see increasing property values, with average home prices reaching $303,663 in 2024. The rental market, while shrinking, has shown resilience with fluctuating but generally increasing average rents. These trends point to a robust and evolving real estate market in Bainbridge, Pennsylvania, with projections indicating continued growth in both home values and rental prices over the next five years.
