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Zip Code 17509: Georgetown's Rising Home Values and Declining Ownership Rates
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
Georgetown, located in zip code 17509 in Pennsylvania, has experienced notable shifts in its housing market over the past decade. This area has seen a gradual transition from a predominantly owner-occupied community to one with an increasing renter population, alongside fluctuations in average home prices and rent rates.
The homeownership rate in Georgetown has shown a consistent downward trend from 2013 to 2022. In 2013, 83% of housing units were owner-occupied, but by 2022, this figure had decreased to 69%. Concurrently, average home prices in the area have seen significant growth. In 2013, the average home price was $212,043, and by 2022, it had risen to $343,527, representing a 62% increase over this period. This inverse relationship between homeownership rates and average home prices suggests that rising property values may be making homeownership less attainable for some residents.
Federal interest rates have played a role in shaping homeownership trends in Georgetown. From 2013 to 2016, when interest rates were exceptionally low (ranging from 0.11% to 0.40%), homeownership rates remained relatively stable at around 79-83%. However, as interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, homeownership rates declined more rapidly, falling from 77% in 2017 to 69% in 2022. This trend aligns with the general principle that higher interest rates can make mortgages less affordable, potentially discouraging homeownership.
As homeownership rates declined, the percentage of renters in Georgetown increased from 17% in 2013 to 31% in 2022. Interestingly, average rent prices did not follow a consistent upward trend during this period. In 2013, the average rent was $1,349, peaking at $1,365 in 2015 before declining to $1,072 in 2022. This fluctuation in rent prices, despite the increasing renter population, could be influenced by various factors such as local economic conditions or changes in housing supply.
In 2023 and 2024, Georgetown continued to see growth in average home prices. The average home price reached $361,295 in 2023 and further increased to $373,288 in 2024. This represents a 8.7% increase from 2022 to 2024. Notably, federal interest rates also rose significantly during this period, reaching 5.02% in 2023 and 5.33% in 2024, which could potentially impact future homeownership rates and housing market dynamics.
Looking ahead, predictive models suggest that average home prices in Georgetown may continue to rise over the next five years, potentially reaching around $420,000 by 2029 if current trends persist. However, rent prices might stabilize or show modest increases, potentially reaching an average of $1,300 to $1,400 per month in the same timeframe.
In summary, Georgetown has experienced a shift towards a higher proportion of renters, coupled with substantial increases in average home prices. The interplay between federal interest rates, homeownership rates, and housing prices highlights the complex dynamics of the local real estate market. As the community continues to evolve, these trends will likely shape the future of housing in this Pennsylvania zip code.
