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Zip Code 18414: Home Values and Ownership Trends in Dalton, 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
Dalton, located in zip code 18414 in Pennsylvania, has experienced notable shifts in its housing market 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 Dalton has shown a slight downward trend over the years. In 2013, the homeownership rate stood at 85%, reaching its peak of 88% in 2016. However, by 2022, it had decreased to 82%. This decline in homeownership coincides with a general upward trend in average home prices. In 2013, the average home price was $185,449, which steadily increased to $268,680 by 2022, representing a substantial 44.9% increase over this period.
The relationship between federal interest rates and homeownership rates in Dalton follows a familiar pattern. As interest rates remained low from 2013 to 2016, hovering between 0.09% and 0.40%, homeownership rates reached their peak. However, as interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, there was a corresponding decline in homeownership rates. This trend aligns with the general economic principle that lower interest rates tend to encourage homeownership by making mortgages more affordable.
Renter percentages in Dalton have shown a slight increase, mirroring the decline in homeownership. The renter-occupied percentage rose from 15% in 2013 to 18% in 2022. Interestingly, average rent prices have experienced significant fluctuations during this period. In 2013, the average rent was $976, which increased to a peak of $1,292 in 2018 before declining to $991 in 2022. These fluctuations in rent prices don't show a clear correlation with the gradual increase in renter percentages, suggesting that other factors, such as local economic conditions or housing supply, may be influencing rent prices.
Looking at the most recent data, the average home price in Dalton continued its upward trajectory, reaching $274,881 in 2023 and further increasing to $277,106 in 2024. This represents a 3.1% increase from 2022 to 2024. Simultaneously, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates may pose challenges for potential homebuyers in the coming years.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in Dalton will continue to rise, albeit at a more moderate pace. By 2029, average home prices could potentially reach around $300,000 to $320,000, assuming current economic conditions persist. For rent prices, the forecast suggests a potential stabilization or slight increase, with average rents possibly ranging between $1,100 and $1,300 by 2029.
In summary, Dalton has experienced a gradual shift towards more renter-occupied housing, coinciding with rising average home prices. The interplay between federal interest rates, homeownership rates, and housing prices demonstrates the complex dynamics of the local real estate market. As the area continues to evolve, these trends will likely shape the future of housing in zip code 18414.
