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Zip Code 40014: Rising Home Values and Stable Ownership in Crestwood, Kentucky
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 40014, located in Crestwood, Kentucky, has experienced significant changes in homeownership rates, average home prices, and average rent prices over the past decade. This area, spanning 55.62 square miles, has shown a steady increase in population, reaching 24,474 residents in 2022.
The homeownership rate in zip code 40014 has remained relatively stable, with minor fluctuations between 87% and 89% from 2013 to 2022. Despite these small variations, the average home prices have shown a consistent upward trend. In 2013, the average home price was $241,613, which increased to $403,358 by 2022, representing a substantial 67% growth over nine years. This trend suggests a strong housing market in the area, with property values appreciating significantly despite the relatively constant homeownership rate.
Federal interest rates have played a role in shaping homeownership trends in zip code 40014. From 2013 to 2016, when interest rates were extremely low (ranging from 0.11% to 0.40%), homeownership rates remained stable at around 88%. As interest rates began to rise from 2017 (1%) to 2019 (2.16%), there was a slight dip in homeownership to 87% in 2019. However, when rates dropped again in 2020 (0.38%) and 2021 (0.08%), homeownership rebounded to 88%. The increase to 89% in 2022, despite a rise in interest rates to 1.68%, suggests other factors influencing homeownership in this area.
Renter percentages in zip code 40014 have fluctuated between 11% and 12% from 2013 to 2022, mirroring the changes in homeownership rates. Average rent prices have shown some volatility over this period. In 2013, the average rent was $1,218, which decreased to $1,053 in 2016 before gradually increasing to $1,096 in 2022. This represents a 10% decrease in average rent prices over the nine-year period, despite the growing population. The relatively stable renter percentage coupled with the overall decrease in average rent prices could indicate a balanced rental market or the influence of local economic factors.
As of 2024, the average home price in zip code 40014 has reached $422,040, showing continued growth from the 2022 figure. This represents a 4.7% increase from the 2023 average of $417,209. The federal interest rate for 2024 stands at 5.33%, a slight increase from the 2023 rate of 5.02%. These figures indicate a resilient housing market in the area, with home prices continuing to appreciate despite higher interest rates.
Looking ahead, based on historical trends and current market conditions, we can project future trends for average home and rent prices in zip code 40014. For home prices, assuming a conservative annual growth rate of 4%, we can expect the average home price to reach approximately $513,000 by 2029. Rent prices, which have shown more volatility, may stabilize and potentially increase at a modest rate of 2% annually, potentially reaching an average of $1,210 per month by 2029.
In summary, zip code 40014 has demonstrated a robust and growing housing market over the past decade, with steadily increasing average home prices and a stable homeownership rate. The rental market has shown more variability but remains an important component of the local housing landscape. The area's continued population growth and rising property values suggest a desirable location for both homeowners and renters, with potential for further appreciation in the coming years.
