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Zip Code 45065: South Lebanon's Rising Home Values and Ownership Trends
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
South Lebanon, located in zip code 45065 in Ohio, has experienced significant changes in its housing market over the past decade. This analysis examines the trends in homeownership, average home prices, and average rent prices, providing insights into the local real estate dynamics.
The homeownership rate in zip code 45065 has shown a general upward trend from 2013 to 2022. In 2013, the percentage of owner-occupied homes was 71%, which steadily increased to reach 87% in 2020. However, there was a slight decrease to 79% in 2022. This overall increase in homeownership coincided with a substantial rise in average home prices. The average home price in 2013 was $171,742, which grew consistently year-over-year, reaching $330,309 in 2022. This represents a remarkable 92% increase in average home values over this period.
The relationship between federal interest rates and homeownership rates in zip code 45065 appears to follow the general trend of lower interest rates encouraging homeownership. For instance, as interest rates remained low from 2013 to 2016 (ranging from 0.11% to 0.4%), homeownership rates increased from 71% to 77%. Even as interest rates began to rise from 2017 to 2019, homeownership continued to grow, possibly due to the momentum in the housing market and the rates still being relatively low compared to historical standards.
Renter percentages in zip code 45065 have shown an inverse relationship to homeownership rates, generally decreasing from 2013 to 2022. The percentage of renter-occupied homes dropped from 19% in 2013 to 13% in 2020, before rising slightly to 21% in 2022. Interestingly, average rent prices have not shown a consistent trend in relation to renter percentages. The average rent was $1,013 in 2013, fluctuated over the years, and reached $1,031 in 2022. The highest average rent was recorded in 2021 at $1,317, coinciding with a period of low renter occupancy (14%).
In 2023 and 2024, the housing market in zip code 45065 continued its upward trajectory. The average home price increased to $344,696 in 2023 and further to $356,777 in 2024. This represents a 7.9% increase from 2022 to 2024. Concurrently, federal interest rates rose significantly, reaching 5.02% in 2023 and 5.33% in 2024, which could potentially impact future homeownership rates and housing affordability in the area.
Looking ahead, predictive models suggest that the average home prices in zip code 45065 will continue to rise over the next five years, albeit at a potentially slower rate due to higher interest rates. Average home prices could reach approximately $400,000 by 2029. Average rent prices are also expected to increase, potentially surpassing $1,400 per month within the same timeframe, driven by population growth and housing demand.
In summary, zip code 45065 has experienced a significant increase in homeownership rates and average home prices from 2013 to 2022. The renter population has generally decreased, while average rent prices have shown some volatility. The recent surge in interest rates, combined with continued growth in home prices, may present challenges for future homebuyers in this area. However, the strong trend of increasing property values suggests that South Lebanon remains an attractive location for real estate investment.
