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Zip Code 45177: Wilmington, Ohio's Rising Home Values and Ownership Rates Defy Interest Rate 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
Zip code 45177, located in Wilmington, Ohio, has experienced notable shifts in homeownership rates and housing prices over the past decade. This area, spanning 171.86 square miles, has seen a general trend of increasing homeownership and rising average home prices, with some fluctuations in the rental market.
The ownership percentage in zip code 45177 has shown a significant upward trend, particularly in recent years. In 2013, the homeownership rate was 63%, which remained relatively stable until 2020. However, from 2021 to 2022, there was a marked increase, with the ownership rate rising from 67% to 69%. This trend coincides with a substantial increase in average home prices. The average home price in 2013 was $113,298, which steadily rose to $227,214 by 2022, representing a 100% increase over this period. This correlation suggests that despite rising prices, more residents in the area are choosing to become homeowners.
Federal interest rates have played a crucial role in shaping homeownership trends in zip code 45177. The period from 2013 to 2020 saw historically low interest rates, ranging from 0.09% to 0.38%. This low-interest environment likely contributed to the stability and gradual increase in homeownership during this time. The sharp increase in homeownership from 63% in 2020 to 69% in 2022 occurred despite a rise in interest rates from 0.38% to 1.68%, indicating strong local demand for homeownership even as financing costs began to increase.
The rental market in zip code 45177 has shown an inverse relationship to homeownership trends. The percentage of renters decreased from 40% in 2019 to 31% in 2022. Despite this decrease in the renter population, average rent prices have generally increased. In 2013, the average rent was $802, which rose to $987 by 2021, representing a 23% increase. However, there was a slight decrease to $863 in 2022. This trend suggests that while fewer residents are renting, those who do are facing higher rental costs, possibly due to limited rental inventory or improved quality of available rentals.
In 2023 and 2024, the housing market in zip code 45177 continued to evolve. The average home price reached $235,160 in 2023 and further increased to $245,156 in 2024, showing a continued upward trajectory. This occurred despite significantly higher federal interest rates of 5.02% in 2023 and 5.33% in 2024, demonstrating the resilience of the local housing market in the face of increased borrowing costs.
Looking ahead, based on the observed trends, we can project that average home prices in zip code 45177 are likely to continue rising over the next five years, albeit potentially at a slower rate due to higher interest rates. The average home price could potentially reach around $275,000 to $290,000 by 2029. Average rent prices, while more volatile, may also continue to increase, possibly reaching $1,100 to $1,200 per month in the same timeframe, assuming the trend of decreasing rental supply continues.
In summary, zip code 45177 has demonstrated a strong trend towards increased homeownership and rising property values. The area has shown resilience to rising interest rates, with continued growth in both homeownership rates and average home prices. The rental market, while shrinking in terms of occupancy, has seen generally increasing prices. These trends point to a robust and evolving housing market in this Ohio zip code, with a clear preference shift towards homeownership among its residents.
