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Zip Code 46039: Rising Home Values and High Ownership Rates in Forest, Indiana
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
Forest, located in zip code 46039 in Indiana, is a small community that has experienced significant fluctuations in its population and homeownership rates over the past decade. The area has seen a general trend of increasing average home prices, while homeownership rates have remained relatively high despite some variations.
Analyzing the trends between ownership percentage and average home prices reveals an interesting pattern. In 2013, the homeownership rate was 87%, with average home prices at $91,335. By 2022, the ownership rate had increased to 95%, while average home prices rose to $188,166. This suggests a strong correlation between rising home values and increased homeownership. The most dramatic increase in homeownership occurred between 2021 and 2022, jumping from 87% to 95%, coinciding with a significant rise in average home prices from $169,624 to $188,166.
The relationship between federal interest rates and homeownership rates in Forest shows some correlation, although local factors seem to play a significant role. For instance, in 2020, when interest rates dropped to 0.38%, homeownership increased to 91% from 90% in 2019. However, the most substantial increase in homeownership occurred in 2022, reaching 95%, despite interest rates rising to 1.68%. This suggests that while lower interest rates generally encourage homeownership, other local factors may have a more pronounced effect in this particular area.
Renter percentages in Forest have generally been low, fluctuating between 4% and 22% from 2013 to 2022. The highest renter percentage was observed in 2015 at 22%, which coincided with a population of 592. Interestingly, as the population decreased to 523 in 2022, the renter percentage dropped to its lowest point of 4%. This inverse relationship between population and renter percentage could indicate a preference for homeownership among long-term residents or a lack of rental properties in the area.
In 2023 and 2024, average home prices in Forest continued to rise, reaching $193,974 in 2023 and $198,387 in 2024. This represents a steady increase from previous years, despite the federal interest rates climbing to 5.02% in 2023 and 5.33% in 2024. The continued appreciation in home values, even in the face of higher interest rates, suggests strong demand for housing in this area.
Looking ahead, based on the historical data and current trends, we can forecast that average home prices in Forest are likely to continue their upward trajectory over the next five years. Assuming a similar rate of appreciation as seen in recent years, we could expect average home prices to reach approximately $230,000 to $250,000 by 2029. However, this growth may be moderated by the higher interest rates, which could potentially slow down the pace of appreciation.
In summary, Forest has demonstrated a strong preference for homeownership, with rates reaching as high as 95% in recent years. Average home prices have shown consistent growth, more than doubling from $92,459 in 2010 to $198,387 in 2024. The area's low renter percentages and steady population suggest a stable, homeowner-oriented community. The resilience of the housing market, even in the face of rising interest rates, indicates a robust local economy and continued demand for housing in this Indiana community.
