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Zip Code 50456: Rising Home Values and Declining Ownership in Manly, Iowa
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 50456, located in Manly, Iowa, presents an intriguing case study of homeownership and rental trends in a small Midwestern community. This area has experienced fluctuations in its ownership percentage over the past decade, while average home prices have shown a steady upward trajectory. The average rent prices have also demonstrated variability, reflecting the dynamic nature of the local housing market.
The homeownership rate in zip code 50456 has seen some notable changes between 2013 and 2022. In 2013, the ownership percentage stood at 78%, but it gradually decreased to 71% by 2018. However, there was a slight recovery to 76% in 2020 before dropping again to 68% in 2022. Interestingly, this fluctuation in homeownership rates coincided with a consistent increase in average home prices. The average home price rose from $79,317 in 2013 to $127,212 in 2022, representing a substantial 60.4% increase over this period. This trend suggests that rising home prices may have made homeownership less accessible for some residents, potentially contributing to the overall decline in ownership rates.
Federal interest rates have played a significant role in shaping homeownership trends in zip code 50456. The period from 2013 to 2016 saw historically low interest rates, ranging from 0.11% to 0.4%. During this time, the homeownership rate remained relatively stable, hovering around 73-78%. As interest rates began to rise more sharply from 2017 onwards, reaching 2.16% by 2019, we observed a corresponding dip in homeownership to 71% in 2018. The sudden drop in interest rates to 0.38% in 2020 coincided with a brief surge in homeownership to 76%, demonstrating how lower rates can stimulate home buying activity.
The renter percentage in zip code 50456 has shown an inverse relationship to homeownership rates, naturally increasing as ownership rates declined. The proportion of renters rose from 22% in 2013 to a peak of 32% in 2022. Average rent prices have also seen an overall upward trend, albeit with some fluctuations. In 2013, the average rent was $462, which increased to $569 by 2018, representing a 23.2% rise. However, there was a slight decrease to $492 in 2022, possibly reflecting changes in local economic conditions or housing supply. The population of the zip code has remained relatively stable during this period, ranging from 1,800 to 2,038 residents, which suggests that changes in rent prices were more likely influenced by market factors rather than significant population shifts.
Looking at the most recent data, the average home price in zip code 50456 reached $130,179 in 2023 and further increased to $139,761 in 2024, continuing the upward trend observed in previous years. This represents a 7.4% increase from 2023 to 2024. Concurrently, 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, potentially affecting homeownership rates.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 50456 will continue to rise, albeit potentially at a slower rate due to the higher interest rate environment. We project that by 2029, average home prices could reach approximately $165,000 to $175,000, assuming a moderate annual growth rate of 3-4%. For average rent prices, we expect a more modest increase, potentially reaching around $550 to $575 by 2029, factoring in historical trends and potential market adjustments.
In summary, zip code 50456 has experienced a gradual decline in homeownership rates despite rising average home prices, likely influenced by affordability concerns and fluctuating interest rates. The rental market has grown in response, with average rent prices showing an overall upward trend. The recent sharp increase in interest rates, combined with continuing home price appreciation, may further challenge homeownership aspirations in the near future, potentially leading to a sustained higher proportion of renters in this Iowa community.
