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Zip Code 51543: Stable Homeownership and Rising Home Values in Rural 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
Kimballton, located in zip code 51543 in Iowa, is a small rural community with a unique demographic profile. Over the past decade, this area has experienced notable shifts in homeownership rates and housing prices, reflecting broader economic trends and local market dynamics.
The homeownership rate in Kimballton has shown remarkable resilience, fluctuating between 78% and 86% from 2013 to 2022. In 2013, the homeownership rate stood at 82%, and by 2022, it had increased to 86%, demonstrating a strong preference for homeownership in this community. This trend coincides with changes in average home prices, which have shown a significant increase in recent years. The average home price in 2022 was $117,623, indicating a relatively affordable housing market compared to many urban areas.
The relationship between federal interest rates and homeownership rates in Kimballton appears to follow traditional economic patterns. As interest rates remained historically low between 2013 and 2021, ranging from 0.08% to 1.68%, the homeownership rate in the area remained consistently high. This aligns with the general economic principle that lower interest rates tend to encourage homeownership by making mortgage financing more accessible and affordable.
Renter percentages in Kimballton have remained relatively low, fluctuating between 14% and 21% from 2013 to 2022. The average rent prices have shown some volatility during this period. In 2013, the average rent was $630, which increased to a peak of $784 in 2014 before gradually decreasing to $658 in 2022. This trend in rent prices doesn't show a clear correlation with the renter percentage, suggesting that other factors, such as local economic conditions or housing availability, may have a more significant impact on the rental market in this area.
As of 2023 and 2024, the housing market in Kimballton continues to evolve. The average home price rose to $120,374 in 2023 and further increased to $124,915 in 2024, representing a 6.2% increase over two years. This growth occurs against the backdrop of rising federal interest rates, which reached 5.02% in 2023 and 5.33% in 2024. Despite these higher interest rates, the local housing market appears to be maintaining its upward trajectory in terms of home values.
Looking ahead, predictive models suggest that the housing market in Kimballton may continue to see moderate growth. Average home prices are projected to increase by approximately 2-3% annually over the next five years, potentially reaching around $140,000 by 2029. Rent prices are expected to follow a similar trend, with projected annual increases of 1-2%, potentially bringing the average rent to around $700 by 2029. However, these projections are subject to various economic factors and local market conditions.
In summary, Kimballton's housing market is characterized by high homeownership rates, gradually increasing home values, and a relatively stable rental market. The resilience of homeownership rates, even in the face of rising interest rates, suggests a strong community preference for home ownership. The steady increase in home values, coupled with moderate rent prices, indicates a balanced and potentially attractive market for both homeowners and investors in the coming years.
