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Zip Code 52769: Rising Home Values and Stable Ownership in Stockton, 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 52769, located in Stockton, Iowa, presents an interesting case study in homeownership and housing market dynamics. This area has maintained a high rate of homeownership over the past decade, with a slight fluctuation in recent years. The average home prices have shown a steady increase, while average rent prices have experienced more volatility.
The homeownership rate in zip code 52769 has remained relatively stable, with a slight overall increase from 85% in 2013 to 84% in 2022. During this period, average home prices have seen consistent growth. In 2014, the average home price was $182,714, and by 2022, it had risen to $300,034, representing a significant 64% increase over eight years. This upward trend in home prices, coupled with the relatively stable homeownership rate, suggests a strong local housing market and sustained demand for homeownership in the area.
Federal interest rates have played a role in shaping homeownership trends in zip code 52769. From 2013 to 2016, when interest rates were extremely low (ranging from 0.11% to 0.40%), the homeownership rate remained high, between 80% and 85%. As interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), there was a slight increase in homeownership to 87% in 2019, possibly due to buyers rushing to secure mortgages before rates climbed further. The subsequent drop in interest rates in 2020 and 2021 (to 0.38% and 0.08% respectively) coincided with a slight decrease in homeownership to 84% by 2022, which could be attributed to other economic factors at play during the pandemic.
The renter population in zip code 52769 has remained relatively small, fluctuating between 13% and 20% from 2013 to 2022. Average rent prices have shown considerable volatility during this period. In 2013, the average rent was $609, which increased to $930 in 2015, representing a 53% jump in just two years. However, rent prices then decreased to $665 in 2017 before rising again to $1,052 in 2021, a 58% increase from 2017. By 2022, the average rent had decreased to $752. These fluctuations in rent prices, coupled with the small renter population, suggest a potentially limited rental market in the area, which may be sensitive to local economic conditions and housing supply changes.
As of 2024, the average home price in zip code 52769 stands at $312,486, showing a continued upward trend from previous years. This represents a 4.1% increase from the 2022 average of $300,034. The current federal interest rate in 2024 is 5.33%, which is significantly higher than the rates seen in the past decade. This higher interest rate environment may impact future homebuying decisions and could potentially slow down the rate of home price appreciation.
Looking ahead, based on the historical trends and current market conditions, we can project potential scenarios for the next five years. Average home prices in zip code 52769 are likely to continue their upward trajectory, albeit potentially at a slower pace due to higher interest rates. A conservative estimate might see average home prices reaching around $350,000 to $375,000 by 2029. Average rent prices, given their historical volatility, are more challenging to predict. However, if the trend of the past few years continues, we might see average rents fluctuating between $800 and $1,200, with potential spikes or dips based on local economic factors and housing supply changes.
In summary, zip code 52769 demonstrates a strong preference for homeownership, with consistently high rates over the past decade. The area has experienced significant growth in average home prices, reflecting a robust housing market. Rent prices, while more volatile, have also shown an overall upward trend. The interplay between federal interest rates, homeownership rates, and housing prices underscores the complex dynamics of the local real estate market. As we move forward, the area is likely to continue seeing growth in home values, while the rental market may remain subject to more short-term fluctuations.
