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Zip Code 54626: Eastman's High Homeownership and Rising Home Values
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 54626, located in Eastman, Wisconsin, presents an intriguing case study of homeownership and housing market dynamics in a rural setting. This area has maintained a consistently high rate of homeownership over the past decade, with average home prices showing a steady upward trajectory and average rent prices experiencing moderate fluctuations.
The ownership percentage in zip code 54626 has remained relatively stable, with a slight increase from 84% in 2014 to 84% in 2022. During this same period, average home prices have shown a significant upward trend. In 2014, the average home price was $118,504, which increased to $191,259 by 2022, representing a substantial 61.4% growth over eight years. This trend suggests that despite rising home values, the area has managed to maintain its high rate of homeownership, possibly indicating strong local economic conditions or a preference for homeownership among residents.
Federal interest rates have played a role in shaping homeownership trends in the area. From 2014 to 2020, interest rates remained relatively low, ranging from 0.09% to 2.16%. This period coincided with the area's highest homeownership rates, peaking at 88% in 2019. The low interest rates likely made mortgages more affordable, encouraging homeownership. However, as interest rates began to rise sharply in 2022 (1.68%) and 2023 (5.02%), we see a slight decline in homeownership to 84% in 2022, suggesting that higher borrowing costs may be impacting some residents' ability or desire to purchase homes.
Renter percentages in zip code 54626 have fluctuated slightly, ranging from 12% to 17% between 2014 and 2022. Average rent prices have shown moderate variability during this period. In 2014, the average rent was $651, which increased to $684 in 2018, before declining to $663 in 2022. This represents a modest 1.8% increase in average rent over eight years. The relatively stable renter percentage and moderate rent price changes suggest a balanced rental market, possibly influenced by the area's consistent population levels, which have remained around 1,100-1,200 residents throughout the observed period.
In 2023 and 2024, average home prices in zip code 54626 continued their upward trajectory, reaching $201,487 in 2023 and $203,353 in 2024. This represents a 5.3% increase from 2022 to 2023 and a further 0.9% increase from 2023 to 2024. Concurrently, federal interest rates rose to 5.02% in 2023 and 5.33% in 2024, potentially impacting home affordability and future homeownership rates in the area.
Looking ahead, based on historical trends and current market conditions, we can forecast potential 5-year trends for average home and rent prices in zip code 54626. Average home prices are likely to continue their upward trend, albeit at a potentially slower rate due to higher interest rates. We might expect average home prices to reach approximately $225,000 to $235,000 by 2029. Average rent prices, which have shown more moderate growth, may continue to increase gradually, potentially reaching around $700 to $725 per month by 2029.
In summary, zip code 54626 demonstrates a robust homeownership market with steadily increasing average home prices, despite recent rises in interest rates. The rental market remains stable with moderate price fluctuations. The area's consistent population and high homeownership rates suggest a community with strong ties to property ownership, even as housing values appreciate. The coming years may see continued growth in both home values and rent prices, albeit potentially at a more moderate pace due to higher interest rates and broader economic factors.
