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Zip Code 55741: Rising Home Values and Strong Ownership in Gilbert, Minnesota
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 55741, located in Gilbert, Minnesota, has experienced notable shifts in homeownership rates and housing prices over the past decade. This area, covering 77.7 square miles, has seen fluctuations in its population and housing market that reflect broader economic trends.
The homeownership rate in zip code 55741 has remained relatively stable, with a slight increase from 84% in 2013 to 85% in 2022. This high rate of homeownership suggests a strong preference for property ownership in the area. Concurrently, average home prices have shown a significant upward trend. In 2013, the average home price was $98,660, which steadily increased to $160,141 by 2022, representing a substantial 62.3% growth over this period.
Federal interest rates have played a crucial role in shaping homeownership trends. From 2013 to 2016, when interest rates were exceptionally low (ranging from 0.11% to 0.40%), homeownership rates remained stable at around 83-84%. As interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), homeownership rates actually increased slightly to 87% in 2019, possibly indicating a rush to purchase homes before rates climbed further.
Renter percentages in zip code 55741 have shown a slight decrease, from 16% in 2013 to 15% in 2022. Interestingly, average rent prices have experienced fluctuations during this period. In 2013, the average rent was $750, which peaked at $809 in 2016 before declining to $621 in 2022. This 23.2% decrease in average rent prices from 2016 to 2022 occurred despite the overall increase in home values, suggesting a complex interplay of local economic factors affecting the rental market.
In 2023 and 2024, the housing market in zip code 55741 continued its upward trajectory. The average home price reached $162,919 in 2023 and further increased to $166,881 in 2024. This represents a 4.2% increase from 2022 to 2024, indicating a continued strong housing market despite higher interest rates of 5.02% in 2023 and 5.33% in 2024.
Looking ahead, predictive models suggest that the average home prices in zip code 55741 are likely to continue their upward trend over the next five years, albeit at a potentially slower rate due to higher interest rates. Average rent prices, which have been declining, may stabilize or see modest increases as the housing market remains strong.
In summary, zip code 55741 has demonstrated a robust housing market with consistently high homeownership rates and steadily increasing average home prices. The area has shown resilience in maintaining strong homeownership despite fluctuations in interest rates. While the rental market has seen some declines in average prices, the overall trend points towards a stable and growing housing market in this Minnesota community.
