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Zip Code 59433: Average Home Values and Ownership Trends in Rural Montana
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 59433, encompassing Dutton, Montana, presents an interesting case study in rural real estate dynamics. This area, spanning 358.88 square miles, has experienced fluctuating trends in homeownership rates and property values over the past decade. Initially showing high rates of owner-occupied housing, the zip code has seen notable shifts in both ownership percentages and average home prices.
The homeownership rate in zip code 59433 has experienced a general decline from 2013 to 2020, followed by a recent uptick. In 2013, the area boasted an impressive 84% homeownership rate. This figure remained stable through 2014 but began to decrease in subsequent years. By 2020, the ownership rate had dropped to 75%. However, a reversal of this trend occurred in 2022, with homeownership rebounding to 82%. This fluctuation coincides with changes in average home prices, which have shown a consistent upward trajectory. In 2013, the average home price was $101,667, rising steadily to reach $228,377 by 2022, representing a substantial 124.6% increase over this period.
Federal interest rates appear to have influenced homeownership trends in the area. The period from 2013 to 2015, when interest rates were at historic lows (around 0.1%), coincided with the highest homeownership rates in the zip code. As interest rates began to rise from 2016 onwards, reaching 1.68% by 2022, there was a corresponding decline in homeownership percentages. However, the recent uptick in ownership despite rising rates suggests other local factors may be at play.
Renter percentages in zip code 59433 have generally mirrored the inverse of homeownership trends. Starting at 16% in 2013, the renter population increased to a peak of 25% in 2020 before declining to 18% in 2022. Average rent prices have shown volatility over this period. From an initial $695 in 2013, rents fluctuated, reaching a low of $551 in 2016 before climbing to $850 in 2021. The most recent data for 2022 shows a slight decrease to $785. These rent fluctuations don't consistently correlate with changes in the renter population, suggesting other factors such as local economic conditions or housing supply may be influencing rental markets.
Looking at the most recent data, average home prices in zip code 59433 showed a slight decrease from $228,377 in 2022 to $228,017 in 2023, and further to $226,985 in 2024. This minor downward adjustment comes amid significantly higher federal interest rates, which rose from 1.68% in 2022 to 5.02% in 2023 and 5.33% in 2024. These higher rates may be contributing to the slight cooling in home prices.
Applying predictive models to forecast 5-year trends, we anticipate a potential stabilization or modest growth in average home prices for zip code 59433. The recent plateau in prices, coupled with high interest rates, suggests a period of more moderate appreciation compared to the rapid growth seen in previous years. For rent prices, the forecast indicates a possible continuation of the volatile trend, with potential for gradual increases as the rental market adjusts to broader economic conditions and local housing demands.
In summary, zip code 59433 has experienced significant shifts in its real estate landscape. The area has seen a overall trend of increasing home values, a recent rebound in homeownership rates, and fluctuating rental markets. The interplay between federal interest rates, local economic factors, and housing supply appears to be shaping these trends, with the most recent data suggesting a potential stabilization in the market after years of substantial growth.
