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Zip Code 59485: Rising Home Values and Strong Ownership in Ulm, 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 59485, located in Ulm, Montana, is a small rural area with a population of 135 as of 2022. This zip code has experienced fluctuations in homeownership rates and population over the years, with a general trend towards increased owner-occupancy in recent times. Average home prices have shown a consistent upward trajectory, particularly in the last decade.
The ownership percentage in zip code 59485 has seen significant changes over the years. In 2013, the homeownership rate was 90%, which remained relatively stable until 2015 when it dropped to 88%. The rate continued to decline, reaching 83% in 2017. However, there has been a notable recovery since then, with the ownership rate climbing back to 95% by 2022. This upward trend in homeownership coincides with the steady increase in average home prices. In 2013, the average home price was $185,421, which rose to $224,734 by 2018, representing a 21% increase over five years. By 2022, the average home price had surged to $369,050, marking a substantial 99% increase from 2013.
The relationship between federal interest rates and homeownership rates in this zip code shows some interesting patterns. From 2013 to 2016, when interest rates were historically low (ranging from 0.11% to 0.40%), homeownership rates actually decreased from 90% to 85%. However, as interest rates began to rise more significantly from 2017 onwards, homeownership rates in the area started to increase. This suggests that local factors may have had a stronger influence on homeownership trends than national interest rates in this particular zip code.
Renter percentages in zip code 59485 have generally moved inversely to homeownership rates. In 2013, the renter-occupied rate was 10%, which increased to 17% by 2017 as homeownership declined. However, since then, the renter percentage has decreased significantly, reaching just 2% in 2022. This decline in renters coincides with the area's population growth from 106 in 2017 to 135 in 2022, suggesting that new residents may be more likely to purchase homes than rent.
Looking at the most recent data, the average home price in zip code 59485 for 2023 was $387,500, showing a 5% increase from 2022. In 2024, the average home price has further increased to $410,321, representing a 5.9% rise from 2023. These continued increases occur despite the federal interest rate rising to 5.02% in 2023 and 5.33% in 2024, which are the highest rates seen since 2007. This suggests a strong local housing market that is resilient to higher borrowing costs.
Applying predictive models to forecast 5-year trends, we can expect average home prices in zip code 59485 to continue their upward trajectory, albeit potentially at a more moderate pace due to the higher interest rate environment. Based on the historical data and recent trends, average home prices could potentially reach around $500,000 by 2029, representing a projected increase of approximately 22% from 2024 levels.
In summary, zip code 59485 has experienced a significant increase in homeownership rates in recent years, coinciding with substantial growth in average home prices. Despite rising interest rates, the local housing market has shown resilience, with home prices continuing to climb. The area has also seen a notable decrease in renters, suggesting a strong preference for homeownership among new residents. These trends point to a robust and growing housing market in this Montana zip code, with continued price appreciation expected in the coming years.
