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Zip Code 59601: Rising Home Values and Stable Ownership in Helena, Montana's Capital
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 59601, located in Helena, Montana, has experienced notable shifts in homeownership, average home prices, and average rent prices over the past decade. This area, known for its rich history as the state capital, has seen a dynamic real estate market with interesting trends in ownership and rental patterns.
The homeownership rate in zip code 59601 has remained relatively stable, with slight fluctuations between 2013 and 2022. In 2013, the ownership rate stood at 60%, dipping slightly to 57% from 2015 to 2019, before recovering to 59% from 2020 to 2022. Concurrently, average home prices have shown a consistent upward trend. In 2013, the average home price was $200,461, which steadily increased to $403,178 by 2022, representing a substantial 101% increase over this period.
Federal interest rates have played a significant role in homeownership trends. From 2013 to 2020, interest rates remained relatively low, ranging from 0.09% to 2.16%. This period coincided with the steady increase in average home prices, likely due to increased affordability of mortgages. The slight dip in homeownership rates from 2015 to 2019 might be attributed to the gradual increase in interest rates during this time, peaking at 2.16% in 2019.
Renter percentages in zip code 59601 have shown an inverse relationship to homeownership rates, naturally. The rental rate increased from 40% in 2013 to 43% from 2015 to 2019, before settling back to 41% from 2020 to 2022. Average rent prices have fluctuated over this period. In 2013, the average rent was $895, which decreased to $801 in 2016, then rose again to $967 in 2021, before settling at $835 in 2022. These fluctuations in rent prices don't show a clear correlation with the renter percentage, suggesting other factors such as local economic conditions or housing supply may have influenced rental rates.
In 2023 and 2024, the real estate market in zip code 59601 continued to evolve. The average home price reached $407,828 in 2023 and further increased to $418,734 in 2024, showing a continued upward trend. Interestingly, federal interest rates also saw a significant increase, rising to 5.02% in 2023 and 5.33% in 2024. This sharp rise in interest rates could potentially impact future homeownership rates and home prices in the area.
Looking ahead, predictive models suggest that average home prices in zip code 59601 may continue to rise over the next five years, albeit at a potentially slower rate due to higher interest rates. Average rent prices are also expected to increase moderately, influenced by factors such as housing demand and overall economic conditions in Helena.
In summary, zip code 59601 has demonstrated a resilient real estate market with steadily increasing average home prices and relatively stable homeownership rates. The interplay between federal interest rates, home prices, and rental rates highlights the complex dynamics of the local housing market. As Helena continues to grow and evolve, these trends will likely shape the future of housing in this historic Montana city.
