Renter percentages in zip code 59901 have shown a slight downward trend, decreasing from 30% in 2013 to 28% in 2022. Interestingly, average rent prices have not followed a consistent upward trajectory like home prices. The average rent was $974 in 2013, peaked at $1,106 in 2021, and then decreased to $988 in 2022. This fluctuation in rent prices, coupled with the decreasing percentage of renters, could indicate a shift towards homeownership or changes in the local rental market dynamics.

Looking at the most recent data, the average home price in zip code 59901 for 2023 was $532,359, showing a slight decrease from 2022. However, the 2024 average home price has rebounded to $545,114. This recent trend coincides with a significant increase in federal interest rates, which rose to 5.02% in 2023 and 5.33% in 2024. These higher interest rates could potentially impact future homeownership rates and home price appreciation.

Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 59901 will continue to rise, albeit at a more moderate pace than seen in recent years. The rate of increase is expected to be around 3-5% annually, potentially reaching an average of $630,000 to $650,000 by 2029. Average rent prices are projected to increase as well, potentially reaching $1,200 to $1,300 per month by 2029, driven by population growth and demand for housing in the area.

In summary, zip code 59901 has demonstrated a strong and stable housing market with a high rate of homeownership. The area has seen substantial appreciation in home values, particularly from 2013 to 2022. While rent prices have fluctuated, they have not increased at the same rate as home prices. The recent rise in interest rates may influence future trends, potentially slowing down home price appreciation and affecting affordability for new homebuyers. However, the desirability of the Kalispell area is likely to continue driving demand in both the ownership and rental markets.