Loading Content...
Zip Code 59925: Marion's Soaring Home Values and Ownership in Montana's Treasure State
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Zip code 59925, located in Marion, Montana, has experienced significant changes in homeownership rates and housing prices over the past decade. This rural area has seen a substantial increase in population density and a notable shift towards homeownership, accompanied by fluctuating average home and rent prices.
The trend of homeownership in zip code 59925 has shown a remarkable increase from 77% in 2013 to 93% in 2022. This rise in ownership percentage coincides with a significant increase in average home prices. In 2013, the average home price was $238,787, which steadily climbed to $680,276 by 2022, representing a 185% increase over nine years. The most dramatic price surge occurred between 2020 and 2022, with average home prices jumping from $385,462 to $680,276, a 76.5% increase in just two years.
The relationship between federal interest rates and homeownership rates in this zip code appears to follow the general trend of lower interest rates encouraging homeownership. For instance, as interest rates remained low from 2013 to 2020 (ranging from 0.09% to 0.38%), homeownership rates increased from 77% to 92%. This suggests that the low-interest-rate environment may have contributed to the area's rising homeownership rates by making mortgages more affordable.
Conversely, the percentage of renters in zip code 59925 has decreased significantly, from 23% in 2013 to just 7% in 2022. Despite this decline in the renter population, average rent prices have shown considerable volatility. In 2013, the average rent was $850, which fluctuated over the years, reaching a low of $640 in 2021 before increasing to $866 in 2022. This volatility in rent prices, despite the decreasing renter population, could be attributed to factors such as limited rental inventory and the overall increase in property values in the area.
In 2023 and 2024, the housing market in zip code 59925 has shown signs of stabilization. The average home price in 2023 was $645,258, indicating a slight decrease from the 2022 peak. However, in 2024, prices have rebounded slightly to $661,536. Interestingly, this occurs against a backdrop of higher interest rates, with the federal interest rate rising to 5.02% in 2023 and 5.33% in 2024. This suggests a resilient local housing market that continues to attract buyers despite higher borrowing costs.
Looking ahead, predictive models forecast a continued upward trend in average home prices for zip code 59925 over the next five years, albeit at a more moderate pace compared to the rapid growth seen in recent years. Average rent prices are expected to stabilize and potentially increase slightly, reflecting the area's growing population and limited rental inventory.
In summary, zip code 59925 has transformed from a mixed ownership-rental community to one dominated by homeowners, with average home prices more than doubling over a decade. The area has demonstrated resilience in the face of rising interest rates, maintaining strong home values. These trends, coupled with the increasing population density, suggest a growing demand for housing in this Montana community, potentially driven by its rural appeal and the broader trend of migration to less densely populated areas.
