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Zip Code 60462: Rising Home Values and Shifting Ownership Patterns in Orland Park, Illinois
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 60462, located in Orland Park, Illinois, is a suburban area known for its mix of residential and commercial developments. This analysis examines the homeownership and rental trends in relation to average housing and rent prices from 2010 to 2024.
The homeownership rate in zip code 60462 has shown a gradual decline over the years, while average home prices have generally increased. In 2013, the homeownership rate was 88%, which decreased to 84% by 2022. During this period, average home prices rose from $202,737 in 2013 to $318,889 in 2022, representing a 57.3% increase. This inverse relationship suggests that rising home prices may have contributed to the slight decrease in homeownership rates.
Federal interest rates have played a significant role in homeownership trends. From 2010 to 2015, interest rates remained below 0.2%, coinciding with a period of stable homeownership rates around 88%. As interest rates began to rise from 2016 onwards, reaching 1.68% in 2022, homeownership rates declined to 84%. This trend aligns with the general understanding that lower interest rates tend to encourage homeownership due to more affordable financing options.
The percentage of renters in zip code 60462 has increased from 12% in 2013 to 16% in 2022. Correspondingly, average rent prices have risen from $1,218 in 2013 to $1,486 in 2022, a 22% increase. This trend suggests that as homeownership became less affordable for some residents, the demand for rentals increased, driving up rent prices. The population growth from 40,027 in 2013 to 41,360 in 2022 may have also contributed to the increased demand for rental properties.
In 2023, the average home price in zip code 60462 reached $329,557, and in 2024, it further increased to $344,009. This represents a 7.9% year-over-year increase from 2023 to 2024. Concurrently, federal interest rates rose to 5.02% in 2023 and 5.33% in 2024, potentially impacting homebuying decisions in the area.
Looking ahead, based on historical trends and current market conditions, we can expect average home prices in zip code 60462 to continue their upward trajectory over the next five years. Projections suggest that by 2029, average home prices could reach approximately $420,000 to $450,000, assuming a consistent growth rate. Average rent prices are also likely to increase, potentially reaching $1,700 to $1,800 per month by 2029, factoring in historical growth patterns and inflation.
In summary, zip code 60462 has experienced a gradual shift from homeownership to renting, with rising home prices and increasing interest rates potentially contributing to this trend. The area has seen steady population growth and consistent increases in both home values and rent prices. These trends are expected to continue in the coming years, reflecting the ongoing dynamics of the local real estate market.
