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Zip Code 61420: Rising Home Values and Strong Ownership in Blandinsville, 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 61420, located in Blandinsville, Illinois, has experienced notable shifts in homeownership, average home prices, and average rent prices over the past decade. This rural area has seen interesting dynamics in its housing market, reflecting both local and national economic trends.
The homeownership rate in zip code 61420 has shown fluctuations but maintained a relatively high level. In 2013, the homeownership rate was 79%, and it reached its peak of 82% in 2020. However, by 2022, it had decreased slightly to 77%. During this period, average home prices in the area have shown a steady upward trend. From 2016 to 2022, average home prices increased from $68,692 to $83,780, representing a 22% increase over six years.
The relationship between federal interest rates and homeownership rates in this zip code shows some correlation. For instance, when interest rates were at historic lows between 2020 and 2021 (0.38% and 0.08% respectively), homeownership rates reached their peak at 82% in 2020. This aligns with the general trend that lower interest rates tend to encourage homeownership due to more affordable financing options.
Renter percentages in zip code 61420 have fluctuated inversely to homeownership rates, ranging from a low of 18% in 2020 to a high of 25% in 2015. Average rent prices have shown significant volatility. In 2013, the average rent was $712, which decreased to $435 in 2017, but then rose sharply to $821 by 2022. This represents an 89% increase in average rent from 2017 to 2022, despite the renter percentage only increasing from 22% to 23% during the same period. The population decline from 1,136 in 2017 to 1,059 in 2022 might have contributed to this rent increase, potentially due to a reduction in available rental units.
Looking at the most recent data, the average home price in zip code 61420 for 2023 was $85,094, showing a continued upward trend. However, in 2024, there was a slight decrease to $84,229. This minor dip coincides with a significant increase in federal interest rates, which rose from 5.02% in 2023 to 5.33% in 2024. These higher interest rates may be influencing home buying decisions and, consequently, home prices.
Applying predictive models to forecast 5-year trends, we can expect average home prices in zip code 61420 to continue their overall upward trajectory, albeit at a potentially slower rate due to higher interest rates. Average rent prices are likely to stabilize or increase moderately, influenced by the area's population trends and the balance between homeownership and renting.
In summary, zip code 61420 has maintained a high homeownership rate despite fluctuations, with average home prices showing steady growth. The rental market has experienced more volatility, with significant increases in average rent prices in recent years. The interplay between interest rates, population changes, and housing preferences will continue to shape the local real estate landscape in the coming years.
