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Zip Code 61559: Rising Home Values and Steady Ownership in Princeville, 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 61559, located in Princeville, Illinois, presents an interesting case study of homeownership and housing market trends. This area has maintained a high rate of owner-occupied homes, with a slight decline in recent years, while experiencing fluctuations in average home prices and rent.
The homeownership rate in zip code 61559 has shown a slight downward trend over the past decade. In 2013, 81% of homes were owner-occupied, peaking at 85% from 2014 to 2019. However, by 2022, the rate had returned to 81%. During this period, average home prices in the area have generally increased. In 2013, the average home price was $131,219, rising to $186,434 by 2022, representing a 42% increase over nine years. This upward trend in home prices, despite a slight decrease in homeownership, suggests a complex interplay of factors affecting the local housing market.
Federal interest rates have played a significant role in homeownership trends. From 2013 to 2016, interest rates remained very low, below 0.5%, coinciding with the peak homeownership rates of 85% in the area. As interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, we see a corresponding slight decline in homeownership rates, dropping to 81% by 2022. This aligns with the general trend that lower interest rates tend to encourage homeownership due to more affordable financing options.
The rental market in zip code 61559 has shown some fluctuations over the years. The percentage of renter-occupied homes increased from 15% in 2014 to 19% in 2022. Average rent prices have been relatively stable with some variations. In 2013, the average rent was $810, reaching a peak of $861 in 2019, before settling at $845 in 2022. The increase in renter-occupied homes, coupled with relatively stable rent prices, suggests a growing demand for rental properties in the area, possibly due to factors such as changing demographics or economic conditions.
Looking at the most recent data, average home prices in zip code 61559 continued to rise, reaching $190,240 in 2023 and $198,441 in 2024. This represents a 6.4% increase from 2022 to 2024. Simultaneously, federal interest rates have significantly increased to 5.02% in 2023 and 5.33% in 2024, which could potentially impact future homeownership rates and home prices in the area.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 61559 will continue to rise, albeit at a potentially slower rate due to higher interest rates. We project average home prices could reach around $220,000 to $230,000 by 2029. For rent prices, we expect a moderate increase, potentially reaching an average of $900 to $950 per month by 2029, assuming current economic conditions and local market factors remain relatively stable.
In summary, zip code 61559 has maintained a high rate of homeownership despite rising home prices and recent increases in interest rates. The area has experienced steady growth in average home values over the past decade, with a slight increase in the rental market share. The coming years may see continued growth in home prices and rents, but at a potentially moderated pace due to higher interest rates and evolving economic conditions.
