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Zip Code 61847: Rising Home Values and Strong Ownership Trends in Gifford, 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 61847, located in Gifford, Illinois, presents an interesting case study in homeownership and real estate trends. This rural area has experienced notable shifts in its housing market over the past decade, with a strong tendency towards homeownership and fluctuating property values. The ownership percentage in zip code 61847 has shown a steady increase from 2013 to 2022, rising from 86% to 90%. This trend coincides with a consistent growth in average home prices, which rose from $139,501 in 2013 to $188,581 in 2022, representing a 35% increase over this period. The correlation between rising homeownership rates and increasing home values suggests a robust demand for property ownership in this area.
Federal interest rates have played a significant role in shaping homeownership trends in zip code 61847. The period from 2013 to 2016 saw historically low interest rates, ranging from 0.11% to 0.4%, which likely contributed to the initial rise in homeownership from 86% to 83%. As interest rates began to climb from 2017 onwards, reaching 1.68% in 2022, the homeownership rate in the area continued to increase, reaching 90% by 2022. This suggests that other local factors, such as job market stability or community appeal, may have outweighed the impact of rising interest rates on homeownership decisions.
The renter population in zip code 61847 has experienced a corresponding decline, decreasing from 14% in 2013 to 10% in 2022. Interestingly, average rent prices have shown volatility during this period. The average rent peaked at $735 in 2013, dropped to $629 in 2020, and then rose again to $740 in 2022. This fluctuation in rent prices, coupled with the declining renter population, may indicate a shift in housing preferences or economic conditions favoring homeownership in the area.
In 2023 and 2024, the average home prices in zip code 61847 continued their upward trajectory, reaching $192,005 in 2023 and $198,930 in 2024. This represents a 5.5% increase from 2022 to 2024. Concurrently, federal interest rates rose significantly to 5.02% in 2023 and 5.33% in 2024, marking the highest rates in over a decade. Despite these higher interest rates, the continued rise in home prices suggests a resilient housing market in this zip code.
Looking ahead, based on the historical data and current trends, we can anticipate the following 5-year forecasts for zip code 61847: 1. Average home prices are projected to continue their upward trend, potentially reaching around $230,000 by 2029. 2. Average rent prices may stabilize or show moderate increases, possibly reaching $800-$850 per month by 2029. 3. The homeownership rate is likely to remain high, potentially stabilizing around 90-92%. In summary, zip code 61847 demonstrates a strong preference for homeownership, with a consistent increase in both ownership rates and average home prices over the past decade. The area has shown resilience to rising interest rates, maintaining its appeal to homebuyers. The declining renter population and fluctuating rent prices suggest a shifting dynamic in the local housing market, favoring long-term residency and property ownership.
