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Zip Code 62019: Rising Home Values and High Ownership Rates in Donnellson, 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 62019, encompassing the village of Donnellson in Illinois, presents an intriguing case study of real estate trends in a small rural community. This area has experienced significant fluctuations in homeownership rates and housing prices over the past decade, reflecting broader economic shifts and local demographic changes.
The homeownership rate in zip code 62019 has remained relatively stable, hovering around 86% from 2013 to 2022. This high rate of owner-occupied housing is characteristic of many rural areas. Average home prices in the area have shown a steady upward trend, increasing from $83,687 in 2017 to $103,977 in 2022, representing a 24.2% increase over five years. This rise in home values, coupled with the consistent homeownership rate, suggests a stable and potentially attractive market for homeowners in the area.
Federal interest rates have played a significant role in shaping homeownership trends. The period from 2013 to 2016 saw historically low interest rates, ranging from 0.09% to 0.4%. This coincided with the highest homeownership rates in the zip code, peaking at 89% in 2015. As interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, there was a slight decline in homeownership to 86%. This aligns with the general trend of lower interest rates encouraging homeownership due to more affordable mortgage financing.
Renter percentages in zip code 62019 have fluctuated slightly, ranging from 11% to 15% between 2013 and 2022. Interestingly, average rent prices have shown significant volatility. From 2013 to 2016, average rent remained relatively stable around $730. However, there was a sharp increase to $982 in 2017, followed by a gradual decrease to $896 in 2022. This 22.7% increase in average rent over the decade, despite the relatively stable renter population, could be attributed to various factors including improved rental property quality or limited rental supply in the area.
In 2023 and 2024, the real estate market in zip code 62019 continued its upward trajectory. Average home prices rose to $106,315 in 2023 and further to $109,502 in 2024, marking a 5.3% increase over two years. This growth occurred despite a significant increase in federal interest rates, which jumped to 5.02% in 2023 and 5.33% in 2024. These higher interest rates typically make mortgages more expensive, yet the continued rise in home prices suggests strong demand or limited housing supply in the area.
Looking ahead, predictive models suggest a continuation of the upward trend in both average home prices and rent prices over the next five years. Home prices are projected to increase by approximately 2-3% annually, potentially reaching around $125,000 by 2029. Rent prices are expected to follow a similar trajectory, possibly reaching an average of $1,000 per month within the same timeframe. However, these projections assume relative stability in economic conditions and local market factors.
In summary, zip code 62019 demonstrates a robust housing market characterized by high homeownership rates and steadily increasing property values. The area has shown resilience in the face of rising interest rates, with home prices continuing to appreciate. The rental market, while smaller, has seen significant price increases over the past decade. These trends point to a potentially attractive market for both homeowners and real estate investors in this rural Illinois community.
