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Zip Code 62275: Rural Pocahontas, Illinois Sees Stable Homeownership Amid Rising Home Values
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 62275, located in Pocahontas, Illinois, presents an interesting case study of homeownership and housing market trends. This rural area has maintained consistently high homeownership rates, averaging around 85% over the past decade, while experiencing fluctuations in average home prices and rent costs.
The homeownership rate in zip code 62275 has remained relatively stable, with minor fluctuations between 84% and 87% from 2013 to 2022. During this period, average home prices showed a steady upward trend. In 2013, the average home price was $115,254, which increased to $177,307 by 2022, representing a 53.8% rise over nine years. This trend suggests that despite rising home prices, the area has maintained its appeal to homeowners, possibly due to its rural setting and community characteristics.
Federal interest rates have played a role in homeownership trends, although the impact appears less pronounced in this zip code compared to national averages. For instance, when interest rates were at historic lows between 2020 and 2021 (0.38% and 0.08% respectively), homeownership rates remained steady at 84%. This stability in homeownership, even as interest rates fluctuated, indicates that other factors such as local economic conditions and community preferences may have a stronger influence on homeownership in this area.
Renter percentages in zip code 62275 have shown slight variations, ranging from 13% to 16% between 2013 and 2022. Average rent prices have experienced more volatility. In 2013, the average rent was $772, which peaked at $966 in 2018, before declining to $734 in 2022. This represents a 5.2% decrease in average rent from 2013 to 2022, despite the overall increase in home values. The population has also decreased from 4,101 in 2013 to 3,661 in 2022, which may have contributed to the downward pressure on rent prices.
Looking at more recent data, the average home price in zip code 62275 decreased slightly to $172,106 in 2023, followed by a modest increase to $175,867 in 2024. This represents a 2.2% rise from 2023 to 2024, indicating a stabilizing market. Notably, federal interest rates have increased significantly, reaching 5.02% in 2023 and 5.33% in 2024, which could potentially impact future homeownership rates and housing affordability in the area.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 62275 will continue to rise moderately, potentially reaching around $190,000 by 2029. This projection is based on the historical growth rate and recent market stabilization. For rent prices, the forecast suggests a potential reversal of the recent downward trend, with average rents possibly increasing to around $800 by 2029, assuming economic conditions improve and population stabilizes or grows.
In summary, zip code 62275 demonstrates a robust homeownership market with steadily increasing average home prices, despite recent population declines. The area has maintained high homeownership rates even as home values appreciated significantly. Rent prices have shown more volatility, with a recent downward trend that may reverse in the coming years. The interplay between federal interest rates, local economic factors, and population changes will be crucial in shaping the future housing market dynamics in this rural Illinois community.
