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Zip Code 62298: Steady Home Ownership and Rising Values in Waterloo, 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 62298, located in Waterloo, Illinois, has experienced notable shifts in homeownership rates and housing prices over the past decade. This area has maintained a consistently high rate of owner-occupied housing, with average home prices showing a steady upward trend.
The homeownership rate in zip code 62298 has remained relatively stable, with a slight increase from 82% in 2013 to 84% in 2022. During this same period, average home prices have shown significant growth. In 2013, the average home price was $178,208, and by 2022, it had risen to $271,818, representing a 52.5% increase over nine years. This trend suggests a strong correlation between rising home values and sustained high levels of homeownership in the area.
Federal interest rates have played a role in homeownership trends in zip code 62298. From 2013 to 2016, when interest rates were at historic lows (ranging from 0.11% to 0.40%), homeownership rates remained steady at around 82-83%. As interest rates began to rise more significantly from 2017 (1.00%) to 2019 (2.16%), homeownership rates fluctuated slightly but remained above 80%. Interestingly, the homeownership rate reached its peak of 84% in 2022, despite a significant increase in interest rates to 1.68%, indicating other factors may be influencing homeownership in this area.
Renter percentages in zip code 62298 have remained relatively low, fluctuating between 16% and 18% from 2013 to 2022. Average rent prices have shown some volatility during this period. In 2013, the average rent was $1,031, peaking at $1,133 in 2016 before declining to $977 in 2022. This represents a 5.2% decrease in average rent from 2013 to 2022, despite the area's population growth from 16,345 in 2013 to 17,052 in 2022. The inverse relationship between population growth and decreasing rent prices suggests that other factors, such as increased housing supply or economic conditions, may be influencing the rental market in this area.
In 2023, the average home price in zip code 62298 reached $279,556, a 2.8% increase from 2022. This growth continued into 2024, with average home prices rising to $293,343, representing a further 4.9% increase. Concurrently, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024. Despite these higher interest rates, home prices have continued to appreciate, indicating strong demand in the local housing market.
Looking ahead, based on the historical data and current trends, we can project that average home prices in zip code 62298 will likely continue to rise over the next five years, potentially reaching around $350,000 by 2029. This projection assumes a continuation of the steady growth observed in recent years. For rent prices, the trend is less clear due to past volatility. However, if recent patterns persist, we might expect average rent prices to stabilize or show moderate growth, potentially reaching approximately $1,100 by 2029.
In summary, zip code 62298 demonstrates a robust housing market characterized by high homeownership rates and steadily increasing home values. The area has shown resilience to rising interest rates, maintaining strong homeownership levels and continued home price appreciation. The rental market, while smaller, has shown more variability, with recent trends suggesting potential stabilization or moderate growth in rent prices.
