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Zip Code 62615: Auburn's Rising Home Values and Ownership Rates
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 62615, located in Auburn, Illinois, presents an intriguing case study of homeownership and housing market dynamics. This area has seen a notable increase in homeownership rates over recent years, accompanied by fluctuating average home prices and rent costs.
The trend of homeownership in zip code 62615 shows a significant upward trajectory. From 2013 to 2022, the percentage of owner-occupied homes rose from 79% to an impressive 88%. This 9% increase in homeownership coincided with a steady rise in average home prices. In 2013, the average home price was $122,063, which climbed to $153,654 by 2022, representing a 25.9% increase over this period.
Federal interest rates have played a crucial role in shaping homeownership trends in this zip code. The period from 2013 to 2016 saw historically low interest rates, hovering around 0.1% to 0.4%. During this time, homeownership rates remained relatively stable, ranging from 79% to 82%. As interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), we observed a slight dip in homeownership to 79% in 2018. However, the dramatic drop in interest rates to 0.38% in 2020 and 0.08% in 2021 coincided with a sharp increase in homeownership to 85%, which held steady through 2022 despite rising interest rates.
Conversely, the renter population in zip code 62615 has decreased over time. In 2013, 21% of housing units were renter-occupied, but by 2022, this figure had dropped to just 12%. This decline in renters occurred despite fluctuations in average rent prices. In 2013, the average rent was $832, which peaked at $841 in 2014 before declining to $812 in 2022. The overall population of the zip code remained relatively stable during this period, ranging from 6,177 in 2013 to 6,026 in 2022, suggesting that the shift from renting to owning was not driven by significant population changes.
Looking at the most recent data, 2023 saw average home prices in zip code 62615 rise to $161,730, a 5.3% increase from 2022. This upward trend continued into 2024, with average home prices reaching $164,876. Interestingly, these price increases occurred despite a sharp rise in federal interest rates, which jumped to 5.02% in 2023 and further to 5.33% in 2024. This suggests a robust local housing market that has maintained growth even in the face of higher borrowing costs.
Applying predictive models to forecast trends for the next five years, we can expect average home prices in zip code 62615 to continue their upward trajectory, albeit at a potentially slower rate due to higher interest rates. Average home prices could reach approximately $180,000 to $190,000 by 2029. Rent prices, which have shown more volatility, may stabilize or see modest increases, potentially reaching an average of $850 to $900 per month by 2029.
In summary, zip code 62615 has experienced a significant shift towards homeownership, with the rate increasing from 79% to 88% between 2013 and 2022. This trend has been accompanied by steady growth in average home prices, which have continued to rise even in the face of recent interest rate hikes. The declining renter population and relatively stable average rent prices suggest a strong preference for homeownership in this area. As we look to the future, the housing market in this zip code appears poised for continued growth, albeit potentially at a more moderate pace.
