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Zip Code 63361: Homeownership Surge and Rising Property Values in Montgomery City, Missouri
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 63361, located in Montgomery City, Missouri, has experienced notable shifts in homeownership rates and property values over the past decade. This area has seen a general trend of increasing homeownership and rising average home prices, with some fluctuations in the rental market.
The homeownership rate in zip code 63361 has shown a significant upward trend, particularly in recent years. In 2013, the ownership rate stood at 70%, and by 2022, it had increased to 74%. This 4 percentage point increase indicates a growing preference for homeownership in the area. Concurrently, average home prices have risen substantially. In 2013, the average home price was $100,843, and by 2022, it had climbed to $198,943, representing a 97% increase over this period. This parallel growth in homeownership rates and home values suggests a strong demand for housing in the area, potentially driven by factors such as local economic growth or improved community amenities.
Federal interest rates have played a role in shaping homeownership trends in zip code 63361. 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 at around 67-70%. As interest rates began to rise from 2017 onwards, reaching 1.68% in 2022, we observed an interesting trend: homeownership rates actually increased from 65% in 2017 to 74% in 2022. This suggests that other local factors may have had a stronger influence on homeownership decisions than national interest rates in this particular zip code.
Regarding rental trends, the percentage of renters in zip code 63361 has fluctuated over the years. In 2013, 30% of residents were renters, which increased to 35% by 2017. However, by 2022, the renter percentage had decreased to 26%. Average rent prices have generally increased during this period, rising from $567 in 2013 to $696 in 2022, a 23% increase. Interestingly, the highest average rent was recorded in 2021 at $809, before decreasing in 2022. These trends suggest a complex rental market, potentially influenced by factors such as local job markets, housing availability, and changing demographics.
Looking at the most recent data, the average home price in zip code 63361 decreased slightly from $198,943 in 2022 to $196,863 in 2023, and further to $192,971 in 2024. This represents a modest 3% decrease over two years. Concurrently, federal interest rates have risen significantly, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates may be contributing to the slight cooling in home prices, as higher borrowing costs can dampen housing demand.
Applying predictive models to forecast trends for the next five years, we anticipate that average home prices in zip code 63361 may continue to experience moderate growth, albeit at a slower pace than seen in the previous decade. Average rent prices are expected to follow a similar trend, with steady but modest increases. These predictions are based on historical trends and current market conditions.
In summary, zip code 63361 has demonstrated a strong trend towards increased homeownership and higher average home values over the past decade. Despite recent increases in interest rates, the area has maintained a high rate of homeownership. The rental market has shown more variability, with recent trends favoring homeownership. As we look to the future, moderate growth in both home prices and rent is anticipated, reflecting the area's sustained attractiveness to residents and potential homebuyers.
