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Zip Code 64804: Rising Home Values and Ownership Trends in Tornado-Resilient Joplin, 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 64804, located in Joplin, Missouri, has experienced notable shifts in homeownership rates and housing prices over the past decade. This area has shown resilience in its real estate market, with an overall trend towards increased homeownership and rising average home prices.
The ownership percentage in zip code 64804 has demonstrated a gradual increase from 67% in 2013 to 71% in 2022. This upward trend in homeownership coincides with a significant rise in average home prices. In 2013, the average home price was $101,464, which steadily climbed to $197,164 by 2022, representing a substantial 94% increase over nine years. This correlation suggests that despite rising home prices, more residents in the area have been able to transition into homeownership.
Federal interest rates have played a crucial role in shaping homeownership trends in zip code 64804. 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, fluctuating between 67% and 69%. As interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), homeownership rates actually increased slightly, reaching 69% in 2019. This trend suggests that other local factors, such as job growth or improved economic conditions, may have offset the potential negative impact of rising interest rates on homeownership.
Renter percentages in zip code 64804 have inversely mirrored the homeownership trends, decreasing from 33% in 2013 to 29% in 2022. Interestingly, average rent prices have shown an overall upward trajectory during this period. In 2013, the average rent was $745, which increased to $791 by 2022, peaking at $855 in 2018. The rise in rent prices, coupled with decreasing renter percentages, may indicate that some renters have transitioned to homeownership, potentially driven by the long-term financial benefits of owning versus renting in this area.
In 2023 and 2024, the average home prices in zip code 64804 continued their upward trend, reaching $207,248 in 2023 and $213,621 in 2024. This represents a 5.1% increase from 2022 to 2023 and a further 3.1% increase from 2023 to 2024. Notably, federal interest rates also saw a significant rise during this period, increasing to 5.02% in 2023 and 5.33% in 2024. Despite these higher interest rates, the continued increase in home prices suggests a robust demand for housing in the area.
Looking ahead, based on historical trends and current market conditions, we can project that average home prices in zip code 64804 may continue to rise over the next five years, albeit at a potentially slower rate due to higher interest rates. Average rent prices are likely to follow a similar upward trajectory, possibly stabilizing or showing moderate increases as the market adjusts to changing economic conditions.
In summary, zip code 64804 has demonstrated a strong trend towards increased homeownership and rising property values over the past decade. The area has shown resilience in the face of changing interest rates and economic conditions, with a consistent increase in average home prices and a gradual shift towards higher homeownership rates. As the market continues to evolve, the interplay between housing prices, rent rates, and federal interest rates will likely continue to shape the real estate landscape in this Joplin neighborhood.
