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Zip Code 65076: Rising Home Values and Shifting Ownership Patterns in Rural 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 65076, located in St. Thomas, Missouri, presents an intriguing case study of homeownership and rental trends. This small community has experienced fluctuations in its ownership percentages and housing prices over the years, reflecting broader economic shifts and local dynamics.
The homeownership rate in zip code 65076 has shown a gradual decline over the past decade. In 2013, the area boasted a high 92% homeownership rate. However, by 2022, this figure had decreased to 83%, indicating a shift in the local housing market. Despite this decline, the area still maintains a significantly higher homeownership rate compared to the national average.
Average home prices in the zip code have demonstrated a consistent upward trend. In 2012, the average home price was $156,708. By 2022, this figure had nearly doubled to $293,218, representing an impressive 87% increase over a decade. This substantial appreciation in home values suggests a growing demand for housing in the area, despite the slight decrease in homeownership rates.
The relationship between federal interest rates and homeownership rates in zip code 65076 appears to follow general economic principles. For instance, in 2013, when interest rates were at a low 0.11%, the area saw its peak homeownership rate of 92%. As interest rates began to rise in subsequent years, there was a gradual decline in homeownership. By 2022, with interest rates at 1.68%, the homeownership rate had dropped to 83%. This trend aligns with the principle that lower interest rates tend to encourage homeownership due to more affordable financing options.
Renter percentages in zip code 65076 have shown a corresponding increase as homeownership rates declined. In 2013, only 8% of the population were renters. By 2022, this figure had more than doubled to 17%. Interestingly, average rent prices have not shown a consistent upward trend despite the increase in renter population. In 2013, the average rent was $521, and it fluctuated over the years, reaching a peak of $713 in 2019 before settling at $503 in 2022. This suggests that other factors, such as local economic conditions or housing supply, may be influencing rent prices more than demand from the growing renter population.
In 2023 and 2024, the housing market in zip code 65076 continued its upward trajectory. The average home price reached $307,749 in 2023 and further increased to $321,145 in 2024. This represents a 9.5% increase from 2022 to 2024. Concurrently, federal interest rates rose significantly, reaching 5.02% in 2023 and 5.33% in 2024. These higher interest rates may potentially impact future homeownership rates and housing demand in the area.
Looking ahead, based on historical trends and current market conditions, we can project continued growth in average home prices for zip code 65076. Applying a conservative annual growth rate of 5%, we might expect average home prices to reach approximately $410,000 by 2029. Rent prices, which have shown more volatility, are harder to predict. However, if we assume a modest 2% annual increase from the 2022 level, average rents could potentially reach around $555 by 2029.
In summary, zip code 65076 has experienced a gradual shift from a predominantly homeowner community to one with a growing renter population. Despite this shift, home values have appreciated significantly, indicating strong demand for housing in the area. The interplay between interest rates, homeownership rates, and housing prices in this zip code reflects broader economic trends while also showcasing the unique characteristics of this Missouri community.
