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Zip Code 65571: Fluctuating Home Values and Ownership in Summersville, 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 65571, located in Summersville, Missouri, has experienced significant fluctuations in population and housing dynamics over the past decade. This area, spanning 92.17 square miles, has seen interesting shifts in homeownership rates and housing prices, reflecting broader economic trends and local market conditions. The homeownership rate in zip code 65571 has shown a general upward trend from 2013 to 2022, with some fluctuations. In 2013, the homeownership rate was 74%, which increased to 80% by 2021, before settling at 73% in 2022. This overall increase in homeownership coincided with a substantial rise in average home prices. In 2014, the average home price was $100,085, which steadily increased to $176,361 by 2022, representing a 76% increase over eight years.
The relationship between federal interest rates and homeownership rates in this area is notable. As interest rates remained low from 2013 to 2021, ranging from 0.08% to 2.16%, homeownership rates generally increased. For instance, when interest rates were at their lowest in 2021 at 0.08%, homeownership reached its peak at 80%. This aligns with the well-established trend that lower interest rates tend to encourage homeownership due to more affordable financing options.
Renter percentages in zip code 65571 have fluctuated inversely to homeownership rates, as expected. The renter percentage decreased from 26% in 2013 to 20% in 2021, before rising to 27% in 2022. Interestingly, average rent prices have shown a general downward trend despite these fluctuations. In 2013, the average rent was $464, which peaked at $550 in 2015 before declining to $373 in 2022. This decrease in rent prices, coupled with a slight increase in the renter percentage in recent years, could indicate a shift in local housing preferences or economic conditions.
Looking at the most recent data, average home prices in zip code 65571 continued to rise in 2023 and 2024, reaching $189,293 and $194,262 respectively. This represents a 10% increase from 2022 to 2024. Concurrently, federal interest rates have also increased significantly, rising to 5.02% in 2023 and 5.33% in 2024. These higher interest rates could potentially impact future homeownership rates and housing market dynamics in the area.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 65571 will continue to rise, albeit at a potentially slower rate due to higher interest rates. We project that by 2029, average home prices could reach approximately $225,000 to $235,000. For rent prices, the forecast suggests a potential stabilization or slight increase, with average rents potentially reaching $400 to $425 by 2029.
In summary, zip code 65571 has demonstrated resilience in its housing market, with increasing homeownership rates and rising home values over the past decade. The inverse relationship between homeownership and rental rates, coupled with the interesting trend of decreasing rent prices, presents a unique market dynamic. The recent sharp increase in interest rates may pose challenges to continued growth in homeownership, but the steady rise in home values suggests ongoing demand in this area.
