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Zip Code 66537: Scranton, Kansas - Home Values Double as Ownership Rises
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 66537, located in Scranton, Kansas, showcases an interesting evolution in homeownership and housing market dynamics over the past decade. This area has experienced notable shifts in population, homeownership rates, and housing prices, reflecting broader economic trends and local market conditions.
The ownership percentage in zip code 66537 has shown a consistent upward trend, increasing from 81% in 2013 to 89% in 2022. This rise in homeownership coincides with a significant increase in average home prices. In 2012, the average home price was $89,531, and by 2022, it had more than doubled to $195,618. This substantial growth in property values likely contributed to the area's attractiveness for homebuyers, despite the potential for higher mortgage costs.
The relationship between federal interest rates and homeownership rates in this zip code presents an interesting case. Despite fluctuations in interest rates, the homeownership rate continued to climb. For instance, when interest rates were at a low of 0.08% in 2021, the homeownership rate was 88%. Interestingly, as interest rates rose to 1.68% in 2022, the homeownership rate still increased to 89%. This suggests that local factors, such as job market stability or community appeal, may have played a more significant role in driving homeownership than national interest rate trends.
The renter population in zip code 66537 has experienced a decline corresponding to the rise in homeownership. The percentage of renters decreased from 18% in 2013 to 11% in 2022. Despite this decline, average rent prices have shown some volatility. In 2013, the average rent was $879, peaking at $907 in 2021 before dropping to $783 in 2022. This fluctuation in rent prices, particularly the recent decrease, could be attributed to the shrinking renter pool and potential efforts by landlords to maintain occupancy rates.
Looking at the most recent data, the average home price in zip code 66537 continued its upward trajectory, reaching $202,429 in 2023 and further increasing to $207,160 in 2024. This represents a 5.9% increase from 2022 to 2024, indicating sustained growth in the local housing market. Notably, federal interest rates have also risen significantly, reaching 5.02% in 2023 and 5.33% in 2024, which may impact future homebuying decisions.
Applying predictive models to forecast 5-year trends, we anticipate continued growth in average home prices, albeit at a potentially slower rate due to higher interest rates. Average home prices could reach approximately $230,000 to $240,000 by 2029. Rent prices may stabilize or see modest increases, potentially reaching an average of $850 to $900 per month, as the market adjusts to the smaller renter population and overall housing demand.
In summary, zip code 66537 has demonstrated a strong trend towards homeownership, with a significant increase in property values over the past decade. The area has shown resilience in maintaining high homeownership rates despite rising interest rates, suggesting a robust local housing market. The declining renter population and fluctuating rent prices indicate a shifting dynamic in the rental market, which may continue to evolve in response to broader economic conditions and local housing preferences.
