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Zip Code 66864: Rising Home Values and Ownership Rates in Neosho Rapids, Kansas
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 66864, located in Neosho Rapids, Kansas, has experienced a significant shift in homeownership and housing market trends over the past decade. This area, with a stable population of around 500 residents, has seen a remarkable increase in homeownership rates alongside rising average home prices and fluctuating rent costs. The ownership percentage in zip code 66864 has shown a substantial upward trend, increasing from 82% in 2013 to 95% in 2022. This rise in homeownership coincides with a significant increase in average home prices, which rose from $73,101 in 2012 to $145,567 in 2022, representing a 99% increase over a decade. The most dramatic jump occurred between 2020 and 2021, when average home prices surged from $115,166 to $134,644, a 17% increase in just one year.
Federal interest rates have played a crucial role in shaping homeownership trends in this zip code. The period from 2010 to 2016 saw historically low interest rates, ranging from 0.09% to 0.4%. This coincided with the initial rise in homeownership rates from 82% in 2013 to 84% in 2016. As interest rates began to climb from 2017 onwards, reaching 1.83% in 2018, the area surprisingly continued to see an increase in homeownership, suggesting other local factors may be influencing this trend.
The renter percentage in zip code 66864 has correspondingly decreased from 18% in 2013 to just 5% in 2022. Despite this decline, average rent prices have shown an overall upward trend, albeit with some fluctuations. The average rent increased from $632 in 2013 to $817 in 2022, a 29% rise. Interestingly, there was a period of decline in average rent from 2017 to 2020, dropping from $689 to $613, before sharply increasing again in 2021 and 2022. This trend occurs despite the declining renter population, suggesting a possible shortage of rental units or an increase in the quality of available rentals.
In 2023 and 2024, we see a continuation of the upward trend in average home prices in zip code 66864. The average home price reached $151,219 in 2023 and further increased to $162,019 in 2024, representing a 7.1% year-over-year growth. This growth occurs against a backdrop of significantly higher interest rates, with the federal interest rate rising to 5.02% in 2023 and 5.33% in 2024. Despite these higher rates, the local housing market appears to remain robust.
Looking ahead, based on the historical data and current trends, we can project that average home prices in zip code 66864 will continue to rise over the next five years, potentially reaching around $200,000 by 2029. Average rent prices, while more volatile, are likely to maintain an upward trajectory, potentially exceeding $900 per month by 2029. However, these projections assume relatively stable economic conditions and continued demand for housing in the area.
The most striking discovery in zip code 66864 is the dramatic shift towards homeownership, reaching 95% by 2022. This trend has occurred alongside a steady increase in average home prices, which have more than doubled since 2012. The resilience of the housing market, even in the face of rising interest rates, suggests strong local demand for homeownership. The rental market, while shrinking, has seen overall growth in average rents, indicating a potential premium on the few rental properties available. As we move forward, the continued rise in both home prices and rents, coupled with high homeownership rates, paints a picture of a desirable and potentially competitive housing market in this Kansas community.
