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Zip Code 67108: Mount Hope's Housing Market Sees Doubling of Average Home Values Amid Strong Ownership Rates
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 67108, located in Mount Hope, Kansas, presents an interesting case study of housing trends in a small Midwestern community. This area has experienced notable fluctuations in homeownership rates and housing prices over the past decade, reflecting broader economic shifts and local dynamics.
The homeownership rate in zip code 67108 has shown a general upward trend, increasing from 80% in 2013 to 84% in 2022. This rise in homeownership coincides with a significant increase in average home prices, which grew from $100,338 in 2013 to $206,236 in 2022, representing a substantial 105.5% increase over nine years. The year 2020 saw a particularly sharp rise in average home prices, jumping from $148,036 in 2019 to $168,197, a 13.6% increase in a single year.
Federal interest rates appear to have played a role in homeownership trends in this area. The period from 2013 to 2016 saw historically low interest rates, ranging from 0.11% to 0.40%, which likely contributed to the steady homeownership rate of around 80-82%. As interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), the homeownership rate remained stable at around 80-82%. Interestingly, the sharp drop in interest rates in 2020 (0.38%) and 2021 (0.08%) coincided with an increase in homeownership to 83% and 84% respectively, suggesting that lower rates may have encouraged more residents to purchase homes.
The renter population in zip code 67108 has seen a corresponding decline as homeownership increased. The percentage of renters decreased from 20% in 2013 to 16% in 2022. Despite this decline, average rent prices have shown volatility. They peaked at $1,058 in 2017 before declining to $852 in 2022, a 19.5% decrease. This trend might be attributed to the growing homeownership rate reducing demand for rentals, or to broader economic factors affecting the local rental market.
In 2023 and 2024, average home prices in zip code 67108 continued their upward trajectory, reaching $216,614 in 2023 and $221,838 in 2024. This represents a 5% increase from 2022 to 2023 and a further 2.4% increase from 2023 to 2024. Notably, these price increases occurred despite a significant rise in federal interest rates, which climbed to 5.02% in 2023 and 5.33% in 2024, potentially indicating strong local demand for housing.
Looking ahead, based on the historical data and current trends, we can project that average home prices in zip code 67108 may continue to rise over the next five years, albeit at a potentially slower rate due to higher interest rates. A conservative estimate might see average home prices reaching around $240,000 to $250,000 by 2029. Average rent prices, which have been more volatile, could stabilize or see modest increases, potentially reaching $900 to $950 per month in the same timeframe.
In summary, zip code 67108 has demonstrated a robust housing market with increasing homeownership rates and rising average home prices over the past decade. The area has shown resilience in the face of changing interest rates, with home prices continuing to appreciate even as rates have increased significantly in recent years. The rental market, while smaller, has shown more variability, reflecting the shifting balance between homeowners and renters in this community.
