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Zip Code 68635: Rising Home Values and Ownership Trends in Rural Nebraska
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 68635, located in Dwight, Nebraska, is a rural area characterized by a small population and relatively low population density. Over the past decade, this zip code has experienced fluctuations in homeownership rates, average home prices, and average rent prices, reflecting the dynamic nature of its housing market.
The homeownership rate in zip code 68635 has shown an overall increasing trend from 2013 to 2022, with some fluctuations. In 2013, the homeownership rate was 78%, which increased to a peak of 88% in 2017. After a slight decline, it settled at 82% in 2022. Concurrently, average home prices have seen a consistent upward trajectory. In 2013, the average home price was $97,862, which more than doubled to $201,991 by 2022. This significant increase in home values, coupled with the rising homeownership rate, suggests a growing demand for homeownership in the area despite the escalating prices.
The relationship between federal interest rates and homeownership rates in zip code 68635 appears to follow the general trend of lower interest rates encouraging homeownership. For instance, when interest rates were relatively low at 0.11% in 2013, the homeownership rate was 78%. As interest rates remained low through 2020 (0.38%), homeownership rates fluctuated but generally remained high, reaching 79% in 2020. However, it's worth noting that local factors also play a significant role in homeownership trends, as evidenced by the peak homeownership rate of 88% in 2017 when interest rates were at 1%.
Regarding rental trends, the percentage of renters in zip code 68635 has generally decreased from 21% in 2013 to 18% in 2022. Interestingly, average rent prices have shown volatility during this period. In 2013, the average rent was $752, which increased to a peak of $894 in 2016 before declining to $777 in 2022. This fluctuation in rent prices, coupled with the decreasing renter percentage, suggests a complex rental market influenced by factors such as local economic conditions and housing availability.
Looking at the most recent data, the average home price in zip code 68635 reached $205,922 in 2023 and further increased to $212,458 in 2024. This continued upward trend in home prices occurs alongside a significant rise in federal interest rates, which stood at 5.02% in 2023 and 5.33% in 2024. Despite these higher interest rates, the housing market in this zip code appears to remain robust, with home values continuing to appreciate.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 68635 will continue to rise, albeit potentially at a slower rate due to the higher interest rate environment. We project that by 2029, average home prices could reach approximately $250,000 to $275,000, assuming a moderate annual growth rate of 3-5%. For rent prices, we expect a more stable trajectory, with potential increases to an average of $850-$900 per month by 2029, reflecting a modest annual growth rate of 2-3%.
In summary, zip code 68635 has demonstrated a strong trend towards homeownership, with consistently rising average home prices over the past decade. The rental market has shown more volatility, with decreasing renter percentages and fluctuating rent prices. The area's housing market has shown resilience in the face of rising interest rates, suggesting underlying strength in local demand for homeownership. As we look to the future, we anticipate continued growth in both home values and rent prices, albeit at a potentially moderated pace.
