Loading Content...
Zip Code 83241: Rising Home Values and Stable Ownership in Rural Idaho
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Zip code 83241, located in Grace, Idaho, has experienced significant changes in homeownership rates and housing market dynamics over the past decade. This rural area has seen fluctuations in its population and housing trends, reflecting broader economic and demographic shifts.
The homeownership rate in zip code 83241 has shown an overall increasing trend from 2013 to 2022. In 2013, the ownership rate was 77%, which increased to 85% by 2021, before slightly decreasing to 77% in 2022. This general upward trend in homeownership suggests a growing preference for property ownership in the area. Average home price data is not available for most of the analyzed period, limiting our ability to directly correlate homeownership rates with home prices.
Federal interest rates have played a significant role in shaping homeownership trends. From 2013 to 2020, interest rates remained historically low, ranging from 0.09% to 2.16%. This period of low interest rates likely contributed to the overall increase in homeownership rates observed in zip code 83241. For instance, the homeownership rate rose from 77% in 2013 to 82% in 2019, coinciding with interest rates below 2.16%. The exceptionally low rates in 2020 (0.38%) and 2021 (0.08%) may have further encouraged home buying, as evidenced by the peak 85% homeownership rate in 2021.
Renter percentages in zip code 83241 have shown an inverse relationship to homeownership rates, naturally decreasing as homeownership increased. The renter percentage dropped from 23% in 2013 to a low of 15% in 2021, before rising slightly to 23% in 2022. Average rent prices have fluctuated over this period, with no clear long-term trend. The highest average rent was $601 in 2014, while the lowest was $494 in 2016. Interestingly, the population of the zip code increased from 1,893 in 2013 to 2,278 in 2022, which might have influenced rental demand and prices.
In 2023 and 2024, we see significant developments in the housing market for zip code 83241. The average home price in 2023 was $297,405, increasing to $300,369 in 2024. This represents a modest year-over-year increase of about 1%. Concurrently, federal interest rates rose sharply to 5.02% in 2023 and 5.33% in 2024, marking a substantial increase from the near-zero rates of the early 2020s. These higher interest rates may impact future homebuying activity and affordability in the area.
Looking ahead, we can predict potential trends for the next five years based on recent data. If the current trajectory continues, average home prices in zip code 83241 might see moderate annual increases of 1-2%, potentially reaching around $315,000 by 2029. Rent prices, which have been more volatile, may stabilize or see slight increases, potentially averaging around $550-$600 per month. However, these projections are subject to various economic factors and local market conditions.
In summary, zip code 83241 has experienced a general trend towards increased homeownership over the past decade, likely influenced by long periods of low interest rates. The recent sharp increase in interest rates, coupled with rising home prices, may pose challenges to this trend in the coming years. The area's growing population and the delicate balance between homeownership and rental markets will be crucial factors in shaping the future housing landscape of this Idaho community.
