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Zip Code 83804: Resilient Homeownership Amid Rising Home Values in Blanchard, Idaho
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 83804, located in Blanchard, Idaho, is a rural area that has experienced significant changes in population and housing dynamics over the past decade. This analysis explores the trends in homeownership rates, average home prices, and average rent prices in this region. The homeownership rate in zip code 83804 has fluctuated over the years, with a general trend towards increasing ownership. In 2013, the homeownership rate was 88%, which dipped to 76% in 2017 before recovering to 88% in 2022. During this same period, average home prices in the area have shown a steady upward trend. In 2013, the average home price was $155,900, which more than tripled to $540,044 by 2022. This significant increase in home values likely contributed to the temporary dip in homeownership rates between 2016 and 2018, as rising prices may have made homeownership less attainable for some residents.
Federal interest rates have played a role in homeownership trends in zip code 83804. The period of low interest rates from 2013 to 2021, with rates mostly below 1%, coincided with the overall increase in homeownership rates. This is consistent with the general trend of lower interest rates encouraging homeownership due to more affordable financing options. The slight dip in homeownership from 2016 to 2018 occurred despite low interest rates, suggesting that rapidly rising home prices during this period may have outweighed the benefits of low financing costs for some potential buyers.
Renter percentages in zip code 83804 have inversely mirrored the homeownership trends, ranging from a high of 24% in 2017 to a low of 11% in 2021. Average rent prices have generally increased over time, from $575 in 2013 to $714 in 2022, with a peak of $866 in 2021. The increase in rent prices, coupled with the growing population (from 1,051 in 2013 to 1,681 in 2022), suggests a competitive rental market, particularly during periods when homeownership rates were lower.
In 2023 and 2024, the housing market in zip code 83804 experienced a slight correction. The average home price decreased from $540,044 in 2022 to $506,463 in 2023, and further to $487,739 in 2024. This decline coincides with a significant increase in federal interest rates, which rose to 5.02% in 2023 and 5.33% in 2024. These higher interest rates likely contributed to the cooling of home prices by making mortgages more expensive for potential buyers.
Looking ahead, based on the historical data and recent trends, we can predict that average home prices in zip code 83804 may continue to stabilize or experience modest growth over the next five years. The current high interest rate environment could keep prices in check, potentially ranging between $490,000 and $550,000 by 2029. Average rent prices are likely to continue their upward trajectory, albeit at a slower pace, potentially reaching $800-$850 per month by 2029, reflecting the area's growing population and the balance between rental demand and homeownership rates.
In summary, zip code 83804 has seen a strong trend towards homeownership, with rates rebounding to 88% in recent years despite significant increases in average home prices. The interplay between federal interest rates, home prices, and rental markets has shaped the housing landscape in this area. While home prices have shown some recent moderation, the long-term trend suggests continued value appreciation, albeit at a potentially slower rate. The rental market remains an important component of the local housing ecosystem, with prices likely to continue rising moderately in response to population growth and housing demand.
