Fayette Country, Pennsylvania, Housing Market Analysis - EERE

Fayette County
Housing Market Analysis
E. The county’s housing stock is becoming more diverse
Single family, detached housing units still dominate the housing market. In 2000,
72.7% of the existing housing stock fell into this category. Even though
multifamily units and mobile homes are smaller portions of the overall housing
stock, those categories are swiftly increasing. Each of those unit types grew four
times faster than the rate of single family unit growth between 1990 and 2000 –
23.4% and 23.6% compared to 5.0%. This growth in alternative housing types
shows a growing demand for housing units other than the standard single-family
detached model.
Table 1-1
Housing Unit Composition – 1990-2000
1990 2000
# of units % of total # of units % of total
single family 46,080 75.0% 48,363 72.7%
multifamily 7,734 12.6% 9,543 14.4%
mobile homes 6,760 11.0% 8,354 12.6%
other homes 832 1.4% 230 0.3%
Source: U.S. Bureau of the Census
The “other homes” category includes boats, RVs, vans, etc.
F. Are household incomes keeping up with increases in housing costs?
Although household income increased 8.8% over the rate of inflation in the last
decade, the value of owner-occupied homes greatly outpaced that rate. The median
value of owner housing rose 23.3% over inflation between 1990 and 2000. This
steady growth in value contributes to an expanded tax base, but makes sales
housing less affordable to the buyer (the county’s 2003 reassessment, its first since
1958, may also have contributed to the rise in owner-occupied home value). The
low interest rate environment and increased earnings of county residents have
contributed to the rise in home values. An uptick in mortgage rates and/or a
decline in household earnings could reduce home values.
In contrast, the median gross rent actually decreased 0.7% after adjusting for
inflation, which theoretically makes renting in the county more affordable. This is
good news for tenants, but makes it difficult for landlords to justify capital
improvements to their properties.
G. Condition of the county’s housing stock
Over 5,000 housing units were vacant in 2000 – 8.0% of the total housing stock.
This was an increase of 21.2% over 1990. The largest category of vacant units
(31.6%) was “other vacant” – usually units that are neglected and dilapidated.
Over half of the county’s housing is over 50 years old – another indicator of
potential housing problems. The older the structure, the more likely it is to be
substandard. Effective code enforcement then becomes an issue.
On a more positive note, other statistical indicators of housing quality are quite
positive. Overcrowded units and those lacking complete plumbing facilities make
June 2005
Page 5