2017 Spencer Comprehensive Land Use Plan

Spencer, Iowa  2017  Comprehensive Plan

It is expected that the trend of increasing housing valuations will continue as the cost of new construction rises, the average sale price of housing increases, and county residential tax assessments continue to rise. The trend may eventually lead to producing higher valued housing options that may not be as easily accessible for people who are first-time homebuyers, one-income or low-income families. Spencer currently offers and participates in programs that offer financial loans and grants for new construction of housing units to homebuilders and qualified homebuyers. The Northwest Iowa Regional Housing Trust Fund program also provides housing assistance for rehabilitation and needed repairs to qualifying lower income families and households in Spencer. These housing programs provide many benefits to current and prospective homebuyers in the community. Another means of analyzing the value of housing is to look at the median housing values of other cities in the region with a comparison size. The chart below shows a comparison of median housing values for Clay County, Spencer and six (6) other cities of comparative size to Spencer. During a thirteen year period, Spencer experienced a 35.4% growth in housing values, as compared to a 41.7% increase in Clay County and a 50.6% increase for the statewide average. Comparing these numbers, it is clear that Spencer housing is growing in value, but it also shows that Spencer housing is not increasing in value as rapidly as other communities throughout the State of Iowa.

Figure 16 - Median Housing Value

Median Housing Value

109,500

Spencer

105,400

Clay County

162,500

Sioux Center

124,900

LeMars

105,400

Storm Lake

138,100

Spirit Lake

123,000

Carroll

134,200

Clear Lake

0 20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 180,000

Clear Lake Carroll

Spirit Lake Storm Lake LeMars Sioux Center

Clay County Spencer

FUTURE HOUSING NEEDS The average household size in Spencer in 2000 was 2.28 persons per household (pph). By 2010, the household size maintained its ratio of 2.19 pph. Spencer’s trend of a slightly declining household size is a trend experienced across much of Iowa; in which most communities experience lower household sizes due to several factors including an aging population, higher divorce rate, more single persons waiting to marry, or married couples having none or fewer children. Spencer’s household size trend is indicative of regional and statewide trends. Using average household size data and population projections, one can predict future housing needs. Between 2000 and 2010, Spencer’s total housing units increased slightly from 5,151 to 5,431, an increase of 5.4%. This can be attributed to the fact

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NW Iowa Planning & Development