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DEMOGRAPHIC ANALYSIS
<br />Median incomes for households in Elk River peak at $96,191for the 35 to 44 age group in
<br />2015. Households in this age group are entering or are in their peak earning years. The
<br />majority of households (87%) in this age group are homeowners. By 2020, the median
<br />income for the 45 to 54 age group is projected to increase to $102,476 a 6.5% increase.
<br />The median resale price of homes in Elk River was $209,975throughJune 2015(see Table
<br />FS-1). The income required to afford a home at this price would be about $60,000 to
<br />$70,000, based on the standard of 3.0 to 3.5 times the median income (and assuming these
<br />households do not have a high level of debt). In 2015, 70% (4,696 households) of Elk River’s
<br />non-senior households had incomes greater than $60,000.
<br />
<br />Growth and Income Trends by Age of Householder
<br />Elk River
<br />2015 to 2020
<br />2,000$120,000
<br />1,800
<br />$96,191
<br />$100,000
<br />1,600
<br />$90,274
<br />
<br />
<br />No. of Households
<br />1,400
<br />Median Income
<br />$79,696
<br />
<br />$80,000
<br />
<br />
<br />773
<br />697
<br />666
<br />$75,720
<br />
<br />
<br />1,200
<br />
<br />
<br />882
<br />449
<br />,
<br />630
<br />540
<br />$59,863
<br />,
<br />,
<br />
<br />1
<br />1
<br />1,000 1$60,000
<br />,
<br />444,
<br />,
<br />,
<br />1
<br />1
<br />1
<br />1
<br />
<br />,
<br />
<br />$40,056
<br />800
<br />934
<br />1
<br />162
<br />$40,000
<br />2010
<br />600
<br />$45,303
<br />
<br />,
<br />
<br />693
<br />1
<br />817
<br />2010
<br />2015
<br />400
<br />$20,000
<br />
<br />
<br />2010 Income
<br />235
<br />255
<br />200
<br />0$0
<br />15-2425-3435-4445-5455-6465 -7475+
<br />Age of Householder
<br />
<br />
<br />Senior Households
<br />
<br />The oldest householders were likely to have lower incomes in 2015. In Elk River, 5% of
<br />households ages 65 to 74 had incomes below $15,000, compared to 10% of households age
<br />75 and over. Many of these low-income older senior households rely solely on Social
<br />Security benefits. Typically, younger seniors have higher incomes because they are still able
<br />to work or are married couples with two pensions or higher Social Security benefits.
<br />
<br />Generally, senior households with incomes greater than $30,000 can afford market-rate
<br />senior housing. Based on a 40% allocation of income for housing, this translates to monthly
<br />rents of at least $1,000. About 475 senior households (75+) in Elk River (49% of senior
<br />households) had incomes above $30,000 in 2015. Seniors will often move from rural areas
<br />to cities such as Elk River that provide more medical and other services.
<br />12
<br />MAXFIELD RESEARCH & CONSULTING, LLC.
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