Montana
Housing Market
The landscape of the housing market in Montana constantly evolves with shifting home prices and demand. Houzeo’s housing market report tracks constant changes in supply and demand across Montana. Our data offers real-time insights to help you make informed decisions.
Overview
Supply
Demand
Buy or Sell
Market Insights
MigrationMontana Housing Market Overview
The average home price in Montana has increased to $540,100 this January. This represents a 6.5% rise compared to the same period last year. Real estate in Montana saw 637 homes sold during this month. It’s an 8% increase from the 588 homes sold last January. The housing market in Montana now has properties listed for a high median of 109 days. This marks a significant 20-day increase from last year's figures.
What Does It Mean for Home Buyers and Sellers?
What Does It Mean for Home Buyers and Sellers?
- If You’re a Buyer: The Montana housing market is currently in your favor. Properties now remain available for as long as 109 days before going under contract. This extended timeframe gives you a great deal of leverage during price negotiations. Sellers face pressure when homes sit on the market for over 3 months. You can reasonably expect your offer to come in below the listing price. However, Montana home values have still increased 6.5%. So, take your time to compare multiple properties before you make a decision.
- If You’re a Seller: Since homes for sale in Montana face longer wait times than before, your property will likely remain listed for longer than you’d like. But the Montana real estate market still shows positive price growth trends. Set realistic expectations and price your property competitively to avoid extending beyond the average wait. You should also consider offering incentives to stand out among competing Montana homes for sale.
Montana Housing Supply
Homes for sale in Montana increased to 4,843 available properties this January. It’s a substantial 16.6% growth in Montana housing inventory year-over-year. On the other hand, new listings in the Montana real estate market declined by 2.4% recently. This translates to 785 fresh properties entering a balanced market. The Montana housing supply currently stands at 6 months statewide, exactly matching the benchmark that indicates a balanced market.
What Does It Mean for Home Buyers and Sellers?
What Does It Mean for Home Buyers and Sellers?
- If You’re a Buyer: The significant growth in Montana's housing inventory gives you a lot more options and lesser competition than last year. The 6-month supply indicates a perfectly balanced market, which allows you to negotiate more effectively. However, the 2.4% decrease in new Montana houses for sale listings slightly favors existing sellers. You should focus on the substantial existing inventory for the best deals.
- If You’re a Seller: With an increase in inventory and the 6-month supply period, your property is sure to face some competition. Strategic pricing becomes crucial with such abundant buyer options. You must distinguish your property among the other available Montana homes for sale. Focus your marketing efforts on unique features that buyers can’t find elsewhere. Professional photography and staging can give you crucial competitive advantages at this point.
Montana Housing Demand
The Montana real estate market shows clear buyer-favorable conditions this January. No homes sold above list price during this period statewide. Meanwhile, 17.4% of Montana homes saw price reductions, a 4.4% increase from January last year. The typical Montana housing transaction closes at 97.2% of the list price. It’s an increase of 5.1 points from last year's sale-to-list price ratio.
What Does It Mean for Home Buyers and Sellers?
What Does It Mean for Home Buyers and Sellers?
- If You’re a Buyer: Montana real estate currently offers you significant negotiating advantages. No homes for sale in Montana were sold above the asking price in the current market. The lack of bidding wars gives you space to make your offer. What’s more, 17.4% of sellers have reduced prices for homes in Montana. With the 97.2% sale-to-list price ratio, you can take time to identify homes where sellers show flexibility.
- If You’re a Seller: You can expect offers around 97.2% of your list price. This percentage has improved from last year despite challenging conditions. Price your Montana home realistically from the start to avoid any reductions. Nearly one in five sellers are having to reduce their initial asking price. Use your marketing to emphasize unique features in your property that can justify your price point. Consider pre-listing inspections to prevent future price negotiation issues.
Is It a Buyer’s or Seller’s Market in Montana?
Strong
Buyer
Buyer
Balanced
Seller
Strong
Seller
Buyer’s Market
Seller’s Market
Strong Buyer: Buyers have ample housing supply to choose from, and sellers have to lower the prices or offer concessions to make the sale.
Is It a Buyer’s or Seller’s Market in Montana?
The Montana housing market tilts heavily in favor of buyers, despite rising home prices in the state. Values increased 6.5% to reach $540,100 this year. Houses in Montana now spend a median of 109 days on the market before selling. This extended timeline gives buyers more negotiation power. The slower pace allows for careful inspection of available options. In fact, more homes for sale in Montana will appear as inventory grows rapidly.
Buyers hold distinct advantages across Montana's real estate landscape. No homes in Montana sold above the asking price last month. This pattern reveals decreased competition among potential buyers. More sellers are reducing prices as listings linger on the market. Current conditions maintain a generous 6-month supply.
Overall, Montana presents an excellent opportunity for homebuyers this season. The market offers more choices, with homes for sale in Montana up 16.6%. Patient buyers can negotiate favorable terms with sellers. However, make sure you account for moving costs and home inspections.
Montana Housing Market Insights
The Montana housing market now favors buyers, with inventory up 16.6% from last year. Homes for sale in Montana now remain on the market for 109 days on average. 17.4% of listings saw price drops, while no houses in Montana sold above list price. In this climate, buyers can negotiate better terms with less pressure to make a quick decision.
The Montana real estate market shows strength despite this shift towards buyers. The median home price in Montana still rose by 6.5% compared to last year. Sales volume increased by 8% over the same period. As such, sellers must stage their houses in MT well to stand out from the competition. Realistic pricing from day one prevents stagnant listings in the current market. Winter buyers may find extra bargains as demand typically drops seasonally.
The Montana real estate market shows strength despite this shift towards buyers. The median home price in Montana still rose by 6.5% compared to last year. Sales volume increased by 8% over the same period. As such, sellers must stage their houses in MT well to stand out from the competition. Realistic pricing from day one prevents stagnant listings in the current market. Winter buyers may find extra bargains as demand typically drops seasonally.
Nationwide Migration Trends
Montana attracted significant inbound migration during winter 2024-2025's peak moving season. Over 2,000 residents searched for in-state homes between Nov '24 and Jan '25. Hordes of new homebuyers arrive from Washington, California, and Oregon. The high quality of life and thriving job market draw families to the Montana real estate market. Cities like Kalispell, King Arthur Park, and Belgrade welcome the most new residents.
This migration pattern reflects the broader cost of living index trends. Montana's index is only 3.7% higher than the national average.
This migration pattern reflects the broader cost of living index trends. Montana's index is only 3.7% higher than the national average.
Frequently Asked Questions
Will the Montana housing market crash in 2025?
It’s implausible that the Montana housing market will crash. Prices are projected to experience sustained growth through 2025. Home prices in the Big Sky Country will grow along with the housing demand.
Are home prices dropping in Montana?
No, Montana housing prices aren't dropping, but they show varied local trends. Statewide prices rose 6.5% year over year in January 2025, and markets like Billings and Kalispell saw significant gains. Experts forecast continued growth in 2025, though increased homes for sale in Montana may moderate prices in overvalued areas.
Which city has the cheapest homes in Montana?
If you choose to move to Montana from expensive places like New York or California, you will save at least 40% to 60% in housing costs. Great Falls ($318K) and Billings ($359K) are among the most affordable housing markets in the state. You can also check the cheapest places to live in Montana before you make an investment.
Should I wait for houses to buy in Montana?
As a buyer, you can get a great deal now, with the growing inventory of homes. The average cost of a house in Montana is $540,100. If you’re buying a Montana house, you should first get pre-approved for a mortgage. You will also need to budget for a down payment of at least 10%.
How can I list my home for sale in Montana?
You can list your home for sale in Montana on the MLS using flat fee services. A Montana Flat Fee MLS listing company can help you save on traditional Realtor fees. You can save at least 3% on listing agent commission with Houzeo.
What is the average mortgage rate for buyers in Montana?
The average mortgage rate for buyers in the Montana real estate market fluctuates between 6.23% and 6.94%. Before you apply for a mortgage, always check your credit score and the current interest rates with lenders.
How does Montana's housing market compare to the national market?
Montana's housing market is presently outperforming the national market, with greater price growth. There is also increased demand due to relocation from other states and favorable tax conditions. The cost of living in Montana is 3.7% above the US average.
Is now a good time to buy or sell a home in Montana?
Check the current trends in housing prices and inventory in your city. Currently, Montana's housing market favors buyers, with high median days on the market and increased housing inventory. So, it’s probably the best time to buy a house in Montana. However, sellers can eventually benefit from the rising demand and median prices.
How have home prices changed in Montana over the past years?
Average home prices in Montana have continued to rise over the past years, driven by heightened demand. House prices in Montana have increased at an average growth rate of 6.5%, with some regions seeing double-digit percentage growth. You can check your home’s fair market value with our free home value estimator.
What are the Montana housing market predictions for 2025?
The Montana housing market should stay stable through 2025. The market will shift between buyer and seller control throughout the year. Sellers will dominate June and August with higher demand and prices. Meanwhile, buyers can find advantages in January and February, thanks to higher supply and median days on the market.
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