Community News

We have watched real estate sales rebound strongly over the past three years.  By the end of 2013, the number of sales exceeded the peak year of 2005.  The numbers in 2014 were even more robust.  This summary compares 2014 to 2013 sales information using the Southwest Montana Multiple Listing Service (SWMLS) as the source.   

Within the city of Bozeman, single-family home sales increased by 7%.  There were 523 single-family homes sold in 2014, compared to 489 in 2013.  There was a hearty increase to 399 condo/ townhomes sold in 2014 which equaled 17% growth over the 341 sales in 2013.  The average sales price for single-family homes also showed further recovery with a 7% increase to $331,817 in 2014 from $310,099 in 2013, while attached housing showed a nice 16% appreciation from an average of $187,224 in 2013 to $216,525 in 2014.  The median sales price was $299,900 for single-family homes, up 8% from $277,710 in 2013, and $197,000 for condo/ townhomes, up 13% from $174,900 in 2013.   
 
Last year, the supply of single-family homes within Bozeman remained stable.  At the end of 2014, there were 112 active residential properties listed for sale compared to 111 in 2013.  Homes that are priced even up to $500,000 are selling quite well.  Based on the current supply and the number of homes sold in this price range in the last 12 months, there is no more than a 6 month supply of inventory in any of the price ranges reported under $500,000.
 
The subdivisions and rural areas immediately surrounding Bozeman were fairly flat in that single-family sales increased only from 350 units in 2013 to 356 in 2014, a 2% increase.  However, the average sales price showed a 16% increase from $454,893 in 2013 to $529,693 in 2014, as well as a 9% median price jump from $358,862 in 2013 to $391,000 in 2014.  This area contains price extremes of properties from entry-level housing to the luxury second home market.  At year-end, 205 properties were available for sale, which is almost double the number of homes in the city limits. 
 
Belgrade and the surrounding market showed a very robust 25% increase with 303 single-family homes sold in 2014 versus 242 in 2013.  The average sales price increased by 7% from $236,868 in 2013 to $252,873 in 2014, and the median weighed in at $222,500.  Much of the activity can be attributed to building lots that were foreclosed upon, resold, and then sold with newly constructed homes.  The condo/ townhome market has seen some nice growth with 64 sales in 2014 compared to 47 in 2013, with an average sales price up 15% to $123,440 in 2014 from $107,492 in 2013.  In the Belgrade area, the supply of homes available for sale remains very low with only 55 single-family homes and 11 condo/ townhomes available at the closing of 2014.
 
Within the Manhattan/ Three Forks region, single-family home sales decreased by 9% from 106 sales in 2013 to 96 in 2014.  The average sales price dropped 10% from $243,750 to $218,230, while the median decreased 8% to $200,850.    
 
Big Sky, including Gallatin Canyon and West Yellowstone, once again showed large market gains with a 32% increase in sales of single-family homes sold from 84 in 2013 to 111 in 2014.  The average sales price increased from $828,200 in 2013 to $1,336,704 in 2014 due to the influence of two sales in excess of $10,000,000.  The median price increased from $524,500 to $650,732. Condo/townhome sales declined 11% to 169 sold units in 2014 versus 189 units in 2013.  There was an average price increase from $370,710 in 2013 to $451,387 in 2014.  It is interesting to note the wide range of prices per square foot, from under $140 in Meadow Village to over $1,600 in the Yellowstone Club.  
 
The market in Livingston and surrounding Park County showed a 6% decrease in sales with 179 single-family homes sold in 2014 compared to 191 in 2013, but there are a fair amount of pending sales to begin 2015 strong.  The average sales price declined 14% from $275,867 in 2013 to $237,358 in 2014, with a median sales price of $187,750.  Condo/ townhome sales in Livingston fell from 16 to 14 units in 2014, but the average price grew from $122,687 in 2013 to $149,503 in 2014.
 
Ennis and the Madison Valley saw a relatively stable market from 2013 to 2014.  While the number of sales for single-family homes only rose from 62 to 64 units, average prices increased by 9% from $294,833 to $321,321, and the median weighed in at $236,950 for 2014 down slightly from $242,500 in 2013.
 
All segments of the market continued to improve over 2013. All indicators show that we should have another strong year of sales in 2015 with anticipated percentage price increases in the upper single digits and maybe higher. Buyer demand is increasing based on our population growth, employment opportunities, and the demographic of first-time homebuyers.