Bozeman 2019 Real Estate Pricing Trends
Bozeman December numbers are in! Let’s take a look at the Bozeman real estate pricing trends of 2019, compare it to trends of previous years of 2017 and 2018 and check the crystal ball for 2020. The following numbers represent all sales in each category for each year and numbers are coming from the Big Sky MLS.
Median Sales Prices
First up are median sales prices – I have divided these sales into Single family, Townhomes and Condos. We see a not unexpected increase in median sold prices in all three of these categories BUT we also see a slowing rate of increase which is great news for buyers and bolsters the thought that the real estate market is becoming more balanced.
Median Price Per Square Foot
Second number I checked to confirm the median sales price slow down, was the median price per square foot. And I reached the same conclusion, that prices are indeed slowing their rate of increase.
Days On Market
To help round out the picture of the market conditions, I then took a look at days on market. If days on market is a large number and homes are languishing on the market, then we would have certainly turned the corner to a buyer’s market. But alas, this is not what I found and in fact, homes in all categories are still moving along at a good pace with a decrease in DOM actually found in the single family home category.
Looking Ahead to 2020
So what does this mean for Bozeman real estate pricing in 2020? All indications currently point to a very similar year in 2020 as in 2019. Mortgage rates are now very low (under 3.7% for conventional 30 year fixed!) which will make it attractive for people to consider a home purchase. Movement to the Bozeman area is expected to continue at similar rates (about 1500 people a year) as in previous years.
These numbers reflect sold pricing. Remember that Montana is a non-disclosure state so only licensed realtors can access accurate data. If you would like to dive deeper into market trends, please reach out and let’s have a conversation! Keep an eye on the blog at http://movemetomontana.com/ for more ongoing analysis. I hope you found this helpful – please pass it on!!
Is there any good news for Bozeman buyers in regard to pricing of real estate? To answer this question, we have to dig a bit into our sales data. Luckily, October numbers and Year to Date numbers were just released so we have a pretty good idea of what is going on. For a snapshot, I have broken out sales prices by price category and graphed them over three years. In this blog edition, I am only applying my analysis to Bozeman but I will do follow up blogs on Gallatin County and Belgrade.
My categories are 350 K or less, 351 – 499K, 500 to 700K and over 700K. I have broken out Single Family, Condo and Townhome sales. The attached graphs show what has happened with median pricing in each category. While there are price variations if you were to look at each individual month, that is to be expected as pricing of available inventory will vary but the overall trend here seems to be pretty flat with even some softening in the single family home market. As expected, the higher priced home categories have seen the least price increase while the homes less than 499K have continued to increase at a very gradual rate. One note, in the two higher price categories, the townhomes and condos have some big rises and dips. I believe this to be reflective of high end projects that are being sold downtown. They are limited in number and as they are completed, the developer puts them on the market. They sell over 6months to a year and at high prices which makes the graph skew
Homes, Condos and Townhomes less than $350,000
Homes, Condos and Townhomes $351,000-$499,999
Homes, Condos and Townhomes $550,000- $699,999
Homes, Condos and Townhomes $700,000 and over
These numbers reflect sold pricing. Remember that Montana is a non disclosure state so only licensed real estate professionals can access accurate data. If you would like to dive deeper into market trends, please reach out and let’s have a conversation! I hope you found this helpful – please pass it on!!