What to Expect in Bozeman Real Estate in 2021

Bozeman real estate in 2021 is currently in a seller’s market. From 2019 to 2020, the median sales price increased from *$399,900 to $420,000 and inventory dipped to 0.4 months supply. My prediction is that it’s not going to get any better or less competitive in Bozeman real estate in 2021.

If you’re a seller:

• Buyers are still picky and they are not buying just to buy. Consider updates and professional staging if your home is dated and looking like the 1990s.
• Buyers are looking for homes that fit their lives in the new normal. Think: plenty of outdoor space; dedicated rooms for remote work/home schooling/exercise; and a well-appointed kitchen with plenty of storage space.

If you’re a buyer:

• Bidding wars are a real thing right now, so think carefully about the price you want to pay.
• Be prepared to make concessions on items like inspections, earnest money and closing dates, as well as letting the seller rent back for a while if they need to look for a new home.

If you’re looking for affordability: Consider surrounding towns like Belgrade, Three Forks and Livingston.

• Belgrade: Located 11 miles from Bozeman; The median sales price increased from *$319,900 in 2019 to $341,400 in 2020.
• Three Forks: Located 29 miles from Bozeman; The median sales price increased from *$282,500 in 2019 to $311,250 in 2020.
• Livingston: Located 26 miles from Bozeman; The median sales price increased from *$284,000 in 2019 to $300,000 in 2020.

(*Source: Big Sky Country MLS 2020 Annual Report)

This previous post talks about what happened to Bozeman real estate in 2020. Keep in mind that whatever you might be hearing or reading on social media, real estate agents did not create the current housing situation in Bozeman. The low interest rates mixed with the resulting demand for homes in places like Bozeman during the pandemic and the hesitancy of homeowners to put homes on the market with all the uncertainty were factors that were completely out of any agent’s purview.

If you’re interested in learning more about real estate in Bozeman and surrounding areas in Montana, feel free to contact me at liz@windermere.com.