Distinctly Montana Magazine

D I S T I N C T LY M O N TA N A • S P R I N G 2 0 1 5 38 38 Though Bozeman is not the largest Montana city population-wise, the real estate sales numbers top the rest of the state. The rationale can be attributed to a couple key factors. Bozeman has a substantial second home and investment market, which includes properties purchased for the purpose of housing Montana State Univer- sity students, as well as retirement and vacation homes. Big Sky is thriving and leading the state in second homes and luxury sales. As evidence of this growing community, Bozeman Deaconess is building a new medical center in the Town Center, which will open the fall of 2015. The Gallatin Board of Realtors® fi gures include Bozeman, Belgrade, Manhat- tan, Three Forks, Big Sky, Park County, and a few other outlying areas. If we combine the sales for this Mul- tiple Listing Service (MLS), there were 2,674 residential sales (single family, condo, townhouse, and mobile/ manu- factured) reported in 2014 versus 2,494 in 2013. The average sales price for residential list- ings also increased from $302,413 to $343,095 by the end of 2014. There is an increasing number of new construction starts in the condo/town- home arena and single family homes under $500,000. The Billings Association, which includes a 70-mile radius from Billings, displayed nice gains in the number of residential sales for 2014 at 2,468, increasing from 2,344 the previous year. The average sales price increased to $230,357 from $224,510 in 2013. Billings continues to prosper as a medical and trade hub and the "oil and gas gateway" to Eastern Montana. Billings retail is thriving with many stores opening on Shiloh Road as well as fi ve or more new hotels. One such ex- ample is the new Scheels store, which is 220,000 square feet and has 300 employees. It boasts a 65-foot Ferris wheel and a 16,000 gallon saltwater aquarium. The Flathead market actually saw a decline in the number of sales, down to 1,932 residential units in 2014 from 2,048 in 2013. However, the average prices wit- nessed a nice jump to $285,429 versus $269,730 in 2013. The Whitefi sh area and lakefront markets have returned BY ROBYN ERLENBUSH MONTANA REAL ESTATE REAL ESTATE RECAP 2014 I t is with pleasure that I report that the real estate rally continues across Montana. For the third year in a row, we have seen strong year-over-year growth and nice increases in values. Many markets are back to their peak sales numbers of 2005 and 2006. However, with the exception of the entry level ($150,000 to $325,000) and lower mid- markets ($325,000 to $450,000), prices are still not back to peak. If current trends continue, most areas will see prices nearing peak numbers by later this year or next. The market is back to arms-length transactions with very few short sales, bank-owned properties, or distressed sales (less than 5%) occurring around the state. Let's take a closer look at the major markets and the statewide drivers that are producing strong housing demand. The following real estate sales data is provided by local Realtor® boards from each market. BOZEMAN BILLINGS FLATHEAD LAKE BIG SKY

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