As the new year begins, Montana’s housing market is entering a period of cautious momentum, with real estate professionals encouraging buyers to act early before spring competition ramps up.
Inventory remains limited across much of the state, a trend that might give buyers an advantage. With fewer homes on the market, there are also fewer buyers actively searching—creating opportunities for less competition and more negotiating power.
“We have about 150 homes on the market right now. I do think as we jump into the new year and we get into our spring market, we're going to see listings come back on the market. said Madison Oakes, a real estate broker for Lifestyle Realty Firm. “Once we see the inventory grow, the buyer competition tends to grow a little bit so if they’re seeing something they like now, they should still make that move.”
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Interest rates remain higher than many sellers would prefer, but experts say a potential shift could be on the horizon later this spring. If rates begin to ease, more properties are expected to reenter the market, increasing demand and competition.
Despite national economic uncertainty last year—including concerns over tariffs—Oakes says Montana’s housing market has remained largely resilient.
“We really haven’t seen major disruptions here,” she said. “Most construction and new builds might see issues in cost and supply, but that hasn’t necessarily affected the buyer and seller directly.”
Looking ahead, real estate professionals say 2026 will be an important year to watch, particularly as current and upcoming decisions from the Department of Natural Resources and Conservation (DNRC) begin to take effect. Changes surrounding water rights could influence property values, development, and buyer interest in certain areas.
Oakes added, “There's tons of conversation around that. I think it's really important in that buyers are working with brokers and agents so that they know when they're purchasing the land or building, how those water rights are going to be transferring.”
While the full impact of those decisions has yet to unfold, Oakes says water access is already having a significant effect on some buyers and sellers in the community.
“For some people, water rights have drastically changed what they can do with a property,” she said. “It’s something buyers are paying very close attention to now.”
Even with those uncertainties, home prices across Montana have remained relatively stable compared to last year. Bozeman continues to lead the state with the highest median home price, sitting around $700,000. Meanwhile, Great Falls remains one of the more affordable markets, with median prices closer to $300,000.
That contrast highlights how localized factors—such as demand, infrastructure, and access to natural resources—continue to shape Montana’s housing landscape.
For buyers considering entering the market, experts say preparation is key. Getting pre-approved, understanding local regulations like water rights, and acting early could make a significant difference before spring brings a more competitive housing season.
As the year unfolds, Montana’s housing market is expected to remain steady but those watching closely say timing may matter more than ever.
