Montana housing policy shifts to boost supply
Driving economic activity
Healthcare, professional services, construction, and trade are primary drivers of employment growth in Montana. Flathead County, in particular, saw a 1.8% job growth from 2024 to 2025, leading the state. The state's "406 JOBS Initiative" focuses on building a skilled workforce for the outdoor, firearms, ammunition, and gear industries.
Housing market right now
Montana's housing market is transitioning towards more balanced conditions in 2026, with home prices expected to rise modestly by 2-4%. Inventory levels are forecast to increase by 5-10%, expanding buyer selection. The median sale price in February 2026 was $461,208, with 11.2% of sales over list price.
Migration patterns
Montana's population growth increased slightly between 2024 and 2025, gaining 7,137 residents, primarily from domestic and international migration. This follows a period where net migration into Montana declined substantially from a 2021 peak. Kalispell, Bozeman, and Billings attracted the most new residents between 2020 and 2023.
Headwinds
Montana was ranked the "least affordable" state by the National Association of Realtors in 2024, with incremental progress in 2025. The state's population growth in 2024 was the lowest since 2002, and 2025 is projected to be even slower. Resource-based industries like mining, wood, and crops experienced downturns in 2024 and remained mostly the same in 2025.
Key facts
- Montana's average home value was $466,917 in March 2026, an increase of 1.1% over the past year.
- In 2025, Montana passed major income and property tax cuts.
- The Montana Department of Transportation is proceeding with $65 million in US Highway 93 reconstruction projects, with construction anticipated to begin in 2026 and 2027.
- Montana's Gross State Product (GSP) reached $60.2 billion in 2025, growing 3.8% over the preceding five years.
- The state legislature passed Senate Bill 243 in 2025, allowing taller buildings in municipalities with over 5,000 residents, with maximum height restrictions not permitted to be lower than 60 feet.