2021 Bozeman Real Estate Market Prediction – Residential Sales History
The 2021 Bozeman Real Estate Forecast Calls For:
1. Below average availability ⇓ of residential property. 2. Continued increase in Bozeman home prices ⇑. 3. Significant new Bozeman home ⇑ construction. 4. Slight increase in home mortgage rates ⇑.
|NEW LISTINGS*||Total New Listings||New Inside Bozeman||New Outside Bozeman|
The 2021 U.S. real estate prediction from the National Association of REALTORS® (NAR) chief economist: Lawrence Yun predicts home sales in 2021 will rise ⇑ 9 percent, prices for homes will rise ⇑ 3 percent, new-home sales will increase by a significant ⇑ 23 percent, and home mortgage rates will rise ⇑ 1/10 of 1 percent.
How the 2021 Bozeman Real Estate Forecast Is Progressing, April 2021
Chart 1: April 2021: “New Listings” (*homes, condos, townhomes) began rising in January 2021, from a low of 96 to the present 145 in April 2021. Low new listings numbers have given over to increasing numbers in Q2 2021. This rise in new listings has not impacted why houses cost so much in Bozeman.
Though listing numbers are rising, there are fewer numbers in April compared to previous years, as chart 1 indicates. The primary reason for low listings all around but especially inside the city in Q1 2021 was most likely due to high home sales in 2020, and...
…apparently, fewer than normal Bozeman homeowners wanted to sell in Q1 2021. This trend of fewer listings appears to be continuing in Q2 2021.
Late spring and summer will give us a more accurate indication as to whether our seller’s market will surpass 2020’s; more than likely people are moving to Bozeman and fewer and fewer desire to leave at this time.
Unless we have a national incident or interest rates climb, prices won’t be dropping in Bozeman for quite some time.
Montana’s Hottest Real Estate Market – Bozeman Housing Boom 2021
And, no one imagined that Bozeman would have its greatest volume year ever, $1.08 billion in sales in 2020.
Inventory continues to fall into Q2, April 2021, with the number of homes, condos, and townhouses together at 206, down from the May 2020 high of 405 and down from a mid-decade, May 2015, high of 555. So how much does a Bozeman home cost at this time?
History, Bozeman Building Permits Issued
The most recent Bozeman building permit numbers come from December 2020: 328. Compare this to the city of Bozeman issuing 104 building permits in July 2020. Home construction and home remodeling is on the increase in Bozeman
|MONTH (most recent)||2021||DECEMBER 2020||NOVEMBER 2020||OCTOBER 2020|
|BUILDING PERMITS ⇑||# Pending||80||82||133|
Chart 2: In April 2021, average days on market (ADOM) inside Bozeman is 35 and outside Bozeman, 58.
April 2021: inside Bozeman, ADOM has been dropping since early October 2020 and has been dropping ever since.
2020 Review: Covid-19 pushed us into a housing boom in Bozeman, which also precipitated a commercial real estate explosion with construction of apartment buildings, new hotels, new schools, retail projects, and more.
Bozeman also continued addressing overdue road maintenance, street-building, and infrastructure expansion.