Residential Real Estate in Gallatin Valley

Here are a few highlights quoted from the latest report:

While the 2017 housing market was marked by renewed optimism fueled by stock market strength, higher wages and a competitive environment for home sales, 2018 delivered a more seasoned prudence toward residential real estate. Home buyers, now steeped in several years of rising prices and low inventory, became more selective in their purchase choices as housing affordability achieved a ten-year low.

Sales: Pending sales increased 0.4 percent, closing 2018 at 2,439. Closed sales were up 1.6 percent to finish the year at 2,486. Listings: Year-over-year, the number of homes available for sale was lower by 14.6 percent. There were 854 active listings at the end of 2018. New listings decreased by 2.5 percent to finish the year at 2,916.

New Construction: Nationally, builder confidence was up in the early part of the year but grew cautious amidst increasing interest rates and affordability concerns. Previously owned homes have seen months of supply drop from 3.1 to 2.7 months over the last five years, and new construction supply has dropped from 4.1 to 3.5 months.

Prices: Home prices were up compared to last year. The overall median sales price increased 13.2 percent to $374,750 for the year. Residential home prices were up 11.3 percent compared to last year, and Condominium home prices were up 13.3 percent.

List Price Received: Sellers received, on average, 98.4 percent of their original list price at sale, a year-over-year reduction of 0.1 percent. If demand shrinks in 2019, original list price received at sale could drop as well.