The Flathead Valley actual property market has seen astronomical demand all through the previous 12 months, and the latest month-to-month information continues to point out staggering outcomes.
In keeping with the Northwest Montana Realtors Affiliation, purchaser demand in March grew steadily, regardless of rising house costs and mortgage charges.
This demand solely tilts the steadiness increasingly within the course of the sellers market. Native shares, already severely depleted, have been additional lowered by typical spring exercise out there and relaxed COVID-19 insurance policies.
“Current house sellers and new development exercise proceed to stay beneath the degrees wanted to revive market steadiness, indicating a busy and aggressive purchaser’s market within the coming months,” stated the NMAR’s March Market Report.
The stock of single-family houses decreased by virtually 67% from March 2020 to March 2021. Townhouses and condos noticed a good steeper drop year-over-year, down 79.4% in comparison with the stock of final March.
From 2019 to 2020, the stock of single-family houses fell solely 7.3%.
Estimates counsel that there’s solely a few month of stock left within the valley for single-family houses, and about half a month of stock for townhouses and condos.
That is down from 4.7 months for single-family houses and 4.2 months for townhouses and condos in March 2020.
New listings of single-family houses have been down 27.3% from final March, however townhouses and condos have been really up 16.7%.
THE AVAILABILITY homes is only one issue within the growth within the native actual property business.
Median single-family house promoting costs elevated 39.3% from March 2020 to March 2021, reaching $ 485,000.
The median sale value of a townhouse or rental reached $ 330,000, up 24.5%.
The common variety of days in the marketplace fell 52.2% within the single-family house class this 12 months. Townhouses and condos noticed a mean drop of twenty-two.4% of days spent in the marketplace.
There may be nonetheless no finish in sight for the growth in actual property within the valley.
Homebuilders are feeling the constraints of a restricted workforce, excessive materials prices – particularly lumber – and a backlog of provide chain.
New development strategies like 3D printed homes maintain promise for the business, however in accordance with NMAR these developments “are literally a number of years away from having a measurable impression in the marketplace.”
Journalist Bret Anne Serbin might be reached at 758-4459 or [email protected]