Since the pandemic, the way we live has changed significantly. Many people left crowded urban areas to look for places to afford larger homes with yards and offices when COVID-19 hit.
Some unexpected locations became prime real estate locales, and one of those is Bozeman, Montana.
In reality, while the pandemic sped things up, Bozeman was already on the radar for many people looking to relocate. In 2018, it was the fastest-growing U.S. city of its size.
Bozeman has a charming main street with trendy restaurants, and there’s easy access to a lot of outdoor activities including skiing in the winter, and hiking, biking, and fly-fishing in the summer.
Bozeman is in the Rocky Mountains, and it’s quickly becoming a tech hub attracting millennials from around the country. It’s now being nicknamed Boz Angeles because many celebrities and California residents have moved into town.
Bozeman is about 90 minutes from Yellowstone National Park, and Big Sky is less than an hour away.
It’s not all a paradise, however.
Bozeman Is Expensive
Due to its growing popularity, Bozeman is expensive. You’re going to pay big city prices, and in many cases, they might be on par with what you’d pay somewhere like New York City.
The cost of living in Bozeman is also much higher than wages.
Wages are below the national average, but the cost of living is much higher than the national average.
For remote workers, this might not be an issue, but if you’re looking for employment in person in Bozeman, it could be a problem.
There’s a Lot of Construction
Another downside that comes with the growth of Bozeman is the fact that there’s a lot of construction going on. There’s a shortage of affordable housing, and there are almost no rental vacancies.
The median price for a single-family home in June was $720,000. That’s nearly a 50% increase from June 2020, according to a report from the Gallatin Association of Realtors.
The Real Estate Market
June’s prices were the highest monthly median prices in 2021 for single-family homes in Bozeman.
Even though prices are high, homes are going fast.
Compared to June 2020, single-family homes sold more than twice as fast in June of this year. The average number of days a home was on the market was only 22 days, compared to 55 days last year.
Condos and townhouses in Bozeman are selling even faster—in June, they stayed on the market only for an average of eight days.
The median price of a townhouse or condo went up 58% since June 2020 and has reached a median of $452,500.
Inventory is at record lows, and in June 2021, only 47 homes were available.
Sellers are getting well over asking in many cases, at 103% of their asking price for single-family homes.
Experts in the Bozeman area expect these trends to continue as long as interest rates are low and supply is limited.
This could be especially true since many companies have plans to keep their workers remote for the foreseeable future.
Residents Are Frustrated
Some Bozeman residents are feeling frustrated with the influx of out-of-state residents. According to reports, there is a lot of anti-California sentiment in particular. Residents are feeling upset that they’re being priced out of the housing market, especially.
It’s unlikely that Bozeman will lose its appeal any time soon, especially with its burgeoning tech scene, which could bring more high-paying jobs to the areas although maybe more tension with long-time residents as well.
