The median price of a home in Missoula fell last year for the first time in 15 years, and household incomes are rising. The Missoula Organization of Realtors calls that a notable shift to a more “stable” housing market.
Mortgage lender Matt Gehr summed up the affordability equation.
“More income, lower housing costs, better affordability,” Gehr said. “So, we’re trending in the right direction. We’re not there yet, but we’re seeing, like I said, gradual improvement, steady improvement, greater stability and predictability.”
Area realtors say the dip in prices is largely being driven by buyers negotiating for concessions, not by large price cuts. Median home prices fell $12,000, but remain more than 50% higher than in 2020.
Missoula is generally keeping a healthy number of homes on the market – though affordable homes typically sell very quickly. Meanwhile, there’s a glut of seven-figure residences for sale that are languishing on the market for longer.
Realtors say more supply is needed for housing prices to continue falling.
