T
he housing market in northwest Montana is slowly thawing as inventory expands and prospective homebuyers grow tired of waiting for high mortgage rates to drop. Despite flat numbers, Wendy Brown of PureWest Real Estate in Kalispell notes an uptick in activity due to new builds coming online and the region's desirability.

    Brown attributes the market's thawing to people realizing that if they don't buy a home, someone else will. Some sellers are offering incentives like buying down interest rates or covering closing costs for a handful of homes. Reasonably priced houses are seeing multiple offers and few days on the market, with the average days on market dropping in most areas compared to last year.

    In Kalispell, the median sales price remains high at $562,500, while Columbia Falls dropped to 84 days on market from 111 days in May of 2024. Whitefish saw a significant drop to 83 days on market from 198 last May, according to Montana Regional MLS data.

    Flathead County's price range between $240,000 and $400,000 is seeing the highest volume of closed sales, while homes under $299,000 are seeing the fewest. Brown notes that properties priced too high are experiencing price drops when they sit on the market for too long.

    The nationwide housing market remains frozen, but northwest Montana is showing signs of recovery. New home construction has added to the inventory, with a 20% nationwide increase last month compared to May 2024. The City of Kalispell has approved numerous developments that are starting to come online, which will add to the Flathead's inventory.

    While high costs continue to keep some prospective homebuyers out of the market, Brown notes that life events like divorce, death, and marriage drive real estate activity. Despite this barrier, the market is slowly recovering, with closed sales rising in Flathead County last month compared to May 2024.