Exploring the Missoula Real Estate Market in August 2023
As summer breezes through the picturesque landscape of Missoula, Montana, the real estate market takes a slower turn during the summer peak season in 2023. August 2023 reveals a market that’s holding steady, displaying unique characteristics that reflect both the recent past and the current landscape.
Home Appreciation Continues at a Moderate Pace
One of the defining features of the Missoula real estate market this year is the steady appreciation of property values. With an estimated appreciation rate of 4-5%, homeowners and investors alike can take heart in the reliable growth of their investments. this moderate yet consistent appreciation creates a sense of stability, making real estate a secure asset for long-term planning.
Housing Inventory
As of August 2023, the Missoula real estate market finds itself in a delicate small upward trend. Housing inventory as of now saw a slow uptick in inventory from 1.6 months of inventory to 1.96 months. With only 1.96 months of inventory on the market, it is still an extreme sellers market. On the bright side, it did trend up during the peak of the summer market but there is still a long way to go to become a normal market.
List-to-Sales Price
The list-to-sales price held steady at 100%. These numbers are telling us that sellers still have the upper hand on negotiating the selling price of the property. There are still some deals to be found in upper and lower price points, but for the majority of the homes on the market, the sellers are getting what they are asking for. We have the feeling that this trend will continue through the rest of the year and into 2024.
Slow Summer Missoula Real Estate Market
Interestingly, the peak of summer isn’t necessarily synonymous with a hyperactive real estate market in Missoula this year. The pace appears to be slightly slower than anticipated for the season. This observation can be linked to several factors, including the post-pandemic adjustments, ongoing economic considerations, and a sense of caution among buyers and sellers. However, this slower tempo doesn’t signify stagnation; rather, it’s a reflection of a more deliberate approach to real estate transactions.
The reverberations of historically low interest rates are still felt in the Missoula real estate market in August 2023. Many homeowners who were fortunate enough to refinance their homes during periods or 2% and 3% interest rates are holding onto their properties. This is one of the factors contributed to the low housing inventory in Missoula. As these homeowners find themselves in comfortable financial position, they may be less inclined to rush into selling their homes.
If you have any questions or are thinking of buying or selling, please give me a call. I can be reached at (406) 926-6767 or [email protected]
