The Real Estate market in Bozeman has been roaring back to life as warmer weather descends on the area. Activity levels are very high, and many appropriately priced properties are seeing multiple offers again.

The single family home market in Bozeman has been leading the way, with land, condos, and other areas lagging, but still picking up some steam. Subdivision lots are selling at a faster pace than in the past few years, and many new homes are being started as builders look to add to the inventory and buyers have difficulty finding exactly what they are looking for.

The one issue facing the market right now is inventory. There are a lot of homes on the market, but many are overpriced and not seeing much action. When new listings do hit the market and are priced to current market conditions, they usually see a lot of activity and often attract multiple offers.

Foreclosures are still coming on the market, and will most likely continue to come on in the coming months and possibly years. However, these distressed sales, including bank owned homes and short sales, are making up approximately 23% of sales in the segment of Bozeman single family homes. They are usually absorbed at a very fast rate and often attract multiple offers and even sell for more than asking price.

There are even some signs that single family home values in Bozeman may be starting to tick upwards. I expect prices to remain volatile over the coming months, but many, including myself, believe the worst is behind us. Condos, especially those that are difficult to finance, will most likely lag behind single family homes in regaining value.

As usual, I have included data for the number of homes sold during the first three month of 2012. In addition to the 108 homes sold during this time period, another 93 homes are currently pending, or under contract, as of the date of writing this article.

The included data reflects sales of homes in the greater Bozeman area, including Four Corners, Gallatin Gateway, Bridger Canyon, and Bozeman city limits. The data includes home sales reported through the local Southwest Montana MLS, and does not include private party sales, Condominiums, or Townhouses.

Tim Ford – REALTOR ©