Kalispell Market Report: Residential Homes – July 2022

Kalispell Market Report: Residential Homes – July 2022

Following is an overview of the Kalispell Montana real estate results for the residential market as of July 2022. This report covers the entire residential market, including single family homes, townhouses, condominiums and manufactured homes.

The Kalispell residential market continues to move towards a balanced market.

Sales Volume

In the month of July 2022, there were 88 residential sales in Kalispell which is slightly more than last month but 32% less than last year. With one exception, every month this year has had lower sales than last year. Buyer demand has softened.

Inventory

In terms of available homes on the market, inventory has seen significant upward movement. As of the beginning of August, there are 10% more homes on the market than there were in early July and 170% more than in March. Currently there are 320 homes on the market in Kalispell which is the most we have seen in several years.

Of the homes currently available, 57 are condominiums, 15 are townhouses, nine are manufactured homes and the rest are single family homes.

In the past twelve months, 1,036 residential homes sold in Kalispell which is an average of 86.3 per month. With 320 homes currently for sale, that means there is almost four months of inventory currently available. It’s been several years since Kalispell has seen that much inventory.

Kalispell does remain a seller’s market but only four or five months of inventory would be needed for a balanced market. With nearly 4 months of inventory available, we are getting close to a market where neither buyers nor sellers have the upper hand.

Median Sales Prices

For most of 2021, median price points in Kalispell fluctuated between $400-500K. In January 2022, the median price point returned to the level it was in most of 2021, which was $447K. And February’s median price point was $475K, a slight increase. I was expecting the March number to be in the same ballpark, but the March median sales price jumped to $513K, April was at $572K, May was $595K and surprisingly enough June was $653K. So while everything else was pointing to a market that was moving more towards a balanced one, as of June, prices were not in alignment. I indicated in last month’s report that this could be strictly a timing issue, as homes that close were under contract a month or two earlier. That seems to have played out, as the July median price point dropped to $534K.

Another interesting data point is that 36% of all currently listed homes have seen recent price decreases. The median amount of decrease in price is 7%, but it has reached a 38% reduction. August has even more inventory with price decreases than we saw last month.

Type of homes being sold

To get an idea of the types of homes that are selling in Kalispell, the lowest priced home that sold in July was a ~950 square foot condo with two bedrooms and one and a half bath in  town. It sold for less than $240K. The most expensive home was a three bedroom, three bath ~3,700 square foot home with 14 acres of land, 360º views and more. This home sold for around $2M.

Kalispell has just about any kind of property you can imagine. Brand new four bedroom homes, large custom homes, manufactured homes, small off-the-grid cabins and everything in between!

Summary

The residential real estate market in Kalispell Montana is moving towards a more balanced market.

If you have any specific questions about Kalispell or any other part of the Flathead Valley or would like to see the market data for a specific residential segment, feel free to contact me.

If you are wondering what you might be able to get for your Montana home, or need help selling your home or finding the perfect new land or home to purchase, call me! I can be reached at 406-270-3667 or kat@thehousekat.com.

For more information on Kalispell, Montana, feel free to read this overview.

Previous Kalispell MT market reports can be found here.

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