Kalispell Market Report: Residential Homes – June 2022

Kalispell Market Report: Residential Homes – June 2022

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

The Kalispell residential market remains a sellers market, but the market is shifting.

Sales Volume

In the month of June 2022, there were 80 residential sales in Kalispell which is 39% less than last year and 17% less than last month. With one exception, every month this year has had lower sales than last year. There may be multiple reasons including interest rates changes, but it does appear that buyer demand may be softening.

Inventory

In terms of available homes on the market, inventory has seen significant upward movement. As of the beginning of July, there are 33% more homes on the market than there were in early June. Currently there are 290 homes on the market in Kalispell. While inventory does typically increase in the Spring and early Summer, the last time we had this many homes on the market was in October 2019.

Of the homes currently available, 56 are condominiums, 12 are townhouses, nine are manufactured homes and the rest are single family homes.

In the past twelve months, 1,062 residential homes sold in Kalispell which is an average of 88.5 per month. With 290 homes currently for sale, that means there are almost three and a half months of inventory currently available. It’s been several years since Kalispell has seen that much inventory.

Kalispell does remain a seller’s market. Four or five months of inventory would be needed for a balanced market. 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 is pointing to a market that is moving more towards a balanced one, prices are not. This could be strictly a timing issue, as homes that close now were under contract sometime earlier this year. Perhaps we will see some prices flattening and/or decreases in the next few months.

Another interesting data point is that  29% of all currently listed homes have seen recent price decreases. The median amount of decrease in price is 7%, but it has reached a 32% reduction. July 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 June was a ~700 square foot home with two bedrooms and one bath on the east side of town. It sold for less than $190K. The most expensive home was a six bedroom, seven bath ~6.300 square foot home with 18 acres of land, 360º views and more. This home sold for more than $2.5M.

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 continues to be a sellers market but data suggests it 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.

Thank you for reading “Kalispell Market Report: Residential Homes – June 2022”