Flathead Lake Real Estate
It almost feels like we skipped spring and went right to summer in the Flathead Valley! We have enjoyed several days with well above normal temperatures, and memories of the cold, dark days of winter are fading quickly.
While we did not have any closed sales to report for the month of April, there were five total sales reported in May. Three sales reported were over the $2M mark.
Rising interest rates and inflationary pressures have imposed a cooling effect on the primary residential market that is spilling over into the waterfront sector. Overall prices are still relatively high, but the lack of inventory will result in significantly fewer transactions and lower sales volume in 2023.
Pricing and Sales Summary:
Active Waterfront Listings
Residential and land waterfront inventory continues to hold record low levels. The combination of record sales over the past 24 months along with a lack of motivation for sellers to give up their Montana real estate continues to put downward pressure on inventory.
The combined land and residential listing total of 37 listings is significantly down, especially compared to the pre-Covid era market. In June of 2019, we were carrying 137 total listings on the lake.
Median residential prices had been consistently rising over the past 12 months from $3.5M to over $5.5M due to a lack of inventory and high-priced listings persisting. The spring listing season has introduced a handful of lower-priced listings dropping the median price to just around $4M. Land prices held at just under $1.5M. With such limited inventory of both residential and land listings, median price trends have become volatile with higher-priced listings coming on and off the market.
Based on these data, it appears we have reached a plateau in prices and the sustainable bottom of inventory for the time being.
Flathead Lake Condominium Market
With nearly two dozen waterfront condominium communities around Flathead Lake, there has historically been plenty of options for buyers who want the waterfront lifestyle without having to worry about maintaining a lake home.
Below is a summary of currently active and sold units so far this year. The condo market has followed the single-family waterfront market to record low inventories and increasing prices.