GAR's Monthly Update
RELEASE DATE: October 16, 2023
Is our market shifting?
September real estate numbers are a mixed bag
The Gallatin County residential real estate market saw a mixed bag of statistics in September.
“While recent reports have focused mainly on strong demand, September’s numbers paint a slightly more complex picture,” said Jim Gingery, 2023 GAR Board President. “There are still some indicators of strong demand: homes are selling relatively quickly, around a month or less in both markets, and sellers continue to receive a high percentage of their asking price. Inventory remains tight in both markets, and median sale prices are holding relatively steady, decreasing a few percentage points for single-family homes and increasing for condos and townhomes.
“Other numbers seem to contradict the notion of strong demand: the months supply of inventory has gradually moved toward the threshold between a seller’s market and a more balanced market during the past few months,” Gingery continued. “High interest rates have put a damper on new listings and inventory nationwide, and September’s numbers seem to track with that narrative. We saw fewer new listings in both markets compared to last year, and the decrease in homes coming onto the market most likely played a role in the decreased number of sales. Real estate activity typically decreases as the holidays approach, so it’s too early to say whether this is a shift in the tide of the market or just seasonal shuffling.”
Single Family Market – September 2023
According to statistics published on October 12, the median sales price of single-family homes in Gallatin County decreased 3.9% compared to last September, from $869,000 to $835,000. The number of closed sales fell 7.2%, from 111 to 103. The median number of days homes spent on the market decreased 3%, from 33 to 32. The average percent of list price received increased slightly by 0.9%, from 96.9% to 97.8%. The median cost per square foot sold increased 3.8%, from $373 to $387. The number of pending listings dropped 8.8%, from 91 to 83. New listings fell 20.7% from 135 to 107. Inventory decreased 11.9% from 388 to 342. The months supply of inventory, which is an estimation of the amount of time it would take to sell off the current level of inventory decreased 5%, from 3.5 to 3.32.
Condo/Townhouse Market – September 2023
The median sales price increased 8% in the condo and townhome sector, from $499,000 to $538,750. The number of closed sales fell 17.9% from 56 to 46. The median number of days homes spent on the market dropped 44.7% from 38 to 21. The average percent of list price received increased 0.8%, from 97.8% to 98.5%. The median cost per square foot sold increased 4.6% from $357 to $374. The number of pending sales fell 36.7% from 49 to 31. The number of new listings fell 27.7%, from 83 to 60. Inventory increased slightly by 3.6%, from 197 to 204. The months supply of inventory jumped 26.1%, from 3.52 to 4.43.
Press Contact: Jim Gingery, GAR Board President