Compare different loan terms using your home price of $350,000 with $70,000 down at 6.8%.
15-Year Fixed
$2,401/mo
Total interest: $152,141
Total cost: $432,141
Save $221,646 vs 30-year
20-Year Fixed
$2,088/mo
Total interest: $221,025
Total cost: $501,025
Save $152,762 vs 30-year
30-Year Fixed (Current)
$1,816/mo
Total interest: $373,787
Total cost: $653,787
Lowest monthly payment
Pro
Professional Simulator
Complete financial model: closing costs breakdown, rent vs buy, inflation-adjusted returns, true cost of ownership
years
%
%
%
%
10-Year Net Gain/Loss
-$173,685
After selling in year 10 at $493,710
Total Paid Over Hold Period
$398,929
Down + closing + all payments
Home Value at Sale
$493,710
3.5%/ yr appreciation
Selling Costs
$29,623
6% of sale price
Net Sale Proceeds
$225,244
After mortgage payoff + selling costs
Real Interest Rate
4.25%
Nominal 6.8% - inflation 2.5%
Real Monthly Payment
$1,254
Today's dollars (mid-loan)
State Property Tax
$5,600
TX rate: 1.6%
True Monthly Cost
$2,499
PITI + HOA + maintenance
Buying a Home in Montana
Montana's housing market has been transformed over the past five years by an extraordinary influx of remote workers and lifestyle migrants drawn to the state's spectacular scenery, outdoor recreation, and perceived affordability relative to coastal states. The result has been dramatic price appreciation, with the average home price now at $420,000. Bozeman — the fastest-growing small city in the country for several years — has seen median prices approach and in some neighborhoods exceed $700,000, making it one of the most expensive non-coastal markets in the Mountain West.
Missoula, home to the University of Montana and a long-established arts and outdoor community, has also seen significant price gains. Whitefish and Kalispell near Glacier National Park represent premium resort-adjacent markets with high prices and strong vacation rental demand. Billings, the state's largest city, remains considerably more affordable and offers a diversified economy based on healthcare, energy, and agriculture.
Montana has no state sales tax, which provides ongoing savings on everyday purchases. The state's property tax rate of 0.74% is below average, and Montana Housing's 0% down payment assistance loan with no monthly payments is one of the more creative assistance products in the region. Buyers should be aware that in competitive markets like Bozeman and Missoula, multiple-offer situations remain common even at current elevated price levels.
Key Housing Facts for Montana
Average home price: $420,000
Average effective property tax rate: 0.74%
Average homeowners insurance: $1,400/year
No state sales tax
Most expensive markets: Bozeman, Whitefish, Missoula
More affordable markets: Billings, Great Falls, Helena, Butte
Frequently Asked Questions
Montana's average effective property tax rate is approximately 0.74%, below the national average. On a $420,000 home, you'd pay roughly $3,108 per year in property taxes. Montana also has no state sales tax, which provides meaningful everyday savings. A residential property tax assistance program exists for qualifying lower-income homeowners.
Montana Housing (part of the Montana Department of Commerce) offers the Regular Bond program with below-market interest rates and the MBOH Plus 0% Deferred Down Payment Assistance loan providing up to 5% of the purchase price with no interest and no monthly payments. The Bond Advantage program pairs a first mortgage with down payment assistance. Income and purchase price limits vary by county.
Montana experienced a dramatic influx of remote workers and lifestyle migrants from California, Washington, and other high-cost states between 2020 and 2023. The combination of natural beauty, outdoor recreation, and relatively lower prices attracted significant in-migration that overwhelmed the state's limited housing supply. Bozeman in particular saw some of the most extreme appreciation of any market in the country during this period, with median prices effectively doubling.
Billings, Montana's largest city, remains more affordable than Bozeman or Missoula and offers a stable economy anchored by healthcare, energy, and agriculture. Great Falls and Helena also offer significantly lower prices than the resort-adjacent markets. Butte has historically been one of Montana's most affordable cities, with an active local economy and significant historic housing stock.