As of February 20, 2026, the real estate market in Montana shows no signs of slowing down, with prices continuing to soar and demand for properties remaining at an all-time high. This trend is fueled by an influx of out-of-state buyers looking to relocate to Montana for its natural beauty, outdoor recreational opportunities, and lower cost of living compared to major metropolitan areas.According to the latest data from the Montana Association of Realtors, the median home price in the state has increased by 15% year-over-year, with the average home now selling for $400,000. This rise in prices is being driven by a lack of inventory, as more buyers compete for fewer available properties.One area that has seen particularly strong growth is the city of Bozeman, which has become a popular destination for tech industry professionals looking to escape the high costs of living in cities like San Francisco and Seattle. In Bozeman, the median home price has increased by 20% in the past year, with bidding wars becoming the norm for many properties.In Missoula, another hot real estate market in Montana, prices have increased by 18% year-over-year, with homes selling within days of being listed. The demand for housing in Missoula is being driven by its vibrant arts and culture scene, as well as its proximity to outdoor recreational activities like hiking, fishing, and skiing.Rural areas of Montana are also seeing an uptick in real estate activity, as more buyers seek out seclusion and natural beauty. Properties with acreage and stunning mountain views are in high demand, with many buyers willing to pay a premium for the perfect getaway.Real estate experts predict that the trend of rising prices and high demand will continue throughout 2026, as more buyers discover the appeal of living in Montana. However, some are concerned that this rapid growth could lead to issues of affordability for local residents, as wages in the state struggle to keep pace with rising housing costs.Overall, the real estate market in Montana is booming, with no end in sight to the surge in prices and demand for properties. Buyers and sellers alike are encouraged to work with experienced real estate professionals to navigate this competitive market and make the most of the current opportunities available.