That's why I bought in Wyoming where taxes are relatively cheap compared to Montana.
I see lots of great agent responses here to your question about purchasing a property in Bozeman! Did they inspire you to move forward with your purchase?
As so many others have highlighted for you, this is an excellent time to invest in Bozeman's market; especially if you have some flexibility. Current interest rates are hovering around 3.25-4.25%. If you were able to purchase of the great condo's or townhomes currently listed in our market you would have a competitive interest rate that would provide the opportunity for a monthly cash return.
In our market we usually see a 5-7% return on rentals. When the interest rates are higher it is harder to sell a customer on the advantages of investing as they are relying on the home to appreciate to see a return. With the current interest rates, not only will you be buying in an exceedingly competitive market, but you will also see a monthly cash return.
As a side note, 50% of homes listed in Bozeman are selling in 30 days or less when priced at or below $250,000. Hopefully that will give you a sense of the nature of our current market.
Good luck in your search! I would love to be of assistance if you do decide to invest.
For reasonable pricing on a family rental you might try the area near Emily Dickinson or Hyalite School. For a vacation rental think close to downtown, easy access to Bridger Bowl and Yellowstone--again either near downtown or towards Bridger Canyon.
There seems to be quite an inventory right now, so don't settle until you really get to know the local market. Inventory is still high, but the better properties aren't sitting as long.
I think the market here has bottomed out but is still climbing out. Now would be a good time to buy if you can stand to have some rental company manage it for income until you want to use it yourself. I don't think interest rates will be as low in 4 to 5 years as they are now.
Properties that are well located and in good condition are renting in a matter of days in the current market. I am hearing almost daily from people that they can not find rentals. I would be happy to visit with you further regarding other reasons why I believe that waiting 4-5 years to by might be a mistake. With the time/value of money you should strike while the iron is hot!
Prudential Montana Real Estate
1925 N. 22nd, Suite 201
Bozeman, MT 59718
Re/max Realty Group
There is no better time to make an investment in real estate than right now. It's anyone's guess what interest rates, availability of inventory or prices of quality condos will be years from now. What's even better news for you is that there currently appears to be a rental shortage in Bozeman -- especially for nicer 3/2 rentals. Let me know how I can help! Dianne Click, Bozeman Broker Group
The prices in Bozeman are still near the bottom of the market. That coupled with interest rates near historic lows makes right now an amazing time to buy in Bozeman. If you were to purchase sooner then later you could either do yearly rentals or VRBO weekly rentals to help you carry the property until you need to use it. On a different note what part of MN do you hail from. I moved to Bozeman 18 years ago from the Twin Cities. Best of luck on your hunt.
Realty Executives of Gallatin Valley
REALTOR, ABR, SFR