Billings, the largest city in Montana, is one of the areas that has seen a notable increase in demand from out-of-state movers since the pandemic. To put it simply, the rate of increase over the past five years has exceeded the national average.

According to Zillow, the average home value in Billings is currently around $398,000. This is an increase of about 41% compared to the low $280,000 range at the beginning of 2021.

Year by year, from 2021 to 2022, there was a surge in the population moving to Montana from other states during the pandemic, leading to double-digit increases. However, from late 2022 to 2023, the impact of rising interest rates significantly reduced the rate of increase. Recently, from 2024 onward, the growth rate has clearly slowed to around 1% to 2% per year.

Compared to the national average increase of 35% to 45% during the same period, Billings has recorded an increase closer to the upper end of that range.

The reasons for this increase include the influx of out-of-state movers due to the rise of remote work after the pandemic, a strong foundation in energy and agriculture-related industries, and the inability of new housing supply to keep up with demand.

Looking ahead, given that the recent growth rate has slowed to around 1%, it seems reasonable to conclude that the market has entered a stabilization phase rather than experiencing the rapid increases seen during the pandemic.

For Korean households, considering that the area has already seen significant price increases, it may be better to prioritize actual living conditions and local amenities rather than expecting further price hikes.

The Billings market is likely to continue to move in tandem with the overall economic trends in Montana, and I will keep you updated on relevant indicators.