Executive Summary
- The median home price in Great Falls, Montana, is stable at approximately $380,000, marking a 6% increase from the previous year.
- An expert from the Great Falls Association of Realtors warns that waiting for lower interest rates could lead to increased buyer competition and higher prices.
- NeighborWorks Great Falls offers a HomeStretch program providing 30% of a home’s cost as a deferred second mortgage for down payment assistance.
In Great Falls, Montana, the housing market is holding steady with a median home price of approximately $380,000, creating ongoing challenges for first-time homebuyers. In response, the nonprofit NeighborWorks Great Falls has launched its HomeStretch program to provide significant down payment assistance to middle-income families navigating the competitive market.
According to Zac Griffin, CEO of the Great Falls Association of Realtors, the current median price represents a 6% increase over the last year. He noted that while the market trend is currently flat, factors such as interest rates and high home values continue to be significant hurdles for new buyers. “You’re fighting a historic trend line where housing prices are at an all time high,” Griffin stated.
Griffin also cautioned potential buyers against waiting for interest rates to fall, suggesting that such a shift could intensify competition. “If you do wait and let’s say interest rates do drop in the five range, you’re going to have another pool of buyers that haven’t been able to buy a home, enter the buying market and it will cause a buying frenzy, which therefore usually drives market prices up,” he explained.
To address affordability, the HomeStretch program offers a critical lifeline. Sherrie Arey, executive director of NeighborWorks Great Falls, detailed the initiative. “The program provides 30% of the home cost as a down payment assistance program. It’s a deferred second mortgage on the home,” Arey said. The funds are repaid when the owner sells or refinances the property, allowing the capital to be recycled to assist future homebuyers.
The program is already showing positive results, with one family having successfully closed on a home and more in progress. Jenna Schuff, director of lending at NeighborWorks Great Falls, described the experience as deeply rewarding. “It’s really awesome to just see, that missing middle that we talk about get into homes and the stories and the excitement of not having to wait five more years for renting,” Schuff remarked.
Local Support in a Challenging Market
While national housing trends present difficulties, the Great Falls market demonstrates resilience with stable pricing. Local initiatives like the HomeStretch program are providing tangible financial solutions, enabling aspiring homeowners to overcome entry barriers and secure housing in the community.