Average rent prices in the area have also experienced fluctuations over the years. In 2013, the average rent was $368, which increased to $668 by 2018, representing an 81.5% increase over five years. However, there was a notable decrease in 2021, with the average rent dropping to $424, before rising again to $644 in 2022.

Regarding federal interest rates, they remained relatively low from 2010 to 2021, ranging from 0.08% to 2.16%. In 2022, there was a significant increase to 1.68%, which could potentially impact homeownership affordability in the area.

In 2023 and 2024, we observe some changes in the housing market. The average home price in 2023 was $576,356, showing a decrease from the 2022 peak. However, in 2024, the average home price increased to $604,396. Concurrently, federal interest rates rose significantly to 5.02% in 2023 and further to 5.33% in 2024. These higher interest rates could potentially affect homebuying decisions and overall market dynamics.

Looking ahead, based on the historical data and recent trends, we can project potential scenarios for the next five years. If the current pattern continues, we might see average home prices in Cooke City continue to rise, potentially reaching around $700,000 to $750,000 by 2029. However, this growth rate may moderate due to the recent interest rate increases. Average rent prices could potentially stabilize around $700 to $750 per month, assuming no major economic shifts or changes in local regulations.

In summary, Cooke City presents a unique case with its extremely low population density. Despite this, the area has seen significant growth in average home prices over the past decade, with some volatility in average rent prices. The recent increases in federal interest rates and the slight dip in 2023 home prices suggest a potential shift in market dynamics. As we move forward, it will be crucial to monitor how these factors influence the local real estate market in this distinctive Montana community.