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Garrison, Montana: A Decade of Rising Home Values and Shifting Ownership Patterns
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
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Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Garrison, Montana is a small rural community located in Powell County. This town has experienced fluctuating trends in homeownership rates and housing prices over the past decade. The ownership percentage has shown a general decline, while average home prices have seen a significant increase, particularly in recent years. Average rent prices have also risen, albeit more moderately.
The homeownership rate in Garrison has shown a notable decline from 2013 to 2022. In 2013, 62% of residents were homeowners, which increased to a peak of 73% in 2016. However, this trend reversed sharply, dropping to 51% in 2019 before rebounding slightly to 67% in 2022. This fluctuation coincides with changes in average home prices. From 2015 to 2022, average home prices rose from $406,322 to $718,474, representing a substantial 76.8% increase over seven years.
Federal interest rates have played a role in these homeownership trends. The period from 2013 to 2016, when homeownership rates were highest, coincided with historically low interest rates ranging from 0.11% to 0.40%. As interest rates began to rise more steadily from 2017 onwards, reaching 1.68% in 2022, we observed a general decline in homeownership rates. This aligns with the principle that lower interest rates tend to encourage homeownership due to more affordable financing options.
The renter percentage in Garrison has shown an inverse relationship to homeownership rates, naturally increasing as homeownership decreased. In 2013, 37% of residents were renters, which dropped to a low of 27% in 2016 before climbing to 48% in 2019 and then settling at 32% in 2022. Average rent prices have seen a moderate increase over this period, rising from $584 in 2013 to $627 in 2022, an increase of 7.4%. It's worth noting that the population of Garrison decreased from 503 in 2013 to 398 in 2022, which may have influenced these housing trends.
In 2023, the average home price in Garrison was $705,140, showing a slight decrease from the previous year. However, 2024 has seen a rebound, with average home prices reaching $747,876. This increase comes despite the federal interest rate rising to 5.33% in 2024, which is the highest it has been in over two decades.
Looking ahead, we can project future trends based on the data available. Assuming current economic conditions persist, we might expect average home prices in Garrison to continue their upward trajectory, potentially reaching around $850,000 by 2029. Average rent prices could also see a steady increase, possibly approaching $700 per month in the next five years. However, these projections are subject to various economic factors and local market conditions.
In summary, Garrison has experienced a complex interplay between homeownership rates, housing prices, and rental market dynamics. The significant increase in average home prices, coupled with fluctuating homeownership rates, suggests a changing housing landscape in this small Montana community. The recent uptick in federal interest rates may continue to influence these trends, potentially affecting affordability and homeownership rates in the coming years.
