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Hardin, Montana: Rising Home Values Amidst Shifting Ownership Trends
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Hardin, Montana, located in Big Horn County, is a small urban center with a rich history tied to the nearby Crow Indian Reservation. Over the past decade, this city has experienced notable shifts in its housing market dynamics, reflecting changing economic conditions and demographic trends. The homeownership rate in Hardin has fluctuated significantly since 2013. In 2013, 68% of housing units were owner-occupied. This percentage decreased steadily to 53% by 2018, indicating a shift towards renting. However, the trend reversed in recent years, with homeownership rising to 62% by 2022. Concurrently, average home prices have shown a consistent upward trajectory. From 2016 to 2022, average home prices in Hardin increased from $118,117 to $219,032, representing an impressive 85% growth over six years.
The relationship between federal interest rates and homeownership rates in Hardin aligns with typical economic patterns. As interest rates remained low between 2013 and 2016, dropping from 0.11% to 0.40%, the city experienced a decline in homeownership. This counterintuitive trend might be attributed to other local economic factors. However, as interest rates began to rise more significantly from 2017 (1%) to 2019 (2.16%), homeownership rates stabilized and then increased, possibly due to buyers rushing to secure mortgages before rates climbed further.
Renter percentages in Hardin have mirrored the inverse of homeownership trends. The proportion of renters increased from 32% in 2013 to a peak of 47% in 2018, before declining to 38% by 2022. Average rent prices have shown volatility during this period. In 2013, the average rent was $688, which rose to $803 in 2016, representing a 17% increase. However, rent prices then declined, reaching $627 in 2019, before climbing again to $699 in 2022. These fluctuations in rent prices don't show a clear correlation with the changes in renter percentages, suggesting that other factors such as local economic conditions and housing supply may have played a significant role.
In 2023 and 2024, Hardin's housing market continued its upward trajectory. The average home price reached $230,128 in 2023 and further increased to $239,447 in 2024, representing a 4.1% and 9.3% year-over-year growth, respectively. This growth occurred despite the federal interest rate rising to 5.02% in 2023 and 5.33% in 2024, indicating strong demand in the local housing market.
Looking ahead, based on the trends observed, we can forecast that average home prices in Hardin are likely to continue their upward trajectory over the next five years, albeit potentially at a slower pace due to higher interest rates. Average home prices could potentially reach around $280,000 by 2029. Rent prices, which have shown more volatility, are harder to predict but may stabilize or show modest increases, potentially reaching an average of $750-$800 per month by 2029.
In summary, Hardin has experienced a resurgence in homeownership since 2018, coupled with significant growth in average home prices. The rental market has shown more volatility, both in terms of renter percentages and average rent prices. Despite rising interest rates, the housing market in Hardin remains robust, with continued price appreciation expected in the coming years.
