Great Falls, MT · Member since 2017 · 97 posts · 172 votes
7y
Some history and perspective from a 3rd generation Montanan, and someone who has been investing here for 18 years:
There are a few markets (Bozeman, the Flathead Valley, and Missoula) that are volatile. I bought a condo in Bozeman in 2007 for 164K . It seemed like a steal, because I'd spent the previous five years in So Cal with the military. I did not do my homework, and compared to LA prices, that condo seemed affordable. If this isn't obvious...I am warning people coming into the Montana markets from more expensive states or states with better job markets. Montana is it's own beast. By 2008, that condo value tanked to 115K. I graduated from my Masters program at MSU in 2009, and had to leave Bozeman due to the dismal job market. I could get a job, but positions in Bozeman were paying half of what the exact same job was paying in Great Falls. Why? Bozeman is awesome and many people are willing to work for min wage WITH a graduate degree just to stay there. Bozeman overbuilt so badly, that rents also decreased sharply and rapidly. I was able to rent that condo for $1300 when I bought and $800 when I left two years later. I broke even ONLY because I put down 20%.
I broke even for 8 years (when I was making more than the 1% rule in more stable markets)! Fast forward to the present....in the past 2-3 years, the value of this condo shot up to 235K! It has well-surpassed the pre-recession value. I currently rent that condo for $1450. The wages in Bozeman are NOT equivalent to the cost of housing and living. There's a reason us natives call it Bozangeles.
I am 1031 exchanging this condo for two properties (a tri-plex and a duplex) in Great Falls in the spring. People who don't understand Montana and the history think I'm crazy. They think Bozeman will continue to appreciate. In my opinion, the markets in these areas are not sustainable, and they will take the biggest "hits" when the market corrects. Only invest here if you can afford to ride out a market correction for the next 10 years. Seriously.
I am an advocate for more stable Montana markets. They aren't as "trendy" but they are where the money is at. It will be very difficult to make the 1% rule in Bozeman, Missoula, or the Flathead Valley, but it is obtainable in other Montana markets. During the last recession, values in Great Falls "dipped" a little. My rents decreased by $50 a month. Also, the values and rents recovered much more quickly.
Remember, a good rule of thumb is: "The best predictor of future behaviors is past behavior".
Investor · Billings, MT · Member since 2010 · 6 posts · 3 votes
10y
I'm a little late getting to this post and I can't believe I'm the only Billings guy to comment so far (I think). I'm a full-time investor here in Billings but would love to connect with some other people working across the state.
Investor · Great Falls, MT · Member since 2014 · 163 posts · 132 votes
10y
Since this thread is the epic Montana thread of all ages I figured I'd remind you guys day after tomorrow is the monthly Great Falls meetup at the Tap House. @MARK MONTANO you still around? One of our group just bought an REO duplex and another a quad. Pretty exciting stuff!
Rental Property Investor · Centerton, AR · Member since 2014 · 54 posts · 28 votes
10y
@George N. I have to be at work at 630pm tomorrow. I'm going to try and reschedule for earlier in the day, but it doesn't look like I'm going to make this one either.
Real Estate Agent · Hendersonville, NC · Member since 2015 · 8 posts · 2 votes
10y
Hi Everyone,
I am a new investor building my investment business as we speak here in Bozeman. I'm looking to bridge the distance gap by getting to know investors here on Bigger Pockets from Montana.
I plan to be active on the site and engage in the community as well as join in on the Meet Up Cash Flow group in Bozeman starting in December.
I am SUPER pumped about the exciting world of RE investing.
Townsend, MT · Member since 2015 · 16 posts · 2 votes
10y
It's great to hear so many Montana investors on PB! I'm just trying to learn all I can on BP. I just saw this post and thought I would try to revive it. I would love to meet with any BP members in Helena. I also travel to Great Falls about once a week for my non-REI job. @George Nikolakakos are there still meet ups in Great Falls?
Fayettville, NC · Member since 2015 · 3 posts · 0 votes
10y
Hello from Billings,
I am new to REI, but eager to learn more. I have yet to buy anything, let alone my own house. I would like to get a multi family house to rent out and live in.
Investor · Missoula, MT · Member since 2015 · 18 posts · 3 votes
10y
Hey guys I am beginning my career in REI as well and am about to purchase my first property. If anyone is driving through Missoula anytime and wants to grab a coffee, feel free to shoot me a message.
Rapid City, SD · Member since 2015 · 52 posts · 7 votes
10y
Hello everyone! My name is Jae and I'm also located in Billing Mt. I just started my REI adventure as well and I look forward to seeing everyone at the Real Estate investor meet up at the end of the month.
If you are in Billings and need more information on the meet up let me know!
-Jae
Billings, MT · Member since 2014 · 1 post · 0 votes
10y
Hello all!
I'm also from Billings and would love to meet up with some locals. I have been listening to the BP podcast for the past two years or so since I graduated from college. I am currently not investing in any properties but hope to get into the game here in the next several years.
Rental Property Investor · Snohomish, WA · Member since 2015 · 25 posts · 7 votes
10y
Hey All,
I'm relocating to the Flathead in late July. It's a bit of a drive from some of you further south, but I'll gladly put in the miles. Looking forward to meeting everyone!
I'll also be in town March 11 - 16th if anyone wants to grab coffee or lunch.
Great Falls, MT · Member since 2014 · 7 posts · 3 votes
10y
Hello All!
I'm a Great Falls area investor (although currently in Japan) Its good to see so many Montanans on here! I wish I had found this site while I was there, I would def. be down for a taphouse meeting!
Being tax season, does anybody have a good local CPA contact? I usually file myself but figure its time to let the professionals take over and am having some trouble finding somebody from all the way over here.
Investor · Panama City Beach, FL · Member since 2014 · 129 posts · 51 votes
10y
@George N., @Mark Caiazza, @Peter Dascoulias IIare you guys still meeting up the 2nd Tuesday of the month at Tap House or do you know if the other group is still there and what time do they meet?
@David Bullockthe Tap House meeting might be a good place for you to Network with some local investors.
@JD Monroewe do still get together at the IPM meeting though attendance of BPers is sporadic as we're often busy. @Peter Dascoulias IIis a leadership figure now so he's almost always there. If there's a new person attending we generally coordante beforehand and really try to make it or set something else up.@Mark Caiazzaand I got a house we're rehabbing together so we're always interested in input etc just get with either of us. Would also like to hear what you're up to John.
Investor · Bozeman, MT · Member since 2015 · 12 posts · 4 votes
10y
Hello fellow Montana REI's! I'm new to BP but wanted to introduce myself to the group. I live with my wife in Bozeman, and own/operate two local businesses. I'm VERY interested in pursuing more commercial real estate in the area and would enjoy meeting up with other local, like-minded investors.
Rental Property Investor · Whitefish, MT · Member since 2016 · 60 posts · 11 votes
10y
I am from Kalispell. I currently own one house in Butte that I flipped and rented. It should close this week. I have 2 houses in Kalispell that make great money but I'm interested in moving to more multi-family. I am trying to figure out how to do that with the profit from the Butte house. I would love ideas or a partner. I found a great deal here for townhouse lots but I think I need help with financing or a partner. I'd love to get together with more Montana investors and get ideas!