Income needed to buy a house in Montana
A median-priced home in Montana costs $425,400. With 20% down you'd need about $115,669 a year, $40,329 more than the state's median household income of $75,340. Montana ranks #36 of 51 for the lowest income needed.
Income needed: $115,669 a year
Defaults: state median home value and property tax (Census ACS 2024), median homeowners insurance paid by owners with a mortgage (Census ACS 2024; quotes vary by home and ZIP code), 30-year rate 7.24% (Freddie Mac, week of 2026-10-29).
Estimated household income: about $115,669 a year for a $425,400 home in Montana with $85,080 down.
Uses a 28/36 planning rule: modeled housing costs at 28% of gross income, housing plus other debt payments at 36%. Mortgage approval depends on the lender, loan program, credit and other circumstances. Excludes maintenance, repairs and utilities.
| Monthly cost | Amount |
|---|---|
| Principal & interest | $2,319 |
| Property tax | $245 |
| Homeowners insurance | $135 |
| Total | $2,699 |
Monthly cost by down payment
| Down payment | Cash down | Monthly cost | Income needed |
|---|---|---|---|
| 5% | $21,270 | $3,302 | $141,523 |
| 10% | $42,540 | $3,148 | $134,930 |
| 20% | $85,080 | $2,699 | $115,669 |
Income benchmarks use the 28/36 planning rule with no HOA or other debt payments. Mortgage approval depends on the lender and loan program. Monthly costs exclude maintenance, repairs and utilities. Under 20% down includes estimated private mortgage insurance of 0.5% of the loan per year.
Buying in Montana: what's different
- Transfer tax
- None
- On the median home
- $0
- Homestead break
- Lower Homestead Rate
- First-time buyer help
- Montana Board of Housing
- Transfer and recording taxes. Montana has no transfer tax. A realty transfer certificate is filed with the deed, and the Department of Revenue uses it to value property.
- Property tax breaks for your home. Since 2026, a home you live in at least seven months of the year is taxed at the lower Homestead Rate, while second homes pay a higher one. New owners must enroll with the Department of Revenue; the 2026 deadline was March 20.
- First-time buyer help. The Montana Board of Housing offers the Regular Bond Loan Program through participating lenders. Check its site for income and price limits.
Checked against official sources on September 25, 2026. Local transfer taxes and exemptions vary, so confirm with the county before you close.
Home prices in Montana's largest metro area
| Metro area | Income needed | Median home value | Median household income |
|---|---|---|---|
| Billings, MT | $106,147 | $383,900 | $77,770 |
The median home in the Billings area is worth $383,900, 10% less than the statewide median, and takes about $106,147 a year to buy with 20% down.
Metro medians from Census ACS 2024 cover the whole metro area, including any part in a neighboring state. Income needed: 20% down at 7.24%, the metro's median property tax and its main state's median homeowners insurance for homes with a mortgage (Census ACS 2024), under the 28% rule.
What makes owning in Montana more expensive than most states
- Home prices: the median value of $425,400 is 18% above the U.S. median of $360,600.
- Property tax: about 0.69% of value a year ($245 a month on the median home).
- Insurance: owners with a mortgage paid a median $1,617 a year for homeowners insurance in 2024 (Census ACS). Premiums have risen in most states since then, and they vary a lot by home and ZIP code, so get quotes.
- Mortgage rate: each 1-point rise in rates adds roughly $235 a month on this loan.
24 states need at least 20% less income to buy their median home. States with a similar income requirement:
Frequently asked questions
How much do you need to make to buy a house in Montana?
About $115,669 a year for the median home of $425,400 with 20% down at 7.24%. With 10% down it's about $134,930.
What is the property tax rate in Montana?
The median Montana homeowner pays $2,939 a year, about 0.69% of the median home value (Census ACS 2024). Rates vary by county and city.
Is it cheaper to rent or buy in Montana?
Median rent is $1,177 a month, while owning the median home costs about $2,699 a month with 20% down, before maintenance. Renting affordably takes about $47,080 a year under the 30% rule.