Let’s Share & Connect

We’d like to share some information with you about Bozeman, Montana and our schools, hospitals, skiing and great places to stay. We also have a very interactive map on our website that will provide you with much more detailed information and possibly answer some of your questions.

You can always reach us via phone, email or fax.

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Our Schools

Living in such a beautiful area has some real benefits where schools are concerned. As a result of the high amount of competition to live and teach here, our School district has the opportunity to really get the best teachers, and our kids reap the benefits.

Some quick Bozeman School district facts:

We have six K-6 public elementary schools, two 6-8 public middle schools, a 9-12 public high school, four private high schools and an alternative high school. The rural public elementary schools include Anderson, LaMotte, Monforton, Gallatin Gateway, Cottonwood, Malmborg and Ophir in Big Sky.

Look here for a complete listing of all Bozeman Elementary Schools at
Great Schools.com

Look here for a complete listing of all Bozeman High Schools at
Great Schools.com

Bozeman High School has an average enrollment of 1,957. The school was twice named as one of the Outstanding Schools in America by the U.S. Department of Education, and is accredited by the Northwest Accrediting Association and the Montana office of Public Instruction.

Bozeman Senior High has two Diploma Programs. A General Diploma requiring 21 credits and a College Prep, requiring a total of 23 credits. Most students choose the College Prep diploma and approximately 78% go on to college. BHS students have gone on to participate in many successful careers as adults including playing in the NFL, Rhodes Scholars and news anchors for national television.

BHS has exemplary music and arts programs! Our marching band performed in the 1999 Tournament of Roses Parade. We also have a very well equiped art department as well as an active and dynamic theater program.

Bozeman Students Score High in there SAT tests:

• The average national SAT verbal score for girls was 505 – in Bozeman the average score was 582.
• The average national SAT verbal score for boys was 508 – in Bozeman the average score was 549.
• Bozeman Girls and boys had the average of 565 in verbal SAT scores over the Montana average of 540.
• Average national SAT math score for girls was 504 – in Bozeman the average was 570.
• Average national SAT math score for boys was 520 – in Bozeman the average 569.
• Bozeman Girls and boys had the average of 569 in verbal SAT scores over the Montana average of 540.

Source: Bozeman Public Schools District Profile 2005-2006

Quotes from kids and parent’s

(July 2006) As a current student at bozeman high, I have enjoyed the experience and have found areas to work in that almost every student finds. This isn’t just for the academic or athletic, as there are so many classes and activities that anyone can find something. These classes range from computers to art to music to sports to language. It is a large school, yes, but it is being improved. The teachers are second to none, and even though one person talks about low rates of SAT and higher learning, we are always encouraged to do more and go on in life. Our counselors are awesome and are always there for us. The entire community is extremely supportive of the school. Overall it is a wonderful place that almost all students enjoy.

(March 2006) School has very high acheivement scores compared to CA schools. The difference is that MT schools work hard to include all students. It is not a ‘turn out only the best and the h—- with the rest’ type of school. The teachers are excellent as is the adminisration. Overall, I would rank this school very high in all areas.

(January 2006) These are some of the single best public schools you will ever find. Students rank quite high on national and state tests and the courses are quite diverse. We have some of the most remarkable teachers. These people are good at what they do and do it because they enjoy it (they have to for the low amount they are paid). The student counselors are very impressive. I’ve never seen better. Very good schools, very nice community.

Source: GreatSchools.com

Bozeman School District Home Page

Local Private Schools

Bozeman Christian – K-12 1935 Nelson Road Bozeman, MT 406-586-8061	Heritage Christian – K-8 4310 Durston Rd. Bozeman, MT 406-587-9311	Petra Academy – 4-12 100 Discovery Dr. Bozeman, MT 406-582-8165	Great Beginnings Montessori 5860 Springhill Lane Bozeman, MT 59715 406-587-0132 (fax, 406-586-5794) E-mail: greatbegin@montanadsl.net
Learning Circle Montessori Elementary Schoool 3001 West Villard Street Bozeman, MT 59718 406-585-3778 (fax, 406-522-9477) E-mail: LCM@in-tch.com	Headwaters Academy – 6-12 418 W. Garfield St. Bozeman, MT 406-585-9997	Mount Ellis Academy – 9-12 3641 Bozeman Trail Rd Bozeman, MT 406-587-5178	Highland Montessori School 111 Highland Boulevard Bozeman, MT 59715 406-585-0171 E-mail: vbthompson@hotmail.com
Learning Circle Montessori School 516 West Cleveland Bozeman, MT 59715-9354 406-587-2672 (fax, 406-587-2672) E-mail:LCM@in-tch.com

 

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Our Hospital

Bozeman Deaconess Hospital offers a comprehensive list of services in the heart of the Gallatin Valley. This team of dedicated healthcare professionals provides health care of the highest quality with the greatest compassion. Below is a list of services provided.

• Cancer Center
• Cardiac Services
• Diabetes
• Diagnostic Imaging / Radiology
• Diet & Nutrition Services
• Emergency Services
• Gynecology
• Hospice
• Internal Medicine
• Interventional Radiology
• Laboratory Services
• Lifeline Personal Response System
• Palliative Medicine
• Perioperative Services
• Pharmacy Services
• Rehabilitation Services
• Respiratory Services
• Sleep/Wake Disorders
• Surgical Services
• Women’s Services
• Worksite Wellness
• Wound Clinic

Bozeman Deaconess Hospital Website

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Hotels in Bozeman

Many of our clients contact us before visiting Bozeman to request information on lodging in the area. We can suggest a few local places. Some choices are better than others, so feel free to contact us at your convenience to discuss which of these area hotels and motels will be most accessible and convenient for you and your family as you investigate the unique qualities of Bozeman and the Gallatin Valley.

The following is a list of local lodging places that Stuart and Sally created for the times when we are simply unable to host friends or family in our own homes. Whenever possible, we’ve included both toll-free phone numbers and easy links to each location’s website.

C’Mon Inn
www.CmonInn.com
Toll Free: 866-782-2717 or (406) 587-3555

Gallatin River Lodge
www.glodge.com
(406) 388-0148

Hilton Garden Inn
www.bozeman.stayhgi.com
(406) 582-9900

Voss Inn Bed & Breakfast
(406) 587-4995

Wingate Inn
(406) 582-4995

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Skiing

Bridger Bowl – http://www.bridgerbowl.com/

Bridger Bowl is flanked by two large bowls to the North and South.  Most of the ski area offers wide open terrain with a variety of landscapes including long slopes, glades, chutes, gullies in addition to other smaller bowls.

Bridger Bowl offers a very diverse ski experience with the following ratings: 25% beginner, 35% intermediate, 30% advanced and 10% extreme. Incredible expert only skiing is available on Bridger’s renowned “Ridge”. Skiers and snowboarders who wish to access this terrain must hike up 400 vertical feet above the Bridger lift. Ridge skiing requires expert ability, an avalanche transceiver (457 khz), shovel, partner and knowledge of the terrain. The ridge has steep chutes, rock cliffs, and snowfields, providing some of the most challenging skiing found within any ski area boundary.

 

Big Sky – http://www.bigskyresort.com/

Big Sky Resort in Montana offers you three mountains graced by over 400 inches of annual snowfall to delights skiers and snowboarders. The signature Lone Peak rises to a lofty 11,166 feet in elevation with European-style expert terrain accessed by the Lone Peak Tram. Andesite Mountain has some of the resort’s most notable intermediate trails, some comfortable south-facing beginner trails, several expert tree runs and a giant half-pipe and terrain park with rail slides. Flat Iron Mountain is on the eastern shoulder of Andesite and offers even more variety.

Big Sky has a total of 3,812 expansive acres, 4,350 jaw-dropping vertical feet and over 150 named trails. The reputation for short or non-existent lift lines makes this truly a place all your own.  Now with the option of the Line Peak Pass, the combined total with Moonlight is 5,512 acres.

Tickets are now available at the ERA Landmark Downtown office for a $5.00 discount. You can purchase your tickets now and use them any time during the 2007 Ski Season. Call 556-5013 for more information.

 

Moonlight Basin – http://www.moonlightbasin.com/home/

Moonlight Basin is a beautiful new addition to the skiing experience at Lone Mountain. Located on the Northern Slopes of Lone Peak, Moonlight Basin boasts 7 lifts, 1,900 skiable acres, with a 4,150 vertical drop.  Fast becoming a favorite for the locals and conveniently  located right next to Big Sky Ski Resort, Moonlight Basin is a short drive through the beautiful Gallatin Canyon away from Bozeman.

 

Bohart Ranch – http://www.bohartranchxcski.com/

Bohart Ranch Cross Country Ski Center is 16 miles northeast of Bozeman just up Bridger Canyon Road, with a 27km trail system located on private and Forest Service lands. The terrain is well suited to all ability levels and are professionally groomed for both classic and skate skiing.

There is a Biathalon Range that offers year-round training and  competition, as well as the Kiddy Kilometer Trail which is a signed interpretative trail popular with families and younger skiers. Bohart Ranch was the local location for the 2002 National Olympic Qualifier competition. 

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Let’s Connect!

Call us at: 406-556-5013

Fax: 406-586-4946

e-mail: contact@stuartandsally.com

Ski the BEST in the Rockies!

When asked about one of the main draws to the Bozeman area for locals and tourists alike, undoubtedly the top quality skiing will come to the forefront of most conversations. Big Sky Resort, Moonlight Basin, and Bridger Bowl all offer excellent skiing and amenities that can compare favorably with the “big names” in the Rocky Mountain region.

Looking back at the 2006-07 season, the number of ski visits as a whole was down 6.5% nationwide from the record setting 2005-06 season. This setback can be attributed in part to abnormally warm temperatures and below average snowfall in most areas of the country. However, the Rocky Mountain region (which includes Montana, Idaho, Wyoming, Utah, Colorado and New Mexico ) seemed to be immune from the national trend with no significant decrease in the length of the season and actually a slight increase in the number of skier visits. In fact, the 2006-07 season, while only up 0.6% in number of visits, set a record for the third consecutive year by reaching 20.8 million visits, which comprised approximately 38 percent of the total visits nationwide.

Big Sky Resort has continually set high standards for not only skiing satisfaction but for a complete resort package. The area is frequently expanding and improving its offerings to ensure a memory filled experience – whether a day trip or complete vacation. But Big Sky definitely has Mother Nature on its side also. Big Sky encompasses 3,812 acres, 150 named runs, 400+ inches of average annual snowfall, and 4,350 feet of vertical drop. These statistics certainly showcase Big Sky as the best conditions Montana has to offer. However, Moonlight Basin adds an additional 1,900 acres, 400 inches of average annual snowfall, and 4,150 feet of vertical drop. Additionally, Bridger Bowl can certainly stand on its own with 1,500 acres, 71 trails, 350 inches of average annual snowfall, and 2,600 feet of vertical drop.

Just to give a glimpse of how attractive our local ski resorts are when compared to others in the Rocky Mountain region, the same statistics from many of the more renowned resorts are included. Vail, Colorado (the largest ski resort in the United States ) boasts 5,289 acres, 193 trails, 346 inches average annual snowfall, and a 3,450 foot vertical drop. Telluride, Colorado possesses 1,700 acres, 84 trails, 309 inches annual average snowfall, and a 3,530 foot vertical drop. Steamboat, Colorado has 2,965 acres, 165 named trails, 331 inches average annual snowfall, and a 3,668 vertical drop. Sun Valley, Idaho has 2,054 acres, 220 inches annual average snowfall, and a 3,400 foot vertical drop. Jackson Hole, Wyoming has 2,500 acres, 116 trails, 450 inches average annual snowfall, and 4,139 feet of vertical drop. Park City, Utah reports 3,300 acres, 104 runs, 350 inches of average annual snowfall, and 3,100 feet vertical drop. Finally, Deer Valley, Utah (which received the top ranking in SKI Magazine’s annual “Top 50 Resort Guide”) touts 2,026 acres, 99 runs, 300 inches average annual snowfall, and a 3,000 foot vertical drop. Within Montana, Whitefish Mountain Resort (formerly Big Mountain ) has 3,000 acres, 93 marked runs, 335 inches average annual snowfall, and a 2,500 foot vertical drop. Red Lodge Mountain consists of 1,600 acres, 70 trails, 250 inches average annual snowfall, and a 2,400 foot vertical drop.

With these figures, it is easy to see why our local resorts have much to be proud about. Quoting from Bridger Bowl’s website, “Bridger Bowl has become a cornerstone for Bozeman ’s recreational community and a major contributor to the area’s vibrant winter tourism economy. Bridger Bowl’s original mission still stands to this day: to plan, develop and maintain facilities and services in a financially sound manner which provide the best possible skiing experience at a reasonable cost to local, regional and destination skiers.” And from Big Sky Resort’s website, “With more accommodations, terrain and services than ever before, Big Sky Resort continues to make its mark on the mountain vacation industry, and more importantly, make fond memories for guests.”

So, how does all of this correlate to the real estate market? Second home buyers and investors look at and compare us to other communities in the region when making their buying decisions. Bozeman and Big Sky’s terrain, vertical drop and snowfall stack up near the top in every category. It is just another compelling component of the real estate economy which helps Bozeman stay vital and growing.

Robyn Erlenbush is owner of ERA Landmark Real Estate (with offices in Bozeman, Big Sky, Livingston and Clyde Park) and Intermountain Property Management. She can be reached at robyn@eralandmark.com.

The $100M house ….. (Big Sky, Montana) that Blixeth built…

By SCOTT McMillion Chronicle Staff Writer

BIG SKY – This is the house that Tim Blixseth built, and it starts with 120,000 square feet – almost three acres – of boards and timbers and stone called the Warren Miller Lodge at the Yellowstone Club.

ERIK PETERSEN/CHRONICLE A pair of skiers rides the lift at the Yellowstone Club where 15 lifts carry a thin stream of passengers from mansion doorways to mountaintop, and lift lines are nonexistent. “That’s your basic $100 million lodge,” Blixseth said.

The lodge contains ski shops and restaurants, lobbies and bars and lots of big, gas-fired fireplaces. Fine art adorns the walls, bronze statuary stands guard everywhere. The wine list will blow your hair back, or at least the prices will. Almost everywhere you look, an employee is cleaning something. The furniture is heavy. The spaces are expansive. Ceilings rise and rise and rise. The heat bill must be incredible.

Upstairs, you find condominiums, some serviced by private elevators. The biggest condo measures 5,900 square feet and each one of those square feet recently sold for about $1,100. That works out to roughly $6.5 million.

And the lodge is just the gateway to this very private and expensive club, where nobody enters until the security guard gets the OK.

 

Gotta Read More Here!

Spring has almost sprung in Bozeman!

Spring has almost sprung!There is still time to ski the 3rd snowiest winter in 20 years! As the powder days of winter transition to spring’s blue, sunny skies and warmer temperatures, now is the ideal time to get out and enjoy our surrounding ski areas. Big Sky Resort has received 374 inches of snow on the upper mountain and 246 inches at mid-mountain. Snowfall at Big Sky Resort and Moonlight Basin is currently 15% above the 20 year average. Bridger Bowl, recent hosts of the NCAA alpine championships, received over 263 inches of fluffy powder as of February 21, 2008. Bohart Ranch Cross Country Ski Center offers 27 km of scenic skiing in the Bridger Mountains. Big Sky’s Lone Mountain Ranch offers skiers a change of pace. Whether enjoying a horse-drawn sleigh ride dinner or a tour of the 80 km Nordic trail system, natural beauty surrounds you. Please contact our Downtown Bozeman Office at 406-556-5001 or our Big Sky Office at 406-995-3444 for discounted Moonlight ski tickets, information about special Big Sky Resort rates or just to check the current snow conditions. Find A Property Featured Vacation Rental Featured Commercial Property More About Big Sky More About Bozeman More About Livingston

ERA Landmark is currently working on their new and improved website. We are all so excited for it to be completed and will keep you posted.

We’d like to thank Robyn and the team at ERA Landmark for all their valuable information we use in our blogs and our website. It’s great to be a part of such a wonderful and interactive team!

Robyn and her staff do an incredible job with market updates and reports. We would be happy to share them with you upon request. Our local MLS here, Gallatin Association of Realtors, also does a magnificent job with their reporting and stats as well.

Thanks again and don’t forget to visit our website for any new listings and to see how wonderful it is to live in Bozeman, Montana!

Montana, Gallatin Valley Economic Growth – The Growing Valley

THE GROWING VALLEY 

IN THE GALLATIN VALLEY, ECONOMIC GROWTH WAS ONCE AGAIN THE STORY OF THE YEAR; CONSTRUCTION BOOM IN 2007 MAKES AREA ONE OF THE STATE’S HOTTEST SPOTS

By GAIL SCHONTZLER

Chronicle Staff Writer
     Growth was again Gallatin County’s biggest economic story of the year, making this area one of the brightest spots in a year of general prosperity for Montana.
     Construction – the engine that put the local economy into overdrive for the past few years – had definitely downshifted in 2006 from the record-setting years of 2004 and 2005. In Bozeman, construction revved up again in 2007, making it the third-busiest year in history for builders. But construction could be slowing as we head into 2008.
     ”All in all it was a good year,” said Shawn Cote, government affairs director for the Southwest Montana Building Industry Association.
     ”If you look at the building permit numbers by themselves, you’d say 2007 was a fantastic year,” Cote said. But for some builders the market started to soften in the fall, he aid.
     ”The amount of inventory is indicative there could be a correction in 2008,” Cote said. “We’ve never had an inventory glut like we have now.”
     Superheated housing prices also cooled some in 2007. Instead of houses jumping in value by 10 or 15 percent annually as they had the past few years, the median price for a single-family home sold in Bozeman actually slipped 3 percent in 2007. The median price went up 1 percent in Belgrade and dropped 13 percent in Big Sky.
     Some saw 2007 as the first time in 20 years that it’s been more of a buyer’s market than a seller’s market.
     ”We’ve seen a real steady, stable market in Bozeman,” said Tricia Bailey, 2007 president of the Gallatin Association of Realtors and broker-owner of 45th Parallel Realty. “We have seen the real crazy appreciation (of the past) stabilize, because the amount of inventory has slightly increased over demand. But you’re really seeing a balance. You’re not seeing prices tumble… . There’s still steady demand and amble supple.”
     Bozeman’s status as a regional retail center grew in 2007 with the opening of several multi-million-dollar stores.
     ”I bet we’re going to do 600,000 square feet in new commercial” space in 2007, said Andy Epple, Bozeman city planning director. Epple said that’s equivalent to adding two new Gallatin Valley Malls in one year.
     Growth brought with it a string of related problems – a high cost of living, a labor shortage, a shortage of affordable housing, closure of trailer parks and workers complaining that their wages aren’t keeping up with high housing prices.
     Still, local voters said yes to several costly projects needed to keep up with growth – approving millions of dollars in bonds for new schools in Bozeman and Big Sky, and higher taxes to pay for police and fire services in Bozeman.
     Bozeman was again blessed in 2007 with a well-diversified economy. Montana State University and Bozeman Deaconess Hospital, the area’s two biggest employers (with 3,000 and 1,000 employees, respectively), served as steady anchors. Tourism, agriculture and the high-tech industry also contributed to the local economy.
     ”Our economy remains a real bright spot in Montana,” said Bob Hietala, chief executive officer of the nonprofit Prospera Business Network. “We continue to have about the highest growth of any Montana county.”

THE TOP ECONOMIC NEWS
STORIES FOR 2007 ARE:
Even though numbers are available only through November, the year 2007 is already the third-biggest in Bozeman history for the construction of new homes (733 permits issued for houses, condos, apartments and townhouse dwellings). It also was the third-biggest year in Bozeman history for the total number of building permits issued, 855 permits for everything from new businesses to home remodels.
     And 2007 was the No. 1 year ever for the estimated value of construction – $231 million, though that record partly reflects rapid inflation in construction costs.
     Putting 2007 into perspective, Epple said when he first moved to the sleepy university town of Bozeman to be a city planner 20 years ago, the city issued a grand total of 47 permits for new homes. This year the number was 16 times greater. If some people accuse him of having a “no growth” policy, Epple joked, it’s been quite a failure.
     For Gallatin County in 2007, the number of septic permits issued to homes and businesses continued a steady decline (from 656 in 2004 to 445 this year). Tim Roark, county environmental health director, said part of the decline is due to a steady increase in public sewer systems, like that at Big Sky. Still, Roark said, 10 or 15 years ago, the county was issuing only 200 to 300 permits a year.
     Shawn Cote, government affairs director for the Southwest Montana Building Industry Association, said in the fall of 2007, things started to tighten up for builders.
     ”I’ve talked to some builders who are as busy as they’ve ever been, and some are slowing down,” Cote said.
“I think there’s less work, particularly in Big Sky.”
     Where in recent years builders would put help-wanted ads in the paper and no one would answer, Cote said, now there are 15 to 20 people who call looking for work.
     ”The consensus is the first half of 2008 will be pretty soft,” Cote said. “I think there’s a general nervousness.”

2. Retail rocked in 2007, creating hundreds of jobs.
     On North 19th Avenue, Bozeman saw the opening of the new $11.8 million Lowe’s Home Improvement store, the $3.9 million Sportsman’s Warehouse, the $1.3 million World Market and other new stores. The $5 million Rosauer’s Supermarket opened on Huffine Lane in the new Bozeman Gateway development.

1. Construction remained strong in 2007, according to Bozeman city building permits.

3. Housing prices – For the first time in several years, home prices in Bozeman actually slipped slightly, instead of making spectacular gains.
     Montana appeared to escape the worst of the subprime loan meltdown that has home prices falling in much of the nation. Realtors and builders attributed the softening of prices more to local supply getting a bit ahead of demand.
     The changing market has meant good news for homebuyers. Buyers have more places to choose from, and a little better chance to negotiate on price.
     ”You’re no longer competing with five offers on every single home,” said Tricia Bailey, 2007 president of the Gallatin Association of Realtors. “You’re still seeing Bozeman homes selling for 97 percent of the asking price. In 2005, a really crazy, crazy year, we were seeing 100 to 101 percent of the asking price.
     ”You can pick and choose the house you’re interested in without it disappearing overnight.”
     While the changing market has been good for buyers, it’s been bad for speculators. In 2007, investors couldn’t use real estate as short-term way to make big profits, Bailey said.

4. Gallatin County banks posted a record of $1.635 billion in deposits as of June 30, 2007.
     It shows just how much the county has changed, as bank deposits have increased by nearly $1 billion in seven years. The 2007 total was also $80 million more than the year before.
     Only Yellowstone County, with $2.3 billion in deposits, had more money in the bank than Gallatin County, according to the Federal Deposit Insurance Corp.
     Other counties with fast-growing populations, like Flathead and Missoula counties, also have seen large increases in deposits, but none has grown as quickly as Gallatin County.
     ”The money that comes into our area banks can be turned around and lended out to local businesses and construction projects,” First Security Bank President Ron Farmer said in October.

5. Paying for growth was hotly debated in 2007.
     After Gallatin County commissioners heard from dozens of unhappy real-estate brokers, builders and business owners, they approved in November an increase in road impact fees for new homes but not businesses.
     A Florida consultant recommended that Bozeman triple its impact fees on new developments to pay for streets, but commissioners voted in December to increase the fees on a single-family home by $858 to $3,238.
     Monforton School made a pitch to charge impact fees for schools, to ease the tax burden on property owners and pay for school expansion to provide room for children from all the new subdivisions coming to its area.
     Bozeman voters passed special mill levies to pay for expanding police and fire services, and a $17 million bond issue to build a seventh elementary school.

6. Big Sky flexed its economic (and political) muscles in 2007.
     In January, the state Department of Commerce reported that the booming resort had a huge economic impact on the state – producing 7,600 jobs and $478 million in spending – bigger than Montana State University’s $385 million annual spending. Local residents sought the report to demonstrate the area’s economic clout and to help persuade the 2007 Legislature to let Big Sky have its own high school.
     Big Sky may have only 2,000 year-round residents, but they’re intent on making it a real community. The Big Sky Chamber of Commerce formed a Community and Infrastructure Solution group, which recommended that Big Sky consider incorporating as a town.

7. Downsides of growth made news in 2007.
     The cost of living in Bozeman rose again, to 7 percent above the national average, the Prospera Business Network reported. Housing costs were the main reason, running 22 percent above the national average.
     The high cost of living made it harder to recruit employees, and harder for employers to fill vacancies. Montana State University had to raise wages for custodians, and fast-food places in Bozeman advertised they were paying up to $13 an hour.
     Gallatin County’s unemployment rate was 2.7 percent in November, lower than state’s 3.3 percent.

8. Downtown Bozeman’s down time seemed never ending.
     Main Street was closed for six months while crews resurfaced the street, replaced water pipes, improved crosswalks with bricklike surfaces and installed new traffic lights with better pedestrian crossing signals.
     Businesses were hurt, but in November downtown celebrated with a grand “reopening.” Downtown’s future should get a boost from the long-planned, $9.2 million parking garage, which finally began construction.

9. High tech remained strong.
     Montana State University reported $102 million in research spending for the year ended in June, the first time the total had slipped from the year-before total of $103 million, but still a significant contributor to the local economy.
     The state awarded a $200,000 job training grant to CDI-Aerospace to start up its Bozeman engineering design center for Sikorsky Aircraft, expected to hire and train more than 40 employees.

Gallatin Valley growth in 2007 remained strong in both residential and commercial construction. New retail space near
North 19th Avenue and Oak Street is being added adjacent to recently completed stores.

DEIRDRE EITEL/CHRONICLE

Second Home Paradise

Published in the Bozeman Chronicle, August, 2007.

Most people who follow the real estate market are well aware that housing sales in 2006 slowed down nationally after a phenomenal pace for five years. And while it holds true that the second home market as a whole witnessed a decline, the bright spot that emerged was a record-breaking year for the purchase of vacation homes.

The National Association of Realtors recently published the results of the 2006 Investment and Vacation Home Buyers Survey. Results show that the second home market slipped from 40% of residential sales in 2005 to 36% in 2006. To break that figure down further, investment home sales dropped by over 28%, yet vacation home sales rose 4.7% to a record 1.07 million. Additionally, vacation homes accounted for 14% of last year’s total residential purchases, which was up from 12% in 2005.

Real estate analysts were not particularly surprised by these numbers due to the fact that many of those involved in speculative real estate left the market in 2006. Therefore, investment sales dropped at a faster pace than the general residential market. Those buyers in the vacation home market are in a strong demographic group with lifestyle being the primary catalyst of their purchasing decisions.

So who are the vacation home buyers? The survey’s findings once again show that the typical vacation home owner is of the baby boomer generation. However, this year the median age decreased to 44 years old (from 52 years in 2005) with a median household income of $102,200. The properties purchased were a median of 215 miles from the homeowner’s primary residence, showing that accessibility is a key factor. David Lereah, NAR’s former chief economist, concludes that “The demographics favor vacation-home sales because large numbers of consumers are in the prime buying ages, and buyers want recreational property for personal use – investment is a secondary consideration.” This trend could certainly continue with 44.7 million baby boomers currently aged 40-49. These are the people who are now positioned to compel the market.

A quick look at where vacation homes are being purchased shows 25% in the Northeast, 13% in the Midwest , 38% in the South, and 25% in the West. Rural areas were the most popular at 29%, followed by 24% in resorts, 22% situated in the suburbs, and 10% were located in urban or city center areas. This correlates with vacation home owner’s desires to be near waterfronts (ocean, lake, and river), recreational or sporting activities such as skiing and golfing, resort areas, or mountain and other natural attractions. Additionally, there has been strong activity in towns with universities, especially those who are going the extra mile to cater to the active yet retired or semi-retired demographic.

The factor that sets apart vacation home buyers from the rest of the market is primarily the motivation for purchasing the home. An overwhelming 79% plan to use the residence for vacations or family retreats. Additional reasons, in order of response rate, included diversification of investments, use as a primary residence in the future, tax benefits, use by family member or friend, because they had extra money to spend, or to rent to others.

Although the investment home market showed significant declines, it still comprised 1.65 million sales in 2006. A brief synopsis of the typical buyer is a median age of 39 years old, earning an income of $90,250 and purchasing a home a median of 22 miles from their primary residence. Explanation for their purchase, in order of response rate, was seeking rental income, diversification of investments, tax benefits, use for vacations or family retreat, having extra money to spend, use by family member or friend, and use as a primary residence in the future. The majority of investment properties are located in the suburbs with most activity occurring in the Southern part of the United States .

It bears repeating that Bozeman , Big Sky, Livingston and Paradise Valley are ideally situated to take full advantage of this long-term trend. Our proximity to Yellowstone National Park , world-class fishing, multiple ski resorts, championship golf courses and Montana State University spell the perfect combination for a strong vacation home market for years to come.

Robyn Erlenbush is owner of ERA Landmark Real Estate (with offices in Bozeman, Big Sky, Livingston and Clyde Park) and Intermountain Property Management. She can be reached at robyn@eralandmark.com. All thanks to Robyn for this article!