The average home buyer in Montana spends between $34,341 and $123,500 when purchasing a $449,272 home — the state median value.
Keep in mind, this is just the cost of buying a home. After you close, you'll still need to budget for all the ongoing costs of homeownership.
Luckily, Clever Real Estate can help make buying a home more affordable. Working with a Clever agent means you'll not only get great service from start to finish, but you could also be eligible for up to 0.5% cash back after closing. That's about $2,246 back on an average-priced home in Montana!
Clever will connect you with a top local agent and send you a check after closing. Contact Clever for full-service realtor recommendations.
Average closing costs in Montana
| Expense | Amount |
|---|---|
| Earnest money deposit (1-3%) | $4,493 to $13,478 |
| Down payment (3.5-20%) | $15,725 to $89,854 |
| Cash reserves | $4,807 to $7,210 |
| Closing costs (1.69%) | $7,584 |
| Inspection | $250 |
| Appraisal | $233 |
| Moving | $1,250 to $4,890 |
| Total | $34,341 to $123,500 |
Buyer closing costs in Montana
While the other costs to buy a house in Montana are pretty transparent, Montana closing costs are a bit more nuanced. They're actually a series of smaller costs lumped together into one total. Here's a breakdown of all of the Montana closing costs you'll likely pay when buying a home.
| Closing cost | Amount |
|---|---|
| Closing fee | $449 |
| Recording fee | $95 |
| Title service fees | $600 |
| Origination fee | $2,246 |
| Underwriting fee | $600 |
| Discount points | $3,594 per point |
| Lender's title insurance | Typically paid by seller |
| Owner's title insurance | Typically paid by seller |
| Prorated property tax | Varies |
| Transfer tax | N/A |
| Total | $7,584 |
Does the buyer or seller pay closing costs in Montana?
The seller typically pays the bulk of the closing costs in Montana. The seller is responsible for costs like title insurance, real estate transfer tax, and recording fees. The seller also pays their listing agent.
- Traditionally, the seller set the fee they were willing to pay a buyer's agent.
- In August 2024, a lawsuit against the National Association of Realtors changed this so that buyer's agents have to negotiate rates directly with the buyers they represent.
- Most buyers will still ask sellers to pay this fee as a concession from their sale proceeds, so the buyer doesn't have to bring more cash to closing.
Will the NAR lawsuit change how real estate commission works?
After losing a lawsuit over their practices in 2024, the National Association of Realtors agreed to change how real estate professionals do business.
As of August 2024, buyer's agents are required to sign an "agency agreement" before providing services to a buyer. This agreement has to specify what services the agent will provide, and how much they will get paid.
Real estate agents are no longer allowed to split commissions with one another. In the past, it was common for a listing agent to collect a 6% fee from the seller, and then split this fee with a buyer's agent who brought a buyer. Going forward, buyer's agents will have to negotiate their fee directly with the buyer they represent.
Learn more about how the real estate commission changes will impact buyers and sellers.
Keep in mind, closing costs are often negotiable. Motivated sellers will sometimes agree to pay for some of the buyer's closing costs. However, to win the negotiation battle, you'll need a great agent who can work out a deal with the seller. Clever can match you with a top agent in your area that can get the seller to shoulder more of the above costs.
Contact us at Clever for top agent recommendations.Cost to buy a house in Montana calculator
Ongoing costs of homeownership in Montana
Unfortunately, the cost to buy a house is just the beginning. After closing, you'll officially own the home and begin paying for the ongoing costs of homeownership.
Besides the expenses outlined above, you'll also want to consider private mortgage insurance (PMI) and homeowner's association (HOA) fees.
- If you pay less than 20% as a down payment on your house, you'll probably have to pay PMI monthly until you get to 20% equity. For the average Montana homeowner, this is between $195 to $662 a month.
- Some neighborhoods have HOA fees for the care and maintenance of common areas. The national average is around $250 per month.
» MORE: The true cost of homeownership
Top ways to save money when buying a house in Montana
1. Look into better financing options
Paying off debts and getting your credit in the best shape possible before applying for a loan will help you get a better interest rate, which will lower your monthly payments for the life of the loan.
You can also shop around to compare lenders so you get the lowest fees and interest rates available. It may be a good idea to enlist the help of a mortgage broker if you're not sure how to go about vetting lenders.
2. Participate in home buyer programs in Montana
There are several home buyer programs in Montana you may be eligible for. First-time homebuyers can partake in Montana Housing’s down payment assistance programs, provided they are first eligible for its Regular Bond Loan Program.
There is also MoFi’s down payment assistance program, which can cover the entire downpayment of those working with a participating HomeNow lender. You may also find a local program in your city or county — check out the HUD website for a list of some of the most prominent ones.
» MORE: First-time home buyer programs everyone should know about
3. Partner with an expert agent
Some real estate companies, like Clever, offer home buyers a percentage of their home's price back after the sale finalizes.
That means if you work with a Clever agent, you'll not only get the expertise that helps you get the best deal possible — you could also get up to 0.5% of your home price back after closing!
Clever matches you with top local agents so you can compare options and choose the best fit. And eligible buyers can get cash back after closing.
Fill out the form below and get started now. Clever's service is 100% free with no obligation.
Methodology
The Clever team of researchers gathered data for property taxes, transfer taxes, and recording fees using publicly available information. We found average costs for attorney fees, title insurance, and other services by requesting quotes from local providers.
Home values are based on Zillow data as of January 2025.
