No major county in Montana has greenlit new housing construction at a rate even close to Gallatin County over the past decade. Despite having the highest median home prices in the state, Gallatin leads in housing permits, as revealed by a Montana Free Press analysis of U.S. Census Bureau’s Building Permits Survey and population data.
Gallatin County issued around 15.7 housing permits per 1,000 residents annually from 2021 to 2025, up from 15 in the previous five years. This permitting rate tops Montana’s charts, significantly outpacing other major counties, with Missoula County issuing 8.5 permits per 1,000 residents.
These figures highlight Bozeman’s rapid growth but don’t ensure sufficient housing supply. Maps detail where developers aim to construct, lacking data on home completion, affordability, or infrastructure adequacy.
Gallatin County official Ashlie Burke cites land, lumber, lending, and laws as key housing cost factors. Efforts such as developing model zoning rules aim to ease the building of accessory dwelling units and affordable housing.
Zoning isn’t the sole bottleneck. Water and sewer infrastructure, controlled by Bozeman and nearby municipalities, limits development. In unincorporated areas, septic systems and wells are often required. Such limitations can push development further from essential services.
“We don’t want to just develop everywhere,” Burke stated. “We want to be thoughtful.”
Permitting figures anticipate future housing but don’t represent completed units. Billings official Jessica Faust notes builders have six months post-permit to start, though completion can take over a year.
Billings’ records show multifamily projects impact annual housing counts. In 2023, 694 of 1,122 units were multifamily, while 2025 saw only 58 multifamily units out of 566 total. Smoothing data over five years helps average these spikes.
Experts stress that housing affordability in Montana—ranked by the National Association of Realtors as the least affordable—extends beyond permits to include land costs, financing, infrastructure, and planning.
Realtor Tom Llewellyn describes the housing shortage’s impact, especially on those losing faith in homeownership. “Many young people feel like they will never afford to buy their own home,” Llewellyn said. “That’s a failure of our collective imagination.”
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