MT · #43 by population

Buying a home in Montana

Costs and rules that are specific to Montana. Main city: Billings.

In short

Montana has no real estate transfer tax, does not require an attorney at closing and requires a seller disclosure form. It allows both court and out-of-court foreclosure and is not a community property state. Deadline to appeal a property tax assessment: within 30 days of the date on the notice (informal review or county tax appeal board via the county clerk and recorder).

Calculate for Montana

If you buy

Montana state transfer tax

Montana has no real estate transfer tax. Change the price: the amount is recalculated instantly.

Price$425,400
State transfer tax$0
Share of the price—

Default price: the Montana median value of owner-occupied homes, $425,400 (Census ACS 2024). Rule: No tax is calculated on the price. The Realty Transfer Act collects price data, not money. Who pays: No transfer tax. The sources do not assign the recording fees to buyer or seller; the purchase agreement does. Not included: county and city transfer taxes, recording fees, title insurance and lender charges. Montana transfer tax guide · all 50 states.

If you sell

Capital gain and the federal tax on it

Same federal rule in every state: Section 121 of the Internal Revenue Code excludes up to $250,000 of gain on a main home ($500,000 for a married couple filing jointly).

Capital gain$350,000
Section 121 exclusion$250,000 (limit $250,000)
Taxable gain$100,000
Type of gainLong-term (owned over 1 year), 15% chosen
Federal tax on the gain$15,000

Section 121 excludes $250,000; the rest is taxable.

Gain = sale price minus your adjusted basis (purchase price, buying costs and improvements); selling expenses reduce it (IRS Publication 523). Long-term rates for sales in 2026, by taxable income including the gain (IRS Rev. Proc. 2025-32, section 4.03): 0% up to $49,450 single or $98,900 married filing jointly, 15% up to $545,500 single or $613,700 jointly, 20% above. Not included: Montana state income tax on the gain (not computed), the net investment income tax, depreciation recapture on a rental or home office, and the reduced exclusion for an early sale. Agent commissions are negotiated and never set by law. Capital gains on a home sale.

Montana in short

Is there a real estate transfer tax in Montana?

Montana charges no real estate transfer tax. The 2025 Montana Code Annotated has no chapter on a deed or transfer tax in Title 15.

Full Montana guide · Compare all 50 states

What closing costs does Montana law set?

Montana has no official typical closing-cost total. It has no transfer tax, recording costs $20 for the first page and $10 for each added page, and title insurers may charge only their filed rates.

Full Montana guide · Compare all 50 states

How is property tax calculated in Montana?

Montana taxes a home on a state-set percentage of market value: for tax year 2026 an enrolled primary residence pays 0.76% on the first $378,000 of market value, while a second home pays a flat 1.9%.

Full Montana guide · Compare all 50 states

What is the deadline to appeal a property tax assessment in Montana?

In Montana, file a Request for Informal Classification and Appraisal Review (Form AB-26) with the Department of Revenue within 30 days of the date on your notice, or appeal directly to the county tax appeal board through the county clerk and recorder within 30 days of the notice date.

Full Montana guide · Compare all 50 states

Do you need a real estate attorney to close in Montana?

The Montana statutes read, as of October 2026, do not require an attorney at a home closing. A business that regularly holds escrow funds needs a state escrow license, with exemptions for attorneys and brokers (MCA 32-7-102, 32-7-103).

Full Montana guide · Compare all 50 states

What must a home seller disclose in Montana?

A Montana seller of a one- to four-unit home must give the buyer a written statement of any adverse material facts the seller actually knows, before or at the same time as the contract is signed (MCA 70-20-502). If it arrives later, the buyer has 3 days to rescind.

Full Montana guide · Compare all 50 states

How does foreclosure work in Montana?

Montana home loans are often secured by a trust indenture, which lets a trustee sell the home at auction without a lawsuit after a notice of sale recorded and mailed at least 120 days before the sale.

Full Montana guide · Compare all 50 states

What first-time home buyer programs does Montana offer?

In Montana, the Montana Board of Housing offers first-time buyers below-market mortgage rates and down payment help of up to 5% of the price, capped at $15,000.

Full Montana guide · Compare all 50 states

How much tax when you sell a home in Montana?

The federal rule is the same in Montana as in every state: if you owned and lived in the home as your main home for at least 2 of the last 5 years, the first $250,000 of gain is excluded, $500,000 for a married couple filing jointly (Section 121, IRS Publication 523). Bought $400,000, sold $750,000: a single owner has $100,000 of taxable gain, $15,000 of federal tax at the 15% long-term rate; a couple filing jointly owes nothing. Montana income tax on the gain is not computed here.

Capital gains on a home sale

Montana guides

Billings

Buying a home in Billings, Montana

Professionals in Montana

All states · Federal guides