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Montana vs North Dakota:
Mortgage & Housing Costs

Side-by-side comparison of mortgage costs, property taxes, closing costs, and homeowners insurance between Montana and North Dakota. Updated for 2026.

MetricMontanaNorth Dakota
Median Home Price$430K$255K
Property Tax Rate0.74%0.98%
Avg Closing Costs$6K$3K
Closing Cost %1.5%1.1%
Transfer TaxNoneNone
Homeowners Insurance$2,100/yr$2,100/yr
First-Time Buyer Program
MBOH Regular Bond Program
Up to $15,000 DPA
NDHFA FirstHome
DCA up to $14,000
Verdict

North Dakota wins 3 of 6 cost categories, making it the more affordable state for homebuyers overall. With a median home price of $255K and lower overall costs, North Dakota offers meaningful savings compared to Montana. Both states offer first-time buyer programs — explore the state pages for full details.

Monthly Payment Comparison

Estimated PITI payments assuming 10% down, 6.5% rate, 30-year fixed mortgage with PMI.

Montana
Home Price$430,000
Down Payment (10%)$43,000
Loan Amount$387,000
Monthly P&I$2,446
Monthly Property Tax$265
Monthly Insurance$175
Monthly PMI$161
Total PITI$3,048/mo
Annual property tax: $3,182
North Dakota
Home Price$255,000
Down Payment (10%)$25,500
Loan Amount$229,500
Monthly P&I$1,451
Monthly Property Tax$208
Monthly Insurance$175
Monthly PMI$96
Total PITI$1,929/mo
Annual property tax: $2,499

Buying in North Dakota saves you approximately $1,119/month ($13,428/year) compared to Montana, based on median home prices with identical loan terms.

Which State Is Right for You?

North Dakota offers meaningfully lower home prices than Montana, with median prices running 41% less ($175K difference). This gap translates to both a smaller loan and lower monthly payments. First-time buyers priced out of Montana may find North Dakota far more accessible, particularly when combined with local down payment assistance programs.

Property tax rates are similar in both states (Montana: 0.74%, North Dakota: 0.98%), so taxes shouldn't be the deciding factor in your relocation decision. Instead, focus on differences in home prices, insurance costs, and state-specific programs. Both states collect roughly comparable property tax revenue relative to home values.

Closing costs are a one-time but significant expense. Montana averages $6K in closing costs (1.5% of purchase price) while North Dakota averages $3K (1.1%). The difference is spread across title insurance, attorney fees, and recording costs rather than a single large tax. Budget for these upfront costs — they affect how much cash you need on hand at closing.

Both states offer down payment assistance for first-time buyers. Montana's MBOH Regular Bond Program provides Up to $15,000 DPA, while North Dakota's NDHFA FirstHome offers DCA up to $14,000. These programs can significantly reduce your upfront costs and make homeownership accessible even if you haven't saved a full 20% down payment. Check eligibility requirements on each state's housing finance agency website — income limits and purchase price caps apply.

Key Takeaway

The bottom line: North Dakota homes cost $175K less than Montana on average. That translates to roughly $1,119 less per month in total housing costs if you choose North Dakota. For most buyers, this price gap is the single biggest factor — it affects your loan size, monthly payment, and how quickly you build equity.

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