FREE Market Analysis

Get educated on your home's market value. We'll estimate your home's value in our current market and provide you with a customized marketing plan. Please call Dan at 608-852-7071 to get started or fill out the form below and we’ll get back to you promptly. Thanks!
Please provide a valid email address.
Your Home's
Market Value

Madison Real Estate Statistics and TrendsMadison, WI Real Estate Trends - Sep, 2017 (in progress)

This report summarizes the latest market trends for single family homes in Madison, Wisconsin. All data comes from the South Central Wisconsin MLS. Unless otherwise noted, all statistics are current through the month of September, 2017

The Madison real estate market continues to trend very favorably for sellers of single family homes. Homes are selling quickly. Inventory remains limited. Prices are on the rise. Below is a snapshot from our September, 2017 report.

View our monthly Madison condo update here.

Madison Real Estate Market Summary: September, 2017

  • Madison home sales decreased slightly in September and were lower year-to-date. Sales are being restricted by low supply in the single family home market. 
  • Accepted offers increased in September but remained lower year-to-date.  
  • Expired listings through August were the lowest on record. 
  • The Madison single family listing expiration rate was the lowest on record through the month of August. 
  • New listings through the month of September are up just 1% from last year.  
  • As of October 17th, 2017, 35% of all single family listings were under contract with an accepted offer. Only 1.7 months of supply are available in the Madison single family home market. This low number demonstrates a clear sellers' market. Supply is especially low for houses priced under $350,000. 
  • The average days on market through the month of August was the lowest on record.
  • Madison home prices are up significantly through the month of September. The price per square foot is up 10% from last year and currently at a record high level. The average price is up 9% and also at an all-time high. We expect home prices to continue to rise throughout 2017 based on current supply and demand trends. 
  • Competing offers in 2017 were most prevalent in March, April and May. Competing offers have increased in 6 of the first 7 months in 2017. 

Our full reports follow:

Madison WI Home Sales - September, 2017

Madison home sales decreased slightly in the month of September. A total of 207 single family homes were sold via the South Central Wisconsin MLS in the month of September, compared to 225 in September of 2016. 

Year-to-date, a total of 2,075 Madison single family home listings sold via the MLS, which was down from the 2,123 listings sold during the same time period in 2016. A lack of supply is limiting home sales in this year's market. 

 

On an annual basis, a total of 2,613 Madison single family listings sold in 2016, a decrease of 3% from the 2,686 listings sold in 2015. 

This graph shows the seasonality of the market. Each bar on this graph represents a month of closings from the 2016 calendar year. As the graph shows, home sales follow a very predictable, seasonal pattern. Closings peak in the middle of the year after bottoming out in January and February. 

Madison Home Sales: January, 2000 - September, 2017

This table shows the monthly, year-to-date and annual Madison home sale totals for every time period dating back to January, 2000. Note: Green indicates a sales increase from the same time period of the previous year. Red indicates a sales decrease. 

Madison Single Family Accepted Offers - September, 2017

Accepted offers (i.e. "pending home sales") provide a forward-looking view of the market. When accepted offers rise, that's an indication that closings (i.e. home sales) will increase in the months ahead. A total of 186 Madison single family home listings received accepted offers in the month of September, the most on record.  

A total of 2,145 Madison single family listings received accepted offers year-to-date through the month of September, down slightly from the 2,157 accepted offers through September of 2016.

A total of 2,577 single family home listings received accepted offers in 2016. This was the second highest total on record for the Madison single family home market. 

This graph shows the number of Madison accepted offers by week for the 2016 calendar year. This is a great graph for sellers to review prior to choosing a list date. As the graph makes clear, accepted offer activity picks up significantly by February. Sellers who want to time the market just right should have their home on the market by March 1st rather than wait until May or June.

.

This graph shows accepted offers by month for the 2016 calendar year. February, March, April and May had the highest levels of buyer activity in 2016. 

Madison Single Family Accepted Offers: January, 2000 - September, 2017

This table shows the monthly, year-to-date and annual Madison single family accepted offer totals for each time period dating back to January, 2000. As the table below shows, accepted offers decreased (noted by the red data points) 8 of 12 months in 2016 and in 5 of the first 9 months in 2017. Low inventories are limiting the number of accepted offers in the Madison market. 

Madison Expired Single Family Listings - August, 2017 

A total of 40 Madison single family home listings expired in the month of August, which was one of the lowest expired listing totals on record. This is a clear indicator of a strong seller's market in Madison. 

A total of 209 Madison single family home listings expired year-to-date through the month of August, which was the lowest expired listing total on record

A total of 387 Madison single family home listings expired in 2016, which was the lowest expired listing total going back to the year 2000. 

 

Madison Expired Single Family Listings: January, 2000 - August, 2017

This table shows the monthly, year-to-date and annual Madison expired listing totals for each time period dating back to January, 2000. As the table below shows, expired listings have been on a downward trend for the last several years.  

Madison Single Family Expiration Rate - August, 2017

A listing can either "sell" or "expire". The listing expiration rate represents the percentage of listings that expire. Low expiration rates are seen in strong sellers' markets. High expiration rates are seen in strong buyers' markets. 

The Madison single family listing expiration rate in the month of August was only 13%. As the graph below shows, this was the second lowest on record for the month of August. 

The year-to-date listing expiration rate through the month of August was 10%. This was the lowest rate on record. We expect the expiration rate to continue along record lows throughout all of 2017. 

The annual listing expiration rate in 2016 was 13%, which was the lowest rate on record for the Madison single family home market. 

Madison Single Family Expiration Rate: Jan, 2000 - Aug, 2017

This table shows the monthly, year-to-date and annual single family listing expiration rate for every time period dating back to January, 2000. Expiration rates have been trending lower for the last several years. 

Madison Single Family New Listings - September, 2017

A total of 193 single family listings entered the Madison real estate market in the month of September - a 10% decrease from September of 2016 - and the 3rd lowest new listing total on record. 

Year-to-date, a total of 2,472 new single family home listings entered the Madison real estate market through the month of September - which represents a year-over-year increase of 1%.

A total of 2,839 new listings entered the Madison real estate market in 2016. This annual total represented a 9% decrease from the 3,109 new listings that entered the market in 2015. New listings have been entering the market at subdued levels each of the last 9 years.

This graph shows the number of new listings by week for the 2016 calendar year. As the graph below shows, new listing activity grows very quickly after the 1st of the year. Based on this information, it's a smart play for buyers to be searching for homes in January and February before the Spring market heats up. 

This graph shows the number of new MLS listings by month in calendar year 2016. 

Madison Single Family New Listings: January, 2000 - September, 2017

This table shows the number of new listings by month dating back to January, 2000. As the table below shows, new listings increased on a year-over-year basis 8 of 12 months in 2015 and only 2 of 12 months in 2016. Listings were higher in 5 of 9 months in 2017.

.

Madison Single Family Home Months of Supply - 10/17/2017

The table below paints a good picture of the single family home real estate market in Madison. The price ranges highlighted in yellow are most advantageous to sellers. Taking accepted offers into account, all of the price ranges under $350,000 have 1.7 or fewer months of inventory (see the column on the far right). Overall, 35% of all Madison single family home listings have an accepted offer. There are only 1.7 months of inventory available in the Madison single family market as of October 17th, 2017. In October of 2016, there were 1.8 months of supply in the Madison single family home market. 

The Madison single family home market has had less than 2 months of supply since December 2015, indicating a strong seller's market. 

This graph shows the percent of single family home listings with accepted offers dating back to October, 2015. Each bar on the graph represents a snapshot taken mid-month. The percent of listings under contract in October of 2017 was 35% - which was above the 29% measured last October. 

 

Madison WI Homes - Days on Market - August, 2017

The days on market for a sold listing is the number of days from the date of listing until the date of the accepted offer. The days on market for Madison homes are trending much lower than they have in the past. The average days on market for the month of August was only 20 days, which was the lowest on record. 

Year-to-date, the average Madison days on market through the month of August was only 31 days. As the graph below shows, this was the lowest year-to-date average on record.  

The average days on market for all of 2016 was only 37 days. This annual average was the lowest on record.

Madison Single Family Days on Market: Jan, 2000 - Aug, 2017

This table shows the average days on market by month dating back to January, 2000. As the green data points show, the average has decreased each of the last 32 months. In the bigger picture, the Madison days on market statistic has been on a downward path since 2012. The table also shows the seasonality of the market. Days on market tend to be lowest during the summer months and highest during the winter months.

Madison WI Home Prices - September, 2017

The price per square foot is the best statistic we have for measuring home values. The graph below shows the annual Madison single family home price per square foot for every year spanning the year 2000 to 2016. As the graph shows, Madison home prices have risen 4 straight years. Home values in 2016 were the highest on record for the city of Madison.  

In September of 2017, the average price per square foot was $155 - up 7% from last year. As the graph below shows this was the highest average for any month of September on record. 

On a year-to-date basis in 2017, the average price per square foot through the month of September was $156, which was a new record high for the Madison single family home market - and up 10% from last year.  

Historical Price per Square Foot - September, 2017

This table shows the price per square foot year-over-year increase/decrease for every month dating back to January, 2000. Year-to-date home prices are up by 10%. 

Madison Average Home Price - September, 2017

The average single family home sales price in the month of September was $297,717, which was the highest on record and up 9% from last year. We expect Madison home prices to rise throughout 2017 based on current supply and demand trends.  

Year-to-date, the average Madison sales price was $297,528. This is a record high for the Madison single family home market and up 9% from last year. 

The average single family sales price for all of 2016 was $273,102. This annual average was the highest on record. The previous peak year for Madison home prices was 2007, when the average was $254,730.

Madison Home Prices: January, 2000 - September, 2017

This table shows the percent increase/decrease for every month dating back to January, 2000. As the green data points show, Madison home prices have been trending higher since 2013. Prices increased in 11 of 12 months in 2016 and each of the first 9 months in 2017. 

Madison Homes - % with Competing Offers (July, 2017)

For listings that receive accepted offers, this statistic measures the percent that receive written offers from 2 or more competing parties. As the graph below displays, the months of March, April, and May had the highest percentage of competing offers in 2017. Bidding wars and escalating prices are most prevalent during the Spring and early Summer months. 

In the month of July, the percent of listings with competing offers increased year-over-year (from 18% in July of 2016 to 27% in July of 2017). The percentage of listings with multiple offers have increased year-over-year in 6 of 7 months in 2017.

 

Single Family Competing Offers by Price Range: Jan-July, 2017

This table shows the percent of accepted offers that involve 2 or more competing buyers (see the far right column). The data shows single family home listings priced under $350,000 tend to be the most competitive. Listings priced between $200,000 and $250,000 are especially competitive, with 46% of the listings in this price category receiving multiple offers. Overall, 37% of all accepted offers have involved competition from multiple buyers. 

About the Author

Dan Miller has been helping clients buy and sell homes and condos since 2007. Please feel free to contact Dan with any questions you have about the Madison real estate market or any other market in the South Central Wisconsin area.