It's been a crazy year to the say the least. A global pandemic. Political chaos. And economic uncertainty. Despite all of the chaos, the competition for Madison area real estate is at an all-time high in 2020. According to our latest review of MLS data, 34% of all Dane County home listings received multiple offers through the month of June. This is up from the previous high of 33% in 2018, and up from 26% in 2016, when we first started tracking this statistic.
How competitive is the market by price range?
Here's how the numbers shake out:
The very high number of competing offers this year shows there's a lot of pent-up demand for real estate in the Madison area. A lot of buyers are writing offers this year, and a lot of those buyers are struggling to get their offers accepted. This is especially true for buyers in the under $300,000 market.
A lesson for sellers in 2020
One of the big "aha's" for sellers this year is that the typical seasonality of the market has changed, at least for the time being. COVID-19 has made inventory less plentiful at a time when supply was already low. Now, sellers can list their home any month of the year and feel good about their prospects. Low inventory and low mortgage rates have created a favorable market 12 months out of the year.
A lesson for buyers
We recently spoke to a buyer agent from another brokerage who has written four offers this year for one of her clients. She's still out pounding the pavement for her client and still working very hard to get an offer accepted. This is a common story in 2020. For many buyers right now, success requires being persistent, being resourceful, and working with a skilled and dedicated agent. To be successful this year, buyers need to be committed and need to be working with a professional.
Do you have questions about how to accomplish your real estate goals in this year's unique real estate market? Please reach out to our team of professionals for a helpful conversation.
This article is published courtesy of: Dan Miller, REALTOR Mad City Dream Homes & RE/MAX Preferred