Madison WI Condo Market Trends: Jan 2019
This report provides objective information on the latest condo market trends in Madison, Wisconsin. The city of Madison represents the largest market in South Central Wisconsin, and serves as a good indicator for the market across all of Dane County. All of our statistics are compiled from the South Central Wisconsin Multiple Listing Service (MLS). Unless noted otherwise, all of the statistics below are updated through December, 2018.
Madison WI Condo Market Summary - January, 2019
- Madison condo sales are being curbed by low supply in 2019.
- Accepted offers started the year a little lower compared to January of 2018.
- Expired listings continued to trend near historically low levels in the month of January.
- The Madison condo listing expiration rate is very low by historical standards.
- New condo listings are entering the market at a slow pace.
- As of 2/8/19, only 1.1 months of supply were available in the local condo market. This low level of condo inventory indicates a good sellers' market; however, the market does vary significantly by price range.
- Condo days on market through January were the lowest on record.
- Madison condo prices increased by 6% in 2018. We expect condo prices to rise once again in 2019, but by a lesser amount.
- Competing offers in 2018 ended the year at 29%.
Madison WI Condo Sales - January, 2019
A total of 52 Madison condos sold via the MLS in the month of January, which was even with the number of condos sold in January of 2018. Sales are limited due to the lack of supply in the market.
Year-to-date through January, a total of 52 Madison condo listings sold via the MLS.
On an annual basis, a total of 1,040 Madison condo listings sold in 2018, just below the 1,046 listings sold in 2017.
Madison Condo Sales: Jan, 2000 - Jan, 2019
This table shows the monthly, year-to-date and annual sold Madison condo listings for every time period dating back to January, 2000.
Madison Condo Accepted Offers - January, 2019
Accepted offers (or pending condo sales) provide an indication of the number of closings that can be expected in the months ahead. A total of 69 Madison condo listings received accepted offers in the month of January. Low condo supply has limited accepted offer activity in Madison.
A total of 69 Madison condos received accepted offers year-to-date through the month of January.
A total of 1,046 Madison condo listings received accepted offers in 2018.
This graph shows Madison condo accepted offers by week in 2018. As the graph below shows, accepted offer activity peaks in the Spring and troughs in the month of December. This is an important graph for sellers to understand prior to listing their condo for sale.
This graph shows accepted offer activity by month.
Madison Condo Accepted Offers: Jan, 2000 - Jan, 2019
The table below shows the monthly, year-to-date and annual Madison condo accepted offer totals for each time period dating back to January, 2000. Accepted offers were essentially flat in 2018 when compared to the accepted offer totals from the 3 previous years.
Madison Expired Condo Listings - Jan, 2019
A listing "expires" when it does not sell by the end date specified in the listing contract. A large number of expired listings indicates a strong buyers' market. A low number of expired listings indicates a strong sellers' market.
Expired listings are trending near historically low levels but are beginning to trend higher. A total of 12 Madison condo listings expired in the month of January, after expired listings increased each of the last 3 months.
A total of 12 Madison condo listings expired year-to-date through the month of January, even with the 12 expired listings through January of 2018.
A total of 97 Madison condo listings expired without selling in 2018, down from the 152 listings that expired in 2017. This represents the lowest expired listing total on record.
Madison Expired Condo Listings: Jan, 2000 - Jan, 2019
This table shows the monthly, year-to-date and annual expired condo totals for each time period dating back to January, 2000. The green data points show expired listings have been trending along a downward path since 2009.
Madison Condo Listing Expiration Rate - Jan, 2019
The Madison condo listing expiration rate was 19% in the month of January.
The year-to-date condo expiration rate through the month of January was 19% - the lowest percentage on record.
The annual condo listing expiration rate in 2018 was 9%. This was the lowest annual rate on record.
Madison Condo Listing Expiration Rate: Jan, 2000 - Jan, 2019
This table shows the monthly, year-to-date and annual condo listing expiration rate for every time period dating back to January, 2000.
Madison Condo New Listings - Jan, 2019
The number of new listings entering the Madison condo has been low by historical standards. A total of 81 condo listings entered the market in January - the third lowest total dating back to the year 2000.
Year-to-date, a total of 81 new listings entered the Madison condo market through the month of January.
A total of 1,144 new listings entered the Madison condo market in 2018. This was a low level by historical standards.
The graph below shows the number of new Madison condo listings by week for the 2018 calendar year.
Madison Condo New Listings: January, 2000 - January, 2019
This table shows the number of new Madison condo listings by month dating back to January, 2000. A green data point indicates an increase in new listings. A red data point indicates a decrease.
Madison WI Condo Inventory as of 2/8/19
This table offers an excellent snapshot of our local condo market. The price ranges highlighted in yellow indicate segments of the market that are particularly favorable to sellers. Taking accepted offers into account, all of the price ranges under $250,000 have less than .7 months of available supply (refer to the column on the far right). Overall, 45% of all Madison condo listings have an accepted offer. Across all price ranges, there are only 1.1 months of inventory available in the Madison condo market as of February 8th, 2019. Note, months of inventory do vary tremendously by price range. The higher levels of supply in the luxury segment indicate a market which is more favorable to buyers.
This graph shows how Madison condo supply has varied over time. The Madison condo market has been a very strong seller's market for over 2 years and running.
This graph shows the percent of Madison condo listings with an accepted offer - for each month dating back to October of 2015. The percentage increased from 39% in February of 2018 to 45% in February of 2019, indicating a very hot condo market for the start of 2019.
Madison WI Condos - Days on Market - January, 2019
How long does it take to sell a condo in Madison? The days on market statistic is represented by the number of days that pass from the listing start date to the listing accepted offer date. The days on market for Madison condos are now trending along historically low levels. The average for the month of January was only 36 days. This was the lowest days on market ever for the month.
Year-to-date, the average Madison condo days on market through the month of January was 36 days. We expect the days on market statistic to remain low in 2019 based on current supply and demand trends.
The average condo days on market for all of 2018 was only 37 days. This annual average was the lowest on record.
Madison Condo Days on Market: January, 2000 - Jan, 2019
This table shows the average condo days on market by month dating back to January, 2000. As the green data points show, the days on market for Madison condos have been trending much lower since 2014.
Madison WI Condo Prices - January, 2019
Our best measure of condo value is the price per square foot. In 2018, the average Madison condo price per square foot increased for the for the 6th straight year. Condo prices bottomed out in 2012 and began to rise again with increasing demand and falling supply. The graph below shows the average price per square foot for every year dating back to the year 2000. Madison condo prices in 2018 were the highest on record. We expect the price per square foot to continue rising in 2019 based on current condo market dynamics.
The average price per square foot in the month of January was $146.
Year-to-date through January, the average price per square foot was $146.
Historical Madison Condo Prices through January 2019
This table shows the percent change in the price per square foot for every time period dating back to January, 2000. The price per square foot increased by 6% in 2018.
Madison Average Condo Price - January, 2019
The average Madison condo price in the month of January was $195,995. The average condo price can fluctuate greatly from month-to-month due to the relatively low number of sales compared to the single family home market. A few high-end or low-end condo sales can have a big impact on the average price in any given month. Therefore focus on the long-term trend over placing too much emphasis on any given month. We do expect Madison condo prices to set new records as we progress through the 2019 sales year.
Year-to-date, the average Madison condo price was $195,995 through the month of January.
The average condo price for all of 2018 was $225,125 - a record high for the Madison condo market.
Madison Condo Prices: January, 2000 - Aug, 2017
This table shows the percent increase/decrease in the average condo price for every month dating back to January, 2000.
Madison Condos - % with Competing Offers - Dec, 2018
This statistic measures the percentage of condo listings that receive multiple offers. As the graph below shows, the percentage increased from 14% in December of 2017 to 17% in December of 2018. Also note the seasonality of competing offers. Multiple offers are most common in the Spring and early Summer and least common in the Fall and early Winter.
Competing Offers by Price Range: Jan-December, 2018
Which price ranges are the most competitive for condo buyers? The graph below shows the percentage of accepted offers that involve competition from multiple buyers. Generally speaking, condo listings priced between $100,000 and $200,000 are the most competitive. Overall, 29% of all accepted offers in 2019 have involved competition from multiple buyers.
About the Author
Dan Miller has been studying and reporting on the Madison condo market since 2007. Please feel free to contact Dan with any questions you have about your local condo market.