Madison Real Estate Statistics and TrendsMadison, WI Real Estate Trends - Feb, 2019

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 February, 2019

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 February, 2019 report.

View our monthly Madison condo update here.

Madison Real Estate Market Summary: February, 2019

  • Madison home sales decreased in February. 
  • Accepted offers started the year off lower in 2019. Bad weather significantly impacted the market in February.  
  • Expired listings through February were the third lowest on record. 
  • The Madison single family listing expiration rate was up slightly in February but was still low by historical standards.  
  • New listings dipped in the month of February due to poor weather.  
  • As of March 13th, 2019, 42% of all single family listings were under contract with an accepted offer. Only 1 month of supply is available in the Madison single family home market. This low number demonstrates a good market for sellers, especially for houses priced under $300,000. The market for higher priced homes is a little more challenging for sellers in 2019. 
  • The average days on market in February was the lowest on record for the month.
  • Madison home prices are up through the month of February. The price per square foot is up 4% from last year and currently at a record high level. The average price is up 5% and also at an all-time high. 
  • Competing offers in 2018 were most prevalent in April, May and June.  
  • Cash offers are near historically high levels. Fifteen percent of all Madison single family home sales were financed with cash in the month of January. 

Our full reports follow:

Madison WI Home Sales - February, 2019

Madison home sales decreased in the month of February, due to slower buyer activity at the end of 2018. 

Year-to-date, a total of 226 Madison single family home listings sold via the MLS, which was down from the number of homes sold in 2018. 

On an annual basis, a total of 2,665 Madison single family listings sold in 2018, just under the 2,669 listings sold in 2017. 

This graph shows the seasonality of the market. Each bar on this graph represents a month of closings from the 2018 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 - February, 2019

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 - February, 2019

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 137 Madison single family home listings received accepted offers in the month of February, down from the 207 accepted offers in February of 2019. Poor weather in February significantly impacted buyer activity. 

A total of 292 Madison single family listings received accepted offers year-to-date through the month of February, down from the 391 accepted offers through February of 2018.   

A total of 2,552 single family home listings received accepted offers in 2018. This was the fifth highest total on record for the Madison single family home market. 

 Accepted Offers Madison Homes 2018

This graph shows the number of Madison accepted offers by week for the 2018 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 2018 calendar year. March, April, May and June had the highest levels of buyer activity in 2018. 

Madison Single Family Accepted Offers: Jan, 2000 - Feb, 2019

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.  

Madison Expired Single Family Listings - Feb, 2019 

A total of 11 Madison single family home listings expired in the month of February, which was a slightl increase over last year. We believe expired listings will gradually rise in 2019. 

A total of 45 Madison single family home listings expired year-to-date through the month of February, which was the third lowest expired listing total on record. 

A total of 293 Madison single family home listings expired in 2018, which was the lowest expired listing total going back to the year 2000. 

 

Madison Expired Single Family Listings: Jan, 2000 - Feb, 2019

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, but more recently have gradually started to increase.  

Madison Single Family Expiration Rate - Feb, 2019

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 February was 8%. As the graph below shows, this was very low when compared to most other years dating back to the year 2000. 

The year-to-date listing expiration rate through the month of February was 17%. This was the highest rate through the month of February over the last 3 years. 

The annual listing expiration rate in 2018 was 10%, which was the lowest rate on record for the Madison single family home market. 

Madison Single Family Expiration Rate: Jan, 2000 - Feb, 2018

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 higher each of the last 6 months. 

Madison Single Family New Listings - February, 2019

A total of 196 single family listings entered the Madison real estate market in the month of February - the second lowest total on record for the month. Poor weather limited the amount of new listings in February.   

Year-to-date, a total of 366 new single family home listings entered the Madison real estate market through the month of February. This was the lowest year-to-date amount dating back the year 2000. 

A total of 2,822 new listings entered the Madison real estate market in 2018. This annual total represented a 4% decrease from the 2,954 new listings that entered the market in 2017. New listings have been entering the market at subdued levels each of the last 10 years.

This graph shows the number of new listings by week for the 2018 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 2018. 

Madison Single Family New Listings: Jan, 2000 - Feb, 2019

This table shows the number of new listings by month dating back to January, 2000. As the table below shows, new listings decreased on a year-over-year basis each of the last 4 months. 

.

Madison Single Family Home Months of Supply - 3/13/2019

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 $300,000 have .7 or fewer months of inventory (see the column on the far right). Overall, 42% of all Madison single family home listings have an accepted offer. There is only 1 month of inventory available in the Madison single family market as of February 8th, 2019. In February of 2018, there were .9 months of supply in the market.

The Madison single family home market has had less than 2 months of supply since December 2015. 

This graph shows how active listings have changed from March of 2016 to March of 2019. Active listings are beginning to rise again in Madison. 

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 March of 2018 was 42% - which was below the 54% from last March. 

Madison WI Homes - Days on Market - Feb, 2019

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 February was only 43 days, which was the lowest on record. 

Year-to-date, the average Madison days on market through the month of February was only 46 days. As the graph below shows, this was the lowest year-to-date average on record.  

The average days on market for all of 2018 was only 26 days. This annual average was the lowest on record.

Madison Single Family Days on Market: Jan, 2000 - Feb, 2019

This table shows the average days on market by month dating back to January, 2000. 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 - February, 2019

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 2018. As the graph shows, Madison home prices have risen 6 straight years. Home values in 2019 were the highest on record for the city of Madison.  

In February of 2019, the average price per square foot was $159 - even with last year. As the graph below shows this was the highest average for any month of February on record. 

On a year-to-date basis in 2019, the average price per square foot through the month of February was $160, which was a new record high for the Madison single family home market - and up 4% from last year.  

Historical Price per Square Foot - Feb, 2019

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 4%. 

Madison Average Home Price - February, 2019

The average single family home sales price in the month of February was $313,193, which was the highest on record and up 3% from last year.

Year-to-date, the average Madison sales price was $313,898. This is a record high for the Madison single family home market and up 5% from last year. 

The average single family sales price for all of 2018 was $307,228. 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 - February, 2019

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 2018 and started the year off higher in 2019. 

Madison Homes - % with Competing Offers (Jan, 2018)

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 April, May, and June had the highest percentage of competing offers in 2018. Bidding wars and escalating prices are most prevalent during the Spring and early Summer months. 

In the month of December, the percent of listings with competing offers decreased year-over-year (from 24% in December of 2017 to 22% in December of 2018). 

 

Single Family Competing Offers by Price Range: Jan-Dec, 2018

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. Overall, 33% of all accepted offers have involved competition from multiple buyers. This is up from 31% in 2017. 

Madison Homes - Cash Offers - January, 2019

In the month of January, 15% of all Madison Single Family home sales were purchased with cash. Note, cash offers are most prevalent at the low end and high end of the market. 

This graph shows the annual percentage of cash offers for every year spanning from 2000 to 2018. Note, cash offers are much more prevalent in the condo market. 

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. 

Sign up for email updates