Madison area home prices rise again in July

Here’s our latest insight into the Dane County single family home market, covering the month of July, 2023. 

July Dane County home prices

Madison area home prices continued to rise in July, and by all measures:

• The price per square foot of $225 rose by 6 percent from the $213 in July of 2022.
• The median price of $446,154 also grew by 6 percent.
• And the average price of $505,915 increased by 5 percent. 

We’re expecting prices to continue to rise for the foreseeable future based on all of our current supply and demand trends — keep reading for more insight.

July MLS listings

As the chart below shows, MLS listing activity decreased significantly last summer when interest rates moved sharply higher. And listings have been trending lower ever since. Right now, listing activity is almost 40 percent lower than it was at the same time two years ago.

What’s more, new listings are entering the market at the slowest pace on record.

Available listings

With fewer homes entering the market, fewer homes are available for buyers to purchase. Right now there are less than 500 available homes (those without an accepted offer) in Dane County. Note from the graph below, that there were well above 500 available listings at the same time in 2022 and in 2021.

Competing offers

Madison area home prices keep rising because the percent of listings receiving competing offers remains elevated. Note from the chart below that the competing offer percentage is still very high when compared to pre-pandemic levels.

Accepted offers

Low supply continues to limit the number of homes going under contract in Dane County.

July Dane County home sales

July home sales (or closings) were the lowest since July of 2011.

Days on market

Days on market continue to trend along historically low levels.

We’re in a new era for real estate

And many of the old rules, based on ample supply, no longer apply. Here are 9 reasons why we anticipate high prices and low supply in Dane County for the foreseeable future.

How does the market impact you and your real estate goals? We’re always available for a conversation, and we’d love to help you plan for your future. Reach out to us whenever you need a little help.