The Madison condo market has been hot all year and prices are on the rise. Prices rose 15% in May based on our price per square foot statistic. The May price per square foot was $143, compared to $125 in May of 2016. 

Year-to-date through May, the price per square foot is up 12% - from $134 in 2016 to $151 in 2017. This year's market is approaching the 2006 market peak - when the price per square foot was $152. 

Madison condominiums are selling at the fastest pace on record. 

Condos are selling at the fastest pace ever. The May average days on market was only 41 days. 

 The year-to-date average is 52 days - also a record low.  

What's driving the hot market? 

Low inventory. As of June 9th, only 1.5 months of supply were

Madison home and condo prices took a big leap in April. Here's a quick look at the April numbers. 

Home Prices

The price per square foot jumped by $22 from April 2016 to April 2017. That's an increase of 16%. 

Year-to-date, the price per square foot was up by $14 through the month of April - an increase of 10%. 

Condo Prices

The April condo price per square foot increased $16 year-over-year - an increase of 11%. 

Year-to-date the price per square foot was also up by 11%

What's driving prices higher? 

Increased competition. Amazingly, 47% of all single family homes that went under contract in March involved 2 or more competing offers. That's the highest percentage we've seen in the Madison market. Increased

The market this year is playing out as expected. Inventories are historically low. Properties are selling quickly. And prices are rising rapidly throughout Dane County. Here's a quick market snapshot covering a few of the county's largest communities. 

Home Prices

We use the price per square foot to track the change in local home prices. Property values are rising rapidly and setting new highs in Fitchburg, Madison, Sun Prairie, Verona and Waunakee. We expect Middleton home prices to reach new highs within a few months.

Low inventories and strong demand are driving prices higher. Bidding wars and "escalation clauses" have become very common this spring, especially for listings priced under $350,000. 

Condo Prices

The condo market used to be

Madison home prices started the year off strong in 2017. The price per square foot reached a record high of $139, up 8% from $129 in January of 2016. 

Measuring prices in another way (the average price), home prices increased by 10%. The average price of $271,485 was a record high for the month of January. 

Get Used to Rising Prices in 2017

We expect prices to rise by at least 5 to 6 percent this year due to persistently low levels of inventory.  If you're buying, you'll need to adjust your tactics in order to compete in this year's seller's market. Check out our blog for our 2017 home-buying tips. 

If you're selling, your home may be worth a lot more than you think, especially during this year's Spring selling season. Contact us for

We track a lot of stats each month to stay in touch with the latest real estate trends in Madison. If we were to choose the most meaningful statistic it would be the percent of listings with accepted offers. Knowing this number provides some great insight into the momentum and direction of the market. 

Right now an amazing 51% of all Madison single family home listings have an accepted offer. This is a high percentage for any time of year, especially the month of February. It tells us the Spring market has already arrived in Madison.  

This Year's Market is Hotter

Last year at this time only 35% of all Madison single family home listings had an accepted offer. This year more than half of all listings are under contract and scheduled to close

It's only February 1st but it's already beginning to feel like a Spring market. So far this year 4 of our transactions have involved cash offers. One of our listing clients just received 4 cash offers - all of them for above the list price. 

Single family homes are in short supply, and buyers are adjusting their tactics accordingly. Here's a quick overview of the competitive real estate market in Dane County.  

Madison Single Family Homes

The real estate market in Madison is hot under $400,000. Overall there are only 1.1 months of inventory available for sale. Almost one-third of all single family home listings have an accepted offer (a high percentage for this time of year).

Fitchburg Single Family Homes

The Fitchburg real estate

Home supply in the Madison area is low and the demand for housing is booming, yet home building levels have been flat for the last 4 years. So why aren't more homes being built in Madison and Dane County? One industry expert recently shared his insights with me (see below). 

Why aren't more homes being built in and around Madison? 

Before the 2005 housing downturn, activity with developers and financial institutions in various stages of planning and completion was robust. It was a financially rewarding time to be a lender or a builder. When the downturn hit, the emotional and financial shock took many by surprise and is reflected in the current reluctance of lenders to provide capitol, and developers and builders to take chances.

The one

It's going to be another wild and crazy year for real estate in 2017. Low supply will be the HUGE theme as the weather starts to warm. If you're serious about buying in 2017, you'll need to go "all in". The market is already playing its hand this year - and supply is trending lower. Here is some quick insight into the inventory trends at play in the Madison area real estate market. 

Madison Single Family Home Inventory is Historically Low

Right now there are only 1.1 months of inventory in the Madison single family home market. Last year at this time there were 1.6 months. What's more, active MLS listings are down 20% from where they were last year. Almost one-third of the listings on the market right now are under contract (a very high percentage

Madison home prices will rise again in 2017 because inventory remains low and there is a large pent up demand for real estate. Despite modestly higher interest rates, expect a Spring market full of bidding wars and listings that sell in a matter of days or even hours.

If you're a serious buyer, begin your search in December or January rather than delay until the Summer or Spring. The competition for housing will become very fierce very soon. 

If you're a committed seller, know that in today's market you don't need to list in the Summer or Spring in order to have a successful sale. You can list in early 2017 and achieve positive results. The data below demonstrates why the market favors you.  

Signs of a Seller's Market

We just completed a

These days a lot of our real estate news comes from social media chatter and headlines. In this post we summarize the latest market trends with some objective data straight from the MLS. Here are the latest scoops on the 2016 Spring markets in Fitchburg, Madison, Middleton and Verona. 

Fitchburg Homes and Condos

Inventory is tight in both the single family home and condo markets. Below are a couple of quick nuggets followed by more market info on our SlideShare real estate page. 

• Fitchburg single family home inventory is especially tight for properties priced under $400,000. Right now there is only 1 month of supply for listings in this price range. Sixty-two percent of these listings are under contact and scheduled to close soon.