Madison’s Spring 2025 Market Outlook

Dane County’s 2025 housing market seems set to repeat 2024 patterns, so today’s Sellers can expect similar results to those their neighbors netted in 2024.  

The good news for Buyers is that Dane County inventory has increased YOY by 17%.  The bad news is this new inventory has plenty of Buyer demand; thus, prices are not falling in Dane County like in some parts of the country.  

While many factors are propping up local prices, the bottom line is that we are far from our pre-pandemic inventory levels, as shown in the graph below.

While there are indications that the lock-in effect of existing low mortgage rates is diminishing as life events and natural turnover push sellers back into the market, Madison’s inventory growth provides opportunities for buyers, even as affordability remains a concern. 

Many markets nationwide are experiencing price drops, but “all real estate is local” and Dane County is a powerhouse of Buyer demand and low inventory.  The only events that could stop this train are a severe recession and a loss of Buyer Demand.  

In theory, more inventory should soften prices, but if interest rates continue to drop slowly, this will drive Buyer demand, offsetting any supply increase. 

March and April will be interesting to watch as the Spring Market ramps up. We will see which trend lines hold up.

The McGrady Group is ready to help you succeed in a quick-moving market with historically low inventory and signs of price stabilization. Contact us now to set a plan to capitalize on the upcoming Spring market and learn how tailored incentive programs for buyers and sellers can help you navigate these factors for a successful move this year.

Warm regards,

Matt & Seth
The McGrady Group