WISCONSIN The RE/MAX INTEGRA, Midwest s Springboard into Summer Housing Market Report analyzes the latest trends and economic conditions of the residential real estate market throughout Wisconsin. Individual summaries are provided on the southeast, south central, northeast and western portions of the state with a focus on home sales, median sales price and other market factors. 19 WEST 17 NORTHEAST 15 SOUTH CENTRAL 13 SOUTHEAST 12
WISCONSIN SOUTHEAST LOW INTEREST RATES encouraged a surge of activity for the Southeast Wisconsin housing market through the start of. As rates begin to creep up, buyers are realizing a sense of urgency to enter the market. During the month of April, home sales rose nearly 12 percent for the region as a whole compared to the same time last year. Meanwhile, median sales price grew 16.7 percent from $145,000 to $169,150. While home sales remained steady for Milwaukee area residents, the county as a whole saw a considerable upswing in median sales price. Exceeding the entire southeast region, homeowners in Milwaukee County experienced a 17.3 percent increase in sales price during the month of April, swinging from $115,000 to $134,900. Waukesha County also demonstrated an active market with a 19.5 percent increase in home sales during the month of April compared to April. Racine paved the way with a 31.2 percent increase in home sales, coupled with a nearly 24 percent increase in median Moving away from distressed properties and closer to recovery, the southeast region of Wisconsin started off strong in and is expected to continue this momentum throughout the end of the year. 13
sales price. Meanwhile, Kenosha residents saw a steady uptick in home sales in addition to a 12 percent increase in median sales price from $122,500 to $137,250. Moving away from distressed properties and closer to recovery, the southeast region of Wisconsin started off strong in and is expected to continue to keep this momentum up throughout the end of the year. Single family homes and condominiums are driving demand in the region, while the upperend market remains healthy well into the $750,000 price point. Downsizers are active as well, eager to move closer to children and grandchildren. The area s affordability index remains stable, despite low inventory and multiple offers on homes. With prices on the rise, the market is beginning to favor the seller. With this in mind, sellers must be prepared to enter and compete in today s real estate climate. Properly pricing and staging a home for sale is of the utmost importance, keeping in mind that every transaction has some kind of uniqueness to it, whether on buyer s side, seller s side, appraiser s side, or during inspection. It s a marketplace that s truly active from beginning to end. NUMBER OF HOMES SOLD & MEDIAN SALES PRICE APRIL COMPARED TO APRIL County Kenosha 180 184 2.2% $122,500 $137,250 12.0% Milwaukee 839 843 0.5% $115,000 $134,900 17.3% Ozaukee 88 110 25.0% $219,950 $235,000 6.8% Racine 176 231 31.2% $117,200 $145,000 23.7% Sheboygan 111 132 18.9% $114,900 $117,950 2.7% Walworth 117 154 31.6% $160,000 $168,250 5.2% Washington 142 161 13.4% $169,900 $195,000 14.8% Waukesha 400 478 19.5% $230,000 $241,500 5.0% Southeast Wisconsin Source: Wisconsin REALTORS Association 2,053 2,293 11.7% $145,000 $169,150 16.7% 14
WISCONSIN SOUTH CENTRAL WISCONSIN S SOUTH central housing market sustained a robust trek through the start of. Low interest rates, low inventory and confidence in the region s improving economy fueled price pressure during the first four months of the year. Buyers competed with multiple offers on homes and saw prices above asking price on many property types in a variety of geographic locations. During the month of April, south central residents saw median sales price rise 9.5 percent compared to the same time last year, from $169,000 to $185,000. In addition, home sales increased nearly 15 percent for the region as a whole. Dane County, including the city of Madison, saw a nearly 24 percent increase in home sales during the month of April, By mid-summer 2016, a more balanced supply and demand scenario should reach buyers and sellers, leveling out the south central region with new construction bringing up total listings and greater inventory levels to choose from. coupled with a 9.5 percent increase in median sales price from $209,950 to $229,900. Rock County, including the city of Janesville, also experienced an active market with 9.5 percent more homes sold this April compared to last April. The south central region is on an upswing and observers say it will ultimately lead to an overall increase in home values for the 12-county region. The area is seeing movement in the upperend market after two years of nearly stagnant sales. Luxury homes are looking more and more attractive to potential buyers as they consider a purchase before interest rates tick up. Move-up buyers seem to be driving the majority of demand for homes in South Central Wisconsin throughout the spring and heading into the summer months. In a market 15
with low inventory, this creates a challenge for home sellers, who begin to have difficulty finding a home to move to upon selling their current home. However, the region is still being considered a seller s market and is expected to continue as such through the rest of and into next year. By midsummer 2016, a more balanced supply and demand scenario should reach buyers and sellers, leveling out the south central region with new construction bringing up total listings and greater inventory levels to choose from. NUMBER OF HOMES SOLD & MEDIAN SALES PRICE APRIL COMPARED TO APRIL County Columbia 73 66-9.6% $138,000 $152,000 10.1% Crawford 13 10-23.1% $116,000 $109,000-6.0% Dane 600 743 23.8% $209,950 $229,900 9.5% Dodge 69 81 17.4% $125,555 $119,000-5.2% Grant 38 32-15.8% $102,500 $122,500 19.5% Green 43 47 9.3% $109,000 $173,000 58.7% Iowa 23 19-17.4% $120,000 $134,900 12.4% Jefferson 81 80-1.2% $137,500 $154,450 12.3% Lafayette 9 9 0% NA NA NA Richland 10 21 110.0% $128,000 $69,000-46.1% Rock 169 185 9.5% $115,000 $114,900-0.1% Sauk 67 77 14.9% $155,000 $163,600 5.5% South Central Wisconsin Source: Wisconsin REALTORS Association 1,195 1,370 14.6% $169,000 $185,000 9.5% 16
WISCONSIN NORTHEAST AFFORDABLE INTEREST rates and low inventory levels shaped the Northeast Wisconsin housing market during the first four months of. Shrinking inventory amidst a strong market contributed to a moderate rise in prices as buyers absorbed available listings during this time. Nearly every area in the northeast region saw increases in both median sales price and home sales during the month of April. The region as a whole experienced an 8.2 percent increase in median sales price compared to the same time last year, while home sales spiked a significant 17.1 percent. Outagamie County, including the city of Appleton, enjoyed a healthy start to, closing out the month of April with a 41.4 percent growth in home sales coupled with a steady 11.5 percent increase in median sales price. Winnebago County, including the city of Oshkosh, saw similar strides in home sales with a 30.4 percent increase in April compared to the same time last year. Brown County, including the city of Green Bay, also demonstrated a recovering market with a 10.7 percent increase in home sales mixed with a 2.7 percent increase in median sales price. Consumer confidence is high in the long-term sustainability The region is right on the edge of a very dynamic, positive market; with one caveat interest rates remain low and pricing does not surpass affordability. 17
of the Northeast Wisconsin housing market. The amount of distressed properties in the area has dropped significantly, driving property values up in most areas. The local economy continues to pick up as many employers have hired back workers that were laid off in years past. appreciation is exceeding projected values, forecasting a stronger market than the one experienced in. The region is right on the edge of a very dynamic, positive market; with one caveat interest rates remain low and pricing does not surpass affordability. Potential buyers considering a purchase are being advised to take action. With interest rates hovering at historically low rates and home values rising, affordability is at an all-time high for the Northeast region. Not knowing how long the low interest rates will stick around, buyers have a unique opportunity heading into the summer selling season. NUMBER OF HOMES SOLD & MEDIAN SALES PRICE APRIL COMPARED TO APRIL County Brown 261 289 10.7% $143,000 $146,800 2.7% Calumet 55 48-12.7% $162,940 $175,450 7.7% Door 30 37 23.3% $117,500 $225,000 91.5% Fond du Lac 81 87 7.4% $122,000 $113,000-7.4% Green Lake 22 19-13.6% $117,450 $136,000 15.8% Kewaunee 12 18 50.0% $106,300 $80,950-23.8% Manitowoc 67 87 29.9% $90,000 $82,000-8.9% Marinette 44 41-6.8% $73,000 $94,500 29.5% Menominee 2 NA NA NA NA NA Oconto 37 47 27.0% $117,000 $110,000-6.0% Outagamie 152 215 41.4% $129,950 $144,900 11.5% Shawano 32 31-3.1% $78,950 $105,000 33.0% Waupaca 49 50 2.0% $111,000 $125,950 13.5% Winnebago 148 193 30.4% $119,950 $119,000-0.8% Northeast Wisconsin Source: Wisconsin REALTORS Association 992 1,162 17.1% $122,000 $132,000 8.2% 18
WISCONSIN WEST Attractive rates coupled with a stable job market have created a strong recreational housing push as people begin making that cottage or land purchase they ve been considering. LOW INVENTORY LEVELS and stable interest rates fueled an active market for West Wisconsin through the start of. Both factors played a major role in the increase in median sales price throughout this time. During the month of April, median sales price for the region as a whole increased 12.6 percent compared to the same time last year, from $135,000 to $152,000. Sellers are taking advantage of the favorable selling environment with greater demand for homes on the market at higher price points. Sellers in Eau Claire, for example, experienced a $10,000 increase in median sales price during the month of April compared to April. In addition, home sales increased 24.4 percent for the entire region during the month of April with 612 homes sold, compared to 492 homes sold in April of last year. With steady increases in yearover-year home sales through the start of, consumer confidence is at an all-time high for residents of West Wisconsin. Attractive rates coupled with a stable job market have 19
created a strong recreational housing push as people begin making a cabin or land purchase they ve been considering. The brisk spring market is being driven by single family homes in the $125,000 to $225,000 price range. In addition, the twinhome market, though much smaller, has been strong due to its attractive price points from $140,000 to $160,000. A wide range of buyers are driving demand for homes in West Wisconsin. Millennials are beginning to move away from renting, making first-time homebuyers major participants in the current market. Local condo owners are looking to sell with the hopes of upsizing, generating a greater population of move-up buyers. In addition, baby boomers that have recently become empty nesters have been looking to downsize. All three types of buyers will help to maintain a solid market throughout. NUMBER OF HOMES SOLD & MEDIAN SALES PRICE APRIL COMPARED TO APRIL County Buffalo 9 6-33.3% NA NA NA Chippewa 39 64 64.1% $127,900 $141,500 10.6% Dunn 45 51 13.3% $120,000 $157,500 31.2% Eau Claire 97 134 38.1% $132,500 $142,475 7.5% Jackson 18 17-5.6% $141,250 $107,500-23.9% La Crosse 88 104 18.2% $133,500 $135,000 1.1% Monroe 33 30-9.1% $130,000 $115,000-11.5% Pepin 2 16 700% NA $124,000 NA Pierce 36 32-11.1% $156,750 $165,000 5.3% St. Croix 89 119 33.7% $186,400 $189,900 1.9% Trempealeau 16 20 25.0% $86,420 $123,200 42.6% Vernon 20 19-5.0% $87,500 $165,000 88.6% West Wisconsin Source: Wisconsin REALTORS Association 492 612 24.4% $135,000 $152,000 12.6% 20