What’s Driving Home Prices in Madison, WI This Month? (December 2025)
What's Driving Home Prices in Madison, WI This Month? (December 2025)
Question: What's driving home prices in Madison this month?
Answer: In December 2025, home prices in Madison are being shaped mostly by limited inventory, steady buyer demand, and competitive pricing. The median sale price is $434,100, active inventory is about 950 homes, and the sale-to-list ratio is near 98%. Data Source: South Central Wisconsin MLS (SCWMLS) market data, as published by Integrity Homes. Last updated:
- Median Sale Price: $434,100
- Average Sale Price: $450,000
- Price per Square Foot: $220
- Sale-to-List Price Ratio: 98%
- Active Inventory: 950 homes
Home prices in Madison don't move randomly — they react to inventory, demand, interest rates, and seasonal trends. If you're trying to time a move, it helps to understand what's behind the numbers. Here's what the December 2025 data shows.
Data source: South Central Wisconsin MLS (SCWMLS) market data, as published on IntegrityHomesWI.com.
Want the complete breakdown?
See the full Madison market report with the same stats used in this post.
View the Madison Market OverviewWhat's Happening With Madison Home Prices Right Now
Here's the quick pricing snapshot for December 2025:
- Median Sale Price: $434,100
- Average Sale Price: $450,000
- Price per Square Foot: $220
- Sale-to-List Price Ratio: 98%
- Active Inventory: 950 homes
Want to see how these prices look in real listings?
Browse current listings and compare list price vs. sold trends over time.
Browse Madison homes for saleWhat's Pushing Prices Up in Madison
Prices tend to rise when demand outpaces supply. In Madison, the biggest factors supporting prices include:
- Limited inventory: fewer homes available means more competition
- Steady demand: buyers still show up for the right home at the right price
- Competitive pricing: strong sale-to-list results indicate buyers are still paying close to asking
What's Keeping Prices From Rising Faster
Even with strong demand, a few factors can slow price growth:
- Affordability pressure: interest rates and payments influence buyer ceilings
- Seasonal slowdown: winter typically reduces the number of active buyers
- Price sensitivity: when a home is priced above comps, buyers hesitate
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Get the Madison Market PDFFrequently Asked Questions About Madison Home Prices
What is driving home prices in Madison, WI right now?
In December 2025, Madison home prices are primarily driven by limited inventory, steady buyer demand, and competitive pricing, with a $434,100 median sale price and a sale-to-list ratio near 98%.
Are home prices rising in Madison, WI?
Prices are being supported by low inventory and consistent demand. Current indicators include a $434,100 median sale price and strong sale-to-list performance in December 2025.
Does inventory affect home prices in Madison?
Yes. When inventory is limited, buyers compete for fewer homes, which can support higher prices and stronger sale-to-list ratios in Madison.
What is the median home price in Madison right now?
The median sale price in Madison is $434,100 as of December 2025, with an average sale price around $450,000.
What is the price per square foot in Madison?
The current price per square foot in Madison is approximately $220, though this varies by neighborhood and property type.
How much inventory is available in Madison?
Active inventory is approximately 950 homes in December 2025. Limited inventory continues to support prices and create competition among buyers.
Wisconsin-based real estate advisor and U.S. Air Force veteran. John shares monthly housing market insights across Dane County to help buyers and sellers make informed decisions.
Call/Text: 608-669-4226 | Email: john@integrityhomeswi.com
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