Madison Wisconsin Housing Market Analysis - October 2025

Quick Market Facts

What is the median home price in Madison WI? The median home price in Madison is $418,000 as of October 2025.
Is Madison a seller's market? Yes, Madison remains a strong seller's market with just 1.61 months of inventory.
How long do homes stay on the market in Madison? Homes averaged 9 days on market in October, showing continued buyer urgency.

Market Overview

The Madison housing market demonstrates remarkable resilience in October 2025, with the median sale price climbing to $418,000, a solid 5.0% increase year-over-year. Despite a notable 20.4% decline in transaction volume compared to last October, price appreciation continues, supported by persistent supply constraints and steady local demand.

While homes are staying on the market slightly longer—averaging 9 days compared to 6 days last year—Madison remains firmly in seller's market territory with just 1.61 months of inventory. The shift toward selling closer to asking price (averaging -0.53% vs. asking) suggests a more measured market pace rather than a fundamental change in dynamics.

Madison Market Geography

Primary Coverage Area: Madison, Wisconsin (ZIP codes 53703-53719, surrounding neighborhoods)

Extended Service Area: Fitchburg, Monona, Middleton, Sun Prairie, and greater Dane County

Distance to Milwaukee: 77 miles west

School District: Madison Metropolitan School District

Current Market Conditions & Trends

  • Inventory remains constrained at 1.61 months supply, well below balanced market levels
  • Year-to-date sales volume up 4.0% to $943.7M despite fewer transactions
  • Price per square foot growth modest at 0.6%, indicating sustainable appreciation
  • University presence and diverse employment base continue to drive long-term demand
  • New pending contracts up 3.0% in September, suggesting renewed buyer interest

Madison vs. Nearby Communities - Price Comparison

Madison
$418K
Sun Prairie
$431K*
Middleton
$575K*
Waunakee
$670K*

*Recent benchmarks; latest local MLS releases may vary by month.

ZIP Code Performance Analysis (Last 60 Days)

Madison's diverse neighborhoods show significant price variation, from luxury areas exceeding $900K to entry-level communities under $300K. Here's where the market stands by ZIP code:

53726
$950,000
3 sales
53715
$530,000
3 sales
53593
$505,000
24 sales
53705
$499,700
35 sales
53711
$453,000
65 sales
53719
$418,900
45 sales