Spring 2025 Madison Market Update

Spring 2025 Madison Real Estate Market Update: What Buyers and Sellers Should Know

Spring is here in Madison, and with it comes one of the busiest times of year for real estate. Whether you’re thinking of selling your home, buying your first one, or just keeping tabs on the market, understanding current trends can make a big difference in your decisions.

As a local realtor, I’ve been watching how our market is shifting—and more importantly, what it means for real people. Here's your full Spring 2025 Madison real estate update in plain language: no fluff, no fear, just clarity.

Home Prices Are Staying Strong—But Not Surging

Unlike the frenzy of the past few years, Madison’s housing market has started to stabilize. That’s actually good news.

We’re seeing:

• A 2–3% year-over-year price increase, which is steady and healthy
• A median home price around $390,000, depending on neighborhood and condition
• High demand in popular areas like Monroe Street, Atwood, and Willy Street, where homes still sell quickly

While buyers aren’t waiving contingencies or offering 20% over asking like they were in 2022, well-prepped homes that are priced right are still moving within 7–10 days.

Pro tip: If you’re thinking about selling this spring, preparation and pricing are everything. We want to hit the sweet spot that draws interest without leaving money on the table.

Inventory Is Improving, But Still Competitive

We’re beginning to see more homes come to market compared to this time last year—and that’s giving buyers a little breathing room.

• Inventory in March 2025 is up 8% compared to March 2024
• There’s more variety in price points, especially in areas like Sun Prairie, Verona, and Fitchburg
• That said, move-in-ready homes in central neighborhoods are still in short supply

This spring feels more balanced than recent years. Buyers have options, but the best homes still go fast.

Mortgage Rates Are Settling—And So Are Buyer Expectations

The topic of interest rates has been on everyone’s mind. The good news? Things are leveling out.

As of April 2025:

• Most 30-year fixed loans are landing between 6.5% and 6.9%
• Many lenders are offering creative programs, like rate buydowns or adjustable-rate mortgages with favorable terms
• First-time buyer assistance is still available, especially for those with stable income and moderate savings

“Is now a good time to buy?”
It depends on your goals—but for many, waiting for 3% rates again just isn’t realistic. Instead, the focus should be on buying smart and buying for the long term.

Should You Sell This Spring?

If you're a homeowner wondering whether it's worth it to list right now, here are a few things to consider:

• Prices are stable, and demand is strong for well-presented homes
• There's less competition in April and May than during peak summer months
• Many buyers are serious and pre-approved—especially first-time buyers looking to secure something before rates rise again

If your home is in a desirable location, or if you've recently upgraded it, you could be in an ideal spot to sell this spring.

Small updates like paint, lighting, and curb appeal still go a long way. I’m happy to walk you through what’s worth doing—and what’s not.

What If You’re Just Not Sure Yet?

You don’t need to commit to anything to explore your options. Whether you're downsizing, upgrading, or relocating, understanding the market can help you plan with confidence—even if you’re not ready to make a move right away.

Let’s Chat About Your Next Move

No pressure, no commitment—just a conversation.

If you're curious about your home’s value, interested in buying this year, or simply want to better understand the local market, I’m here for it. Let’s put together a plan that works for you—your timeline, your budget, and your goals.

Book a free market consult here, or reach out anytime.

Here’s to a fresh season, new possibilities, and confident next steps.

— Laura Lahti, Team Lahti Real Estate‍