November new listings for Wisconsin homes grew by 7.2% compared to 12 months earlier, and this is the second consecutive month of growth in new listings.
The Wisconsin Realtors Association noted that total listings of 16,091 are 2.4% below the levels of November 2022.
The market continues to be classified as a seller’s market with 3 months of available supply. This is an improvement from November 2022 when there was 2.5 months of inventory.
According to the November 2023 Wisconsin Real Estate Report today, Wisconsin’s existing home sales fell 3.4% in November 2023 relative to November 2022. The statewide median price rose 7.7% to $280,000, which is similar to the pattern seen throughout 2023.
Michael Theo, president and CEO of Wisconsin REALTORS Association said, “The 30-year fixed mortgage rate has been over 7% since mid-August, and thankfully rates have been trending down since peaking at the end of October. Hopefully that continues because high rates effectively price many first-time buyers out of the market, and high rates also keep potential sellers from listing their homes, especially if they have an existing mortgage at a very low rate.”
Dave Clark, professor emeritus of economics and a WRA Consultant, highlighted the ongoing inflation progress, discussing potential for a recession or a soft landing.
“The U.S. Federal Reserve has a dual mandate to both keep inflation low — its target is 2% — and also maintain full employment. When the economy overheats, the Fed raises short-term interest rates to slow the economy and control inflation. If the Fed can hit its inflation target without precipitating a recession, it achieves a so-called ‘soft landing.’ So far, the significant Wisconsin progress on inflation has not generated a spike in unemployment,” Clark said.
