WRA report signals improvement in home sales but excess demand

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The Wisconsin REALTORS Association (WRA) on Thursday released its February 2025 Wisconsin Real Estate Report, highlighting a promising improvement in sales during the off-peak season while continuing to see the market struggle to keep up with an excess of demand.

Report highlights include:

  • Existing home sales in February 2025 rose 7% compared to their February 2024 levels, which was more than three times the rate of growth in January; the median price increased 10.9% to $304,000 over that same period.

  • Year-to-date sales rose 4.4% compared to the first two months of 2024, and the median price rose 11.1% to $300,000 over that same period.

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  • Inventory slightly weakened showing a continued strain on Wisconsin’s available housing supply.

  • High mortgage rates persisted. The average 30-year fixed mortgage rate was 6.84%, only a slight rise from the February 2024 average rate of 6.78%.

  • Total listings were flat over the past 12 months, but new listings of homes dropped 12.2% over the same period.

  • While there has been a continuous improvement over the past two years, the month’s available supply weakened slightly by 0.1% since February 2024, to 2.8% in February 2025. The shortfall in inventory continues to make it a strong seller’s market. In February, there were just over 16,000 total listings, meaning listings would need to increase by 113% to signal a balanced market.

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  • The Wisconsin Housing Affordability Index shows the rate of the median-priced home that a potential buyer with median household income can qualify to purchase, assuming a 20% down payment with the remaining 80% balance financed with a 30 year fixed-rate mortgage at current levels. The index fell from 139 in February 2024 to 125 in February 2025, which is a 10.1% reduction over the past year.

  • Reduced affordability has resulted in more days on the market for homes that closed in February. Average days on the market saw a minor influx from 83 days a year ago to 84 days in January 2025, which is an increase of 1.2% over that period.

The full report is available here.

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