We've been hearing a lot of chatter in the Madison area realtor community about a slower real estate market -- and one that's possibly shifting -- but all of the data we are viewing right now shows a market that is normal and expected for this time of year.
Single-family homes Take single-family homes, for example. If we go back to the pre-covid era (2019), we see Madison area buyers were very busy during the first half of the year, and then became less active as the year progressed. As far as seasonality goes, this was a pretty typical year for our (pre-covid) market.
In 2020, the normal seasonality of our market was disrupted by the arrival of the COVID pandemic in March. Buyers were less active in the spring, and much more active in the summer and fall months.
Now, let's take a look at the first 8 months of 2021. This year our peak months for real estate once again were March, April, May, and June. As our society has adjusted to life with COVID, our local market has fallen back into a more traditional seasonal rhythm.
Condos The same patterns can be seen in the Madison area condo market, too. In 2019, condo buyers were most active in the months of March, April, May, and June.
In 2020, the onset of COVID shifted the peak market several months later in the year.
And in 2021, our local condo market has fallen back into a more traditional seasonal pattern.
What does all of this mean for buyers and sellers?
For sellers, even though the market has cooled from this year's overheated spring market, conditions are still very favorable. Low inventory and low-interest rates are helping sellers attract some very nice prices even though we have entered a slower season. For buyers, we think it makes a lot of sense to make a break from the Madison tradition that says springtime is the best time to shop for a home. As many buyers learned this year, the springtime is when the masses are out in droves competing for a limited supply of real estate. So many people missed out on their dream home this year because the spring market was just too competitive.
But there is a window of opportunity opening up for buyers this fall. There are fewer competing buyers and fewer bidding wars to contend with right now. Which means for those who need to sell in order to buy, the chances for success are much better right now than they will be next spring.
Do you have questions about how to accomplish your real estate goals in 2021? Reach out to your preferred Mad City Dream Homes realtor, and we'll lay out a plan that will help you accomplish all of your buying and selling goals. Until then, we hope you are enjoying the change of seasons in our beautiful city. Stay tuned to our blog, where we'll be sharing plenty of info on the events and festivals that make Dane County such a great place to be this time of year.
This article is published courtesy of: Dan Miller, REALTOR Mad City Dream Homes & RE/MAX Preferred 1619 Monroe Street #1, Madison, WI, 53711