Verona Area School District Real Estate Market Report
Q2 – A Look Back from 2018-2023
The Verona Area School District (VASD) serves residents of several municipalities and townships including: City of Verona, Town of Verona, and select neighborhoods in City of Fitchburg, City of Madison, and Town of Middleton. The last time we looked at VASD, we compared Q1 of 2022 to Q1 of 2023. After our initial post, we had several requests from clients and neighbors analyze how Q2 compared. So with today’s blog, wanted to take it a step further and compare the last 6 years of housing data in the VASD.
- The downward trend in properties sold continues with a 24% decrease in single family homes sold in 2023 compared to 2022. (96 total sold in 2022 to only 73 in 2023)
- It’s worth noting this decrease is largely due to lack of inventory, there simply are less homes on the market for the large number of buyers.
- With less single-family homes (and condos) available and more buyers moving into the market, home prices have appreciated. In Q2 of 2018 the average price of a single-family home sold in the VASD was $377,337. In Q2 of 2023 that price is now an astonishing $527,994. A 40% increase. Now this is the average and of course there will always be outliers, but if you take a look at the median graphic underneath the trend is right in line.
- Condominium pricing is following a VERY similar trend with the median price of a condo in the VASD in q2 of 2023 at $313,000. Compared to q2 in 2018 of $224,000. Another almost 40% increase.
- Since 2018 the average price per square foot in single family homes in Q2 has gone from roughly $155 per square foot to over $229 per square foot. An increase of almost 48%. In the same time condominiums have seen an increase in average price per square foot from $128 in 2018 to $200 in 2023. An increase of 56%.
- When looking at average days on market, we have some outliers causing a bit of volatility in the graph. Focusing on the median, homes (as well as condos) in the VASD have been sitting on the market in the 5-7 day range since 2018. A very competitive market.
Food for Thought
Lack of available housing puts upward pressure on appreciation (price growth).
Let’s take a look with real numbers using the average home sale price from the graph above. For simplicity we will take the average 30 year fixed rate from each of the last 5 years per Freddie Mac for our interest rate, and use 10% as our down payment.
Data from The Federal Reserve Bank of St. Louis
Everyone has their own unique home buying process and journey. One takeaway to consider is that prospective buyers looking to be in the VASD now or in the future may want to consider a more “action oriented” approach. Looking the trends over the last 5 years in Q2 (specifically in annual mortgage payment) tell us that more often “time in” the market is better than “timing” the market when it comes to home/condo buying in this area.
Want to search current, available properties for sale in the MCPASD? Search here.