REPORT: Home Closings Down Sharply as Prices Rise in April

Madison, Wis. – The Wisconsin REALTORS® Association (WRA) released its April 2025 Wisconsin Real Estate Report today, revealing home sales experienced a significant downturn for the second consecutive month in April 2025, falling 10.4% compared to April 2024, even as the median price climbed during the same period. Despite this monthly decline, year-to-date sales were down by a more moderate 3.5% compared to the first four months of 2024, buoyed by strong sales in January and February 2025. Statewide, housing inventories saw a slight improvement, increasing 5.9% to a 3.6-month supply in April, yet this figure remains considerably below the six-month supply indicative of a balanced market, which would necessitate a 67% increase in current listings. Inventory levels varied across the state, remaining static in larger metropolitan counties, with improvements in micropolitan counties, and rising to a five-month supply in rural counties.

READ THE FULL REPORT HERE

Chris DeVincentis, 2025 Chair of the Board of Directors, Wisconsin REALTORS® Association, highlighted affordability in rural Wisconsin: “It’s still a strong seller’s market statewide, but we are seeing signs of improvement in our smaller communities as well as in rural parts of the state. Potential buyers may want to consider expanding their home search into areas where supply is growing to increase their likelihood of success.”

Tom Larson, President & CEO, Wisconsin REALTORS® Association, contextualizes declining home sales: “Sales dropped 10.4% over the last 12 months, but we need to remember that April of last year was a very strong month for sales. In fact, closings spiked 27.7% in April 2024 compared to April 2023. This was the strongest annual growth seen since late 2020. April 2025 sales were 14% higher than they were two years ago in April 2023, which is a solid month for home sales.”

David Clark, Professor Emeritus of Economics and WRA Consultant, attests that lowering inflation and trade negotiations may help the market: “In its most recent meeting, the Fed left the federal funds rate unchanged with Fed Chairman Jerome Powell indicating that the risk of higher inflation as well as higher unemployment increased since March. Indeed, the initial estimates of first quarter real GDP growth were slightly negative, falling 0.3%. However, since that meeting, the administration announced promising trade negotiations with China, which was followed by better-than-expected April inflation data. Hopefully, the threat of tariff wars is subsiding, which will help keep inflation in check.”

REPORT HIGHLIGHTS:

• For a second straight month, home sales fell by a substantial margin while prices increased. Existing home sales slid 10.4% when compared to April 2024, and the median price increased 7.3% to $322,000 over that same 12-month period.
• The year-to-date sales were down just 3.5% compared to the first four months of 2024, due to solid growth in January and February of this year. Home sale prices rose 8.8% when compared to the first four months of 2024.
• Inventory levels improved, but remain below the six months of available supply that signals a balanced market, with April inventory at 3.6 months, which is up 5.9% from April 2024. Total listings increased over the last 12 months, new listings rose 6.3% compared to April 2024.
• An annual re-benchmarking of statewide median family income data by the U.S. Department of Housing and Urban Development revealed that income growth over the past 12 months was relatively unchanged, and affordability rose just 0.8%. Wisconsin’s median family income rose 7.6% between April 2024 and April 2025. This, combined with moderating price appreciation and a slight improvement in mortgage rates – specifically, a 26 basis point drop in the 30-year fixed mortgage rate to 6.73% in April – helped improve statewide housing affordability.
• The Wisconsin Housing Affordability Index measures the portion of the median-priced home that a typical buyer with median family income qualifies to purchase, assuming a 20% down payment, and the remaining balance financed using a 30-year fixed mortgage at current rates. The index rose 0.8% to 128 in April 2025. The 7.6% increase in median family income and quarter-point improvement in mortgage rates more than offset the 7.3% increase in the median price.

READ THE FULL REPORT HERE

About the WRA
The Wisconsin REALTORS® Association (WRA) is one of the largest trade associations in the state, headquartered in Madison, Wis. The WRA represents and provides services to more than 17,500 members statewide, made up of real estate sales agents, brokers, developers, appraisers, inspectors, bankers and other professionals who touch real estate. The WRA is under the direction of a statewide board of directors, comprised of members from the top real estate firms around the state.

NOTE: This press release was submitted to Urban Milwaukee and was not written by an Urban Milwaukee writer. While it is believed to be reliable, Urban Milwaukee does not guarantee its accuracy or completeness.