Since 2017, home prices in Wisconsin have risen much faster than incomes, according to the Wisconsin Policy Forum, which recently released an analysis of home sales data from the Wisconsin Realtors Association and income and rental data from the U.S. Census Bureau.
The data shows that while the median income among renters has kept pace with rising rental prices, the share of renters spending more on housing than what is typically deemed affordable has grown. These challenges are prevalent statewide but are particularly acute in certain counties like Dane, where both the homebuyer and rental markets are unaffordable for the average resident.
The median sales price of homes in Wisconsin increased by more than half (53.3%) in just five years, from $172,900 in 2017 to $265,000 in 2022. During those years, the state’s median household income increased by only 19.7%.
In 2022, the median home sales prices in six of the state’s 72 counties was at least 4.5 times their median household incomes. Among those is Dane County at 4.6 times the median household income.
Dane County’s position among those with the highest price-to-income ratios is especially notable given that it is the state’s second most populous county and its housing market is not greatly influenced by vacation homes. More than 7,600 homes were sold in Dane County in 2022, which exceeded the combined total sold in the other 12 counties with price-to-income ratios of 4.0 or higher.
Read the full Wisconsin Policy Forum report here.
