Wisconsin Home Prices Climbed Faster than Income in Recent Years, Report Says

Home prices in Wisconsin have grown faster than incomes in recent years, creating challenges for prospective first-time homebuyers. That’s according to a new report released Wednesday by the Wisconsin Policy Forum. The report examined the change in incomes, home and rent prices from 2017 to 2022.

The rise in home costs is tied to declines in housing construction following the 2008 Great Recession, the report said.

Since 2010, according to the study, the number of households in the state has increased by more than 211,000, but less than 145,000 housing units have been permitted, creating a 67,000 deficit.

From 2017 to 2022, the median home sale price in Wisconsin increased by more than 50 percent, while median household incomes in the state increased by only 19.7 percent, the report states.

Six of Wisconsin’s 72 counties had median home prices that were at least 4.5 times higher than their median household incomes in 2022, the report said. They were Dane, Door, Vilas, Sawyer and Burnett counties.

Another seven counties had median home prices that were four times higher than median household incomes as of 2022. They included Barron, Florence, Iron, Oneida, Washburn, Ozaukee and Walworth counties.

While the cost of owner occupied housing has been dramatic, the report indicates changes in the state’s rental market were less pronounced.

It found median gross monthly rents increased by 21.1 percent from 2017 to 2022, while median household incomes among renters rose by 22 percent.