Madison is “an attractive college town,” Blix said. “It’s certainly an area where people probably want to work from home, even if they’re not actually working in Madison. There are many attractive features about Madison that make it a market where you would see stronger home price growth than in many other places in the Midwest, as well as on either coast.”

Also driving home prices up is the lack of single-family homes being built. Housing inventory — the number of single-family housing units available for sale — is still less than 50% of pre-pandemic levels. Additionally, most new housing consists of high-density apartment buildings as opposed to single-family units, according to Black Knight.