Madison, AL—35757
Real Estate Data & Market Trends
Key Metrics at a Glance
Home Price Trends — Madison, AL
As of Oct '25, the median home price in Madison, AL is $347,000, with a year-over-year change of 0.4%. This indicates that home prices in Madison, AL are flat. According to Zillow, the 1-year price projection is 1.0%, suggesting a relatively flat housing market in the next year.
Cost per Home Type
| Home Type | Median Home Value | YoY % Change |
|---|---|---|
All Homes | $347,000 | 0.4% |
| Single Family | $347,000 | 0.3% |
| Condos | N/A | N/A |
Cost per Home Size
| Home Size | Median Home Value | YoY % Change |
|---|---|---|
1 Bed | N/A | N/A |
2 Bed | N/A | N/A |
3 Bed | $304,000 | 1.0% |
4 Bed | $409,000 | 1.5% |
| 5 Bed | $513,000 | 2.4% |
% of Housing Stock
Rental Trends — Madison, AL
As of July '25, Rentcast reports the average rent in Madison, AL is $2,040, with a year-over-year rent change of 1.0%. Per bedroom, the median rent as of July '25 in Madison, AL is studios: $1,120, 1-bedrooms: $1,100, 2-bedrooms: $1,730, 3-bedrooms: $1,860, 4-bedrooms: $2,480. The most common rental property sizes in Madison, AL are 3-bedroom and 2-bedroom, accounting for 39.1% and 27.7% of the rental stock.
| Type | Median Rent | Average Rent |
|---|---|---|
| Average Rent | $1,950 | $2,040 |
| Studio Rent | $1,120 | $1,120 |
| 1 Bed Rent | $1,080 | $1,100 |
| 2 Bed Rent | $1,750 | $1,730 |
| 3 Bed Rent | $1,850 | $1,860 |
| 4 Bed Rent | $2,300 | $2,480 |
% of Rental Stock
Property Listings — Madison, AL
As of Oct '25, Realtor.com reports that the median days on market for a home in Madison, AL is 55. This is a increase of 16.0% from last year, suggesting that homes are sitting on the market longer than last year. The percentage of listed homes with a reduced price is 36.0%, representing a large inventory and a lot of supply pressure on home prices.
| Metric | Zip Code Average | Year over Year % Change |
|---|---|---|
Median Listing Price | $415,000 | -4.0% |
Listing Count | 152 | 28.0% |
| Listings as % of Homes | 0.9% | 28.0% |
Days on Market | 55 | 16.0% |
Demographics — Madison, AL
As of the latest ACS Survey released in 2023, Madison, AL has a population of 18,200, which has increased by 11.4% over the past 5 years. Madison, AL is a popular place for families, as children make up 25.5% of the population. The area has a highly educated workforce, with 53.9% of adult residents holding a bachelor’s degree or higher. There are some residents working remotely, with 12.6% reporting working from home.
| Metric | Latest Census | YoY % Change |
|---|---|---|
Population | 18,200 | 11.4% |
% Under 18 | 25.5% | 2.8% |
% Seniors | 13.1% | 12.9% |
% WFH | 12.6% | 240.5% |
% w/ College Degree | 53.9% | 6.7% |
As of the latest ACS Survey released in 2023, Madison, AL is a predominantly white area, with 60.7% of the population identifying as white. The white population has shrunk by 5.7% in the last 5 years. The second most common race or ethnicity in Madison, AL is black, making up 25.9% of the population. Foreign-born residents account for 3.3% of the population in Madison, AL, and this percentage has decreased by 8.3% as of the ACS Survey 5 years prior, suggesting fewer immigrants are calling the area home.
Race and Ethnicity
| Metric | Latest Census | 5-Year % Change |
|---|---|---|
% White | 60.7% | -5.7% |
% Black | 25.9% | -3.0% |
% Hispanic | 4.6% | 4.5% |
% Asian | 1.4% | 40.0% |
% Foreign Born | 3.3% | -8.3% |
Mortgage and Risk — Madison, AL
According to HUD data as of 2023, there were 192 mortgage originations in Madison, AL, of which 68.0% of loans were conventional mortgages. The average loan-to-value was 63.0%, with 30.0% above 90% LTV (very high). This implies large mortgage risk in Madison, AL. Investor activity is low, as 2.0% of loans were by investors. 12.0% of loans were cash-out refinances, suggesting many homeowners are tapping equity.
Mortgages
| Metric | Zip Code Average |
|---|---|
Total Loan Originations | 192 |
% Conventional Loans | 68.0% |
% Government Loans | 32.0% |
% Investor Loans | 2.0% |
% Second Loans | 1.0% |
% Cash Out Refinance | 12.0% |
Loan Activity
Rentals and Section 8 — Madison, AL
As of 2024, the percent of homes in Madison, AL under the Section 8 program is 8.9%. This is considered low, suggesting that the neighborhood is sparsely composed of Section 8 homes. Section 8 opportunity is good when HUD pays more than market rent. 1-bedroom and 3-bedroom and 4-bedroom units appear to be good home sizes to consider for Section 8 housing in Madison, AL, because HUD payments exceed market rent, while 2-bedroom units do not.
Section 8 Market Size
Total Units under HUD | 122 |
Total Units Section 8 | 122 |
% Rentals under Section 8 | 8.9% |
% Occupied Section 8 | 80.0% |
Section 8 Opportunity
| Home Size | HUD Premium | Market Rent | Max HUD Rent |
|---|---|---|---|
| 1 Bedroom | $390 | $1,080 | $1,470 |
| 2 Bedroom | -$40 | $1,750 | $1,710 |
| 3 Bedroom | $350 | $1,850 | $2,200 |
| 4 Bedroom | $390 | $2,300 | $2,690 |
Affordability — Madison, AL
Home Price to Income Ratio
| Metric | Zip Code Average |
|---|---|
| Home Price to Income Ratio | 3.2 |
| Median Home Price | $347,000 |
| Median Household Income | $106,000 |