Madison, NJ—07940
Real Estate Data & Market Trends
Key Metrics at a Glance
Home Price Trends — Madison, NJ
As of Oct '25, the median home price in Madison, NJ is $981,000, with a year-over-year change of 4.4%. This indicates that home prices in Madison, NJ are increasing. According to Zillow, the 1-year price projection is 1.3%, suggesting an increase housing market in the next year.
Cost per Home Type
| Home Type | Median Home Value | YoY % Change |
|---|---|---|
All Homes | $981,000 | 4.4% |
| Single Family | $1,013,000 | 4.9% |
| Condos | $715,000 | 6.4% |
Cost per Home Size
| Home Size | Median Home Value | YoY % Change |
|---|---|---|
1 Bed | N/A | N/A |
2 Bed | $660,000 | 5.3% |
3 Bed | $871,000 | 5.7% |
4 Bed | $1,162,000 | 6.6% |
| 5 Bed | $1,976,000 | 5.8% |
% of Housing Stock
Rental Trends — Madison, NJ
As of July '25, Rentcast reports the average rent in Madison, NJ is $3,450, with a year-over-year rent change of -5.5%. Per bedroom, the median rent as of July '25 in Madison, NJ is studios: $2,110, 1-bedrooms: $2,260, 2-bedrooms: $3,230, 3-bedrooms: $4,620, 4-bedrooms: $6,000. The most common rental property sizes in Madison, NJ are 2-bedroom and 1-bedroom, accounting for 47.0% and 30.8% of the rental stock.
| Type | Median Rent | Average Rent |
|---|---|---|
| Average Rent | $2,940 | $3,450 |
| Studio Rent | $1,900 | $2,110 |
| 1 Bed Rent | $2,100 | $2,260 |
| 2 Bed Rent | $2,940 | $3,230 |
| 3 Bed Rent | $4,700 | $4,620 |
| 4 Bed Rent | $5,800 | $6,000 |
% of Rental Stock
Property Listings — Madison, NJ
As of Oct '25, Realtor.com reports that the median days on market for a home in Madison, NJ is 26. This is a decrease of -19.0% from last year, suggesting that homes are sitting on the market shorter than last year. The percentage of listed homes with a reduced price is 15.0%, representing a small inventory and little supply pressure on home prices.
| Metric | Zip Code Average | Year over Year % Change |
|---|---|---|
Median Listing Price | $1,420,000 | 7.0% |
Listing Count | 27 | -10.0% |
| Listings as % of Homes | 0.5% | -10.0% |
Days on Market | 26 | -19.0% |
Demographics — Madison, NJ
As of the latest ACS Survey released in 2023, Madison, NJ has a population of 17,700, which has increased by 3.0% over the past 5 years. Madison, NJ is a moderately popular place for families, as children make up 21.4% of the population. The area has a highly educated workforce, with 70.7% of adult residents holding a bachelor’s degree or higher. There are some residents working remotely, with 24.7% reporting working from home.
| Metric | Latest Census | YoY % Change |
|---|---|---|
Population | 17,700 | 3.0% |
% Under 18 | 21.4% | -6.1% |
% Seniors | 12.5% | -3.1% |
% WFH | 24.7% | 154.6% |
% w/ College Degree | 70.7% | 3.2% |
As of the latest ACS Survey released in 2023, Madison, NJ is a predominantly white area, with 72.9% of the population identifying as white. The white population has shrunk by 4.6% in the last 5 years. The second most common race or ethnicity in Madison, NJ is hispanic, making up 14.4% of the population. Foreign-born residents account for 14.7% of the population in Madison, NJ, and this percentage has decreased by 3.3% 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 | 72.9% | -4.6% |
% Black | 2.5% | -45.7% |
% Hispanic | 14.4% | 37.1% |
% Asian | 5.7% | -18.6% |
% Foreign Born | 14.7% | -3.3% |
Mortgage and Risk — Madison, NJ
According to HUD data as of 2023, there were 219 mortgage originations in Madison, NJ, of which 96.0% of loans were conventional mortgages. The average loan-to-value was 56.0%, with 7.0% above 90% LTV (normal). This implies small mortgage risk in Madison, NJ. Investor activity is low, as 2.0% of loans were by investors. 6.0% of loans were cash-out refinances, suggesting few homeowners are tapping equity.
Mortgages
| Metric | Zip Code Average |
|---|---|
Total Loan Originations | 219 |
% Conventional Loans | 96.0% |
% Government Loans | 4.0% |
% Investor Loans | 2.0% |
% Second Loans | 1.0% |
% Cash Out Refinance | 6.0% |
Loan Activity
Rentals and Section 8 — Madison, NJ
As of 2024, the percent of homes in Madison, NJ under the Section 8 program is 14.0%. 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 2-bedroom units appear to be good home sizes to consider for Section 8 housing in Madison, NJ, because HUD payments exceed market rent, while 3-bedroom and 4-bedroom units do not.
Section 8 Market Size
Total Units under HUD | 287 |
Total Units Section 8 | 287 |
% Rentals under Section 8 | 14.0% |
% Occupied Section 8 | 98.0% |
Section 8 Opportunity
| Home Size | HUD Premium | Market Rent | Max HUD Rent |
|---|---|---|---|
| 1 Bedroom | $350 | $2,100 | $2,450 |
| 2 Bedroom | $20 | $2,940 | $2,960 |
| 3 Bedroom | -$970 | $4,700 | $3,730 |
| 4 Bedroom | -$1,560 | $5,800 | $4,240 |
Affordability — Madison, NJ
Home Price to Income Ratio
| Metric | Zip Code Average |
|---|---|
| Home Price to Income Ratio | 4.9 |
| Median Home Price | $981,000 |
| Median Household Income | $169,000 |