Housing Market Overview
The median home price (often called the average home price), rent costs, affordability metrics, and housing stock characteristics for this housing market.
Housing Market Overview
| Metric | Madison | Alabama Avg | US Average |
|---|---|---|---|
| Median Home Price | $247,117 | $158,589 | $242,182 |
| Price Trend (Annual %) | 6.2% | 7.1% | 8.2% |
| Median Gross Rent | $1,350 | $962 | $1,342 |
| Rent Trend (Annual %) | 6.3% | 4.1% | 5.1% |
| Household Income Trend (Annual %) | — | — | — |
The median home price in Madison is about 56% higher than in Alabama. Rent is about 40% higher than the Alabama average.
Median Home and Rent Price Trends
Median Home Prices, 2015-2023
Median Rent Prices, 2015-2023
Both home prices and rent are rising in Madison, up about 6.2% and 6.3% a year respectively. Rent is changing faster.
Median rent in Madison rose about 52.8% between 2015 and 2023, from $884 to $1,350. Over the same span, rent in Alabama rose about 34.2%.
Affordability
On average, housing unit costs 2.0 yearly household incomes in Madison.
Buying the median-priced home in Madison costs roughly 15.3 years of rent at the median monthly rate. That is a moderate price-to-rent ratio, where buying and renting are often similarly cost-effective in Madison. The price-to-rent ratio in Alabama is about 13.7.
| Metric | Madison | Alabama Avg | US Average |
|---|---|---|---|
| Median Home Price | $247,117 | $158,589 | $242,182 |
| Median Household Income | $120,618 | $62,318 | $78,145 |
| Price-to-Income Ratio | 2.0 | 2.5 | 3.1 |
Home Prices vs Income Over Time
Between 2015 and 2023, the median home price in Madison rose about 58.3%, while median household income rose about 49.8% between 2009 and 2023 — the home price grew faster than income.
Income Growth vs Housing Cost Growth (Year-over-Year %)
Compare income and housing cost trends.
Occupancy & Tenure
| Metric | Madison | Alabama Avg | US Average |
|---|---|---|---|
| Homeownership Rate | 68.9% | 59.5% | 58.2% |
| Rental Rate | 27.6% | 25.6% | 31.3% |
| Vacancy Rate | 3.5% | 15.0% | 10.6% |
| Median Tenure (years) | 14.0 | 16.0 | 15.0 |
| Median Year Moved In | 2012 | 2010 | 2011 |
Madison has a homeownership rate of 68.9%, higher than the Alabama average of 59.5%. Its housing vacancy rate is 3.5%, compared with 15.0% in Alabama.
Housing Stock
| Metric | Madison | Alabama Avg | US Average |
|---|---|---|---|
| Average Household Size | 2.57 people | 2.50 people | 2.54 people |
| Median Structure Built Year | 1999 | 1985 | 1978 |
| Median Number of Rooms | 6.7 | 5.8 | 5.5 |
The typical housing unit in Madison was built around 1999. On average, 2.6 people live in a home with about 6.7 rooms, staying for about 14.0 years on average.
Frequently Asked Questions
Common questions about the housing market in Madison, Alabama.
What is the median home price in Madison, Alabama?
The median home price in Madison, Alabama is $247,117, higher than the Alabama average of $158,589.
What is the average home price in Madison, Alabama?
The typical home price in %s, reported as the median sale price, is %s. The median is used instead of a mathematical average because it is not skewed by a small number of very expensive or very cheap homes, so it better reflects what a typical buyer pays.
What is the median rent in Madison, Alabama?
The median gross rent in Madison, Alabama is $1,350 per month, higher than the Alabama average of $962.
What was the median gross rent in Madison in 2020?
In 2020, the median gross rent in Madison, Alabama was $1,007 per month.
What is the price-to-rent ratio in Madison, Alabama?
The price-to-rent ratio in Madison, Alabama is about 15.3, meaning it would take roughly 15.3 years of rent payments at the median rent to equal the median home price. That is a moderate price-to-rent ratio, where buying and renting are often similarly cost-effective in Madison.
Are home prices or rent rising faster in Madison, Alabama?
Both home prices and rent are rising in Madison, up about 6.2% and 6.3% a year respectively. Rent is changing faster.
What is the homeownership rate in Madison, Alabama?
68.9% of households in Madison, Alabama own their home, higher than the Alabama average of 59.5%.
What is the vacancy rate in Madison, Alabama?
The housing vacancy rate in Madison, Alabama is 3.5%, lower than the Alabama average of 15.0%.