Real Estate Investing in Madison, Wisconsin (53704)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 53704 (Madison, WI)? Our answer, based on the numbers below.
Mixed — home prices are stretched relative to local incomes. Run the math on your specific situation.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
No major risk flags on the data we track.
What’s happening in Madison, WI (53704)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 53704 Madison
Not every below-median market is a bargain. Madison's 53704 ZIP shows signals that favor experienced operators who can absorb the risk $384K pricing implies.
The 53704 ZIP can work — but only with a tight operating hand. Remote landlords and passive investors tend to struggle here more than the underwriting suggests.
Turning to rents, 53704 offers a low basis, the region around Madison has moved on in ways that the ZIP itself has not fully absorbed. The result is a discount with genuine reasons.
Looking more closely, 47,136 residents fill the ZIP, renter turnover runs higher than neighboring postal codes and delinquency risk is a real line item rather than a theoretical one.
The right play in 53704 usually involves deep tenant screening, aggressive delinquency response, and a conservative capex buffer. Anything less, and the discount can turn into a trap.
Here's what matters if you're considering buying a home in Madison:
Property Strategy for 53704
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 1BR | $214,401 | $1,410 | 4.7% | +8.1% | $214,401 |
| 2BR | $310,506 | $1,610 | 3.7% | +8.2% | $155,253 |
| 3BR | $380,990 | $2,130 | 4.0% | +7.5% | $126,997 |
| 4BR | $462,817 | $2,380 | 3.7% | +7.3% | $115,704 |
| 5BR | $596,682 | — | — | +7.9% | $119,336 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 53704 Compare?
| Metric | 53704 | Madison | Madison, WI | Wisconsin |
|---|---|---|---|---|
| Home Value | $384,292 | $306,543 | N/A | $320,446 |
| 5-Year CAGR | 4.8% | 5.6% | N/A | 7.3% |
| Avg Rent | $1,576 | $1,679 | N/A | - |
| Cap Rate | 3.2% | 2.8% | - | - |
Similar ZIPs Within 25 Miles
Compare other nearby markets to see if a neighbor offers a better fit.
Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 53704 (Madison, WI). Anonymous, moderated, never written by AI.
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Property managers serving Dane County
Manage rentals here? List your business →Evans Property Management Services, LLC (PRIMA™) offers pet-friendly apartments and rentals in and around Madison, WI. summary from their website
Kader Property Management offers residential and multi-family property management services in Madison. summary from their website
Madison Property offers apartments and housing for rent in Madison, WI. summary from their website
Listings are shown for convenience — Repit doesn’t endorse or vet these companies. Ratings shown come only from email-verified visitors.
📊 Market Snapshot
| Home Value | $384,292 |
| Monthly Rent | $1,576 |
| Price-to-Rent | 20.3:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 4.9% |
| Cap Rate | 3.2% |
| 5-Year IRR | 8.0% |
📈 Home Appreciation
| 1-Year | +6.2% ▲ |
| 3-Year CAGR | +4.0% ▲ |
| 5-Year CAGR | +4.8% ▲ |
| 10-Year CAGR | +6.0% ▲ |
🏠 Rent Trends
| 1-Year | +2.0% ▲ |
| 3-Year CAGR | +3.6% ▲ |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (3.2%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.
Run an IRR Analysis →⚠️ Risk Signals
Composite view of factors that can impact a ZIP's stability and your downside risk.
Demographics in 53704
Population: 47,136
Crime & Safety
Crime & Safety Data Coming Soon
We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.
Expected: Q1 2025
🎓 Schools in 53704
Schools in This ZIP Code
About Repit School Scores
Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.
We evaluate schools based on factors that research shows actually impact educational outcomes:
- Class Size — Smaller classes mean more individual attention
- School Funding — Resources available for programs, staff, and facilities
- Community Factors — Neighborhood characteristics that influence student success
- School Environment — Size, type, and structure
Scores are updated annually using federal education data.
🎓 Nearby Colleges & Universities
Investor Insight: With 7,911 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
Is Madison in WI worth investing in?
Investors tracking Madison, WI will find a 3.0/5 rating supported by $384K median home values and $1,576/mo rents. That profile suits long-term holders targeting predictable returns.
What strategy should investors use in Madison, WI?
A careful cash-flow rentals with hands-on management strategy Madison, WI best. The market produces consistent results for that approach at the $384K price point.
What monthly rent should investors expect in Madison, WI?
Rental rates in Madison, WI average $1,576/mo. Tenant demand and $384K home values make the yield look reasonable by investor standards.
What are home prices like in Madison, WI?
The median home value in Madison, WI is roughly $384K. That puts it reasonable relative to the WI statewide average.
Is Madison, WI good for house hacking?
The house hack math a challenging in Madison, WI. Owner-occupant buyers benefit from the $1,576/mo rents and $384K home values.
You know 53704 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 53704 compares to every other market. Investor ($19/mo) screens every U.S. ZIP by cap rate, the 1% rule, vacancy and landlord climate, and exports your shortlist.
How 53704 ranks in Madison, WI
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