Real Estate Investing in Madison, Wisconsin (53718)

Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.

Dane County • Population: 18,642 • Data updated: September 2026

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Should you buy in 53718 (Madison, WI)? Our answer, based on the numbers below.

🏠 For Homebuyers
MIXED
Grade C (68/100)

Mixed signals — some positives, some negatives. Worth considering but not a slam-dunk.

📈 For Investors
MIXED
3.0 / 5 (47/100)

A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.

⚠️ Risks to Know
CLEAN

No major risk flags on the data we track.

What’s happening in Madison, WI (53718)?

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3.0/ 5

Investability

Overall investment appeal

3.0/ 5

Appreciation

Long-term value growth

3.0/ 5

Cashflow ROI

Rental yield potential

Avg Home Value $433,939
Avg Monthly Rent $1,650
1% Rule ✗ Does Not Meet
Median Income $88,405
% Renters 41.4%

Market Analysis: 53718 Madison

From a cash-flow lens, ZIP 53718 has challenges — vacancy pressure, softer price growth, and tenant stability concerns sit alongside the $434K median. It rewards specialists, not generalists.

Rent of $1,650/mo on a $434K basis reads well until vacancy, delinquency, and capex enter the model. The honest cap rate in 53718 sits below the stated 0.0% once reality is priced in.

Regionally, 53718 sits on the difficult end of the WI spectrum. The a strong candidate for read — for disciplined operators — is that pricing reflects the difficulty.

Demographically, 53718 is a market where tenant selection matters more than unit finishes. Operators who understand that tend to do fine; those who do not tend to learn why the ZIP trades at a discount.

Distressed ZIPs reward experience. resilient returns are possible in 53718, but they flow to investors who already understand how to operate in soft markets.

Explore the Data — Click a Tab Below
🏦 Current 30-yr Fixed Mortgage Rate: 6.76% as of Sep 10 Source: Freddie Mac PMMS

Here's what matters if you're considering buying a home in Madison:

C+ Average
Buy Confidence Score: 66/100
Affordability
10/25
Appreciation
22/25
Stability
11/20
Timing
8/15
Rental backup
15/15
Affordability
Moderate
Homes cost 4.9× the median income
Value Trend
Rising (+4.0%)
How home values changed in the past year
Rental Backup
Strong
Could rent for $1,650/mo if you need to move
Market Conditions
BALANCED
Even conditions for buyers and sellers
Bottom Line: Mixed signals in this market. Research specific properties carefully and be prepared to negotiate.
⚖️
BALANCED MARKET
Madison, WI Metro Area
Even conditions for buyers and sellers
36 days
Average time to sell
Average
10.5%
Listings with price cuts
Few Cuts
0.0%
Sale price vs asking
Below Ask
0.0%
Income needed for mortgage
Affordable
📅 Market conditions as of August 29, 2026 — updated weekly from Madison, WI metro data
🏠

Property Strategy for 53718

Which property type performs best in this market?

Best for Cash Flow
1BR
5.9% cap rate
Best for Appreciation
1BR
+8.3% 5yr CAGR
Best Overall Value
4BR
$123,293/bedroom
📊 Compare All Property Types →
Type Median Value Est. Rent Cap Rate 5yr CAGR $/Bedroom
1BR $211,192 $1,740 5.9% +8.3% $211,192
2BR $279,824 $1,990 5.1% +7.9% $139,912
3BR $421,334 $2,630 4.5% +6.9% $140,445
4BR $493,170 $2,950 4.3% +7.3% $123,293

Market Trends

Home Value History (with trend line)

$459K$402K$345K$287K$230K$172KJul 2006Jul 2016Jul 2026

Rent History (with trend line)

$1,816$1,694$1,573$1,452$1,330$1,209Oct 2019Mar 2023Jul 2026

📊 How Does 53718 Compare?

Metric 53718 Madison Madison, WI Wisconsin
Home Value $433,939 $306,543 N/A $320,446
5-Year CAGR 5.4% 5.6% N/A 7.3%
Avg Rent $1,650 $1,679 N/A -
Cap Rate 3.0% 2.8% - -
💡 Why Invest in 53718? Click to expand

With a 3/5 investability rating, this ZIP shows solid fundamentals for buy-and-hold investors.

A healthy rental market with 41% renter-occupied households ensures tenant availability.

📊 See where this ZIP ranks in our Best-of lists →
A great house in the wrong ZIP is still a bad deal — screen every market by cash flow & cap rate.
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Landlord Ground Truth

Real numbers from people who own or manage rentals in ZIP 53718 (Madison, WI). Anonymous, moderated, never written by AI.

Do you own or manage rentals in ZIP 53718 (Madison, WI)?

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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

Small multifamily
Unclaimed — is this your business? Claim it free

Kader Property Management offers residential and multi-family property management services in Madison. summary from their website

Single-familySmall multifamily
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Madison Property offers apartments and housing for rent in Madison, WI. summary from their website

Small multifamily
Unclaimed — is this your business? Claim it free

Listings are shown for convenience — Repit doesn’t endorse or vet these companies. Ratings shown come only from email-verified visitors.

Investability
Good
Cap Rate
3.0%
Low
5yr Growth
+5.4%
Moderate

📉 Market Crash Risk Index

Based on Madison, WI metro

0/10
Low Risk
Price YoY
0/3
N/A
Rent YoY
0/2
N/A
Below List
0/3
32%
Days Pending
0/2
36 days

View all metro crash risk rankings →

📊 Market Snapshot

Home Value $433,939
Monthly Rent $1,650
Price-to-Rent 21.9:1
1% Rule ✗ Fails

💰 Return Metrics

Gross Yield 4.6%
Cap Rate 3.0%
5-Year IRR 8.4%

📈 Home Appreciation

1-Year +4.0% ▲
3-Year CAGR +4.1% ▲
5-Year CAGR +5.4% ▲
10-Year CAGR +6.2% ▲

🏠 Rent Trends

1-Year -6.0% ▼
3-Year CAGR 0.0% ▼
5-Year CAGR +2.9% ▲
Negative Leverage — IRR / Tax Play Cap Rate: 3.0%  |  30yr Rate: 6.8%
Leverage reduces cash returns at current rates.

The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (3.0%). 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.

Vacancy
3.0%
Low risk
Landlord Climate
5.0/5
Friendly
Value Trend (5yr)
+5.4%
Stable
Eviction process: Fast Rent control: Favorable

Demographics in 53718

Population: 18,642

💰 Median Household Income
$88,405
This area
$88,405
State
$73,177
USA
$74,580
🏠 Renter Occupied
41.4%
This area
41.4%
State
22.0%
USA
34.0%
💼 Unemployment Rate
2.2%
This area
2.2%
State
-1.8%
USA
3.7%
🎓 College Educated
50.8%
This area
50.8%
State
17.1%
USA
33.7%
👤 Median Age
36.5 years
This area
36.5 years
State
35.3 years
USA
38.9 years
🏚️ Vacancy Rate
3.0%
This area
3.0%
State
17.1%
USA
10.5%
👥 Population by Ethnicity
White 74.6%
Black/African American 11.2%
Other/Mixed 7.4%
Asian 6.8%
Hispanic/Latino 3.4%
👶 Under 18
21.4%
This area
21.4%
USA
22.0%
👴 65 and Over
14.2%
This area
14.2%
USA
17.3%
📊 Poverty Rate
1.7%
This area
1.7%
USA
11.5%

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 53718

C+ Avg School Grade
1 Schools
13.9:1 Avg Class Size

Schools in This ZIP Code

C+ Average

Milestone Democratic School

📚 06 – 12 High School Charter
👥
84 Students
👨‍🏫
13.9:1 Class Size

Nearby Schools (4 more)

Schools in adjacent ZIP codes that may serve this area

A+ Excellent

Hawthorne Elementary

📚 Pre-K – 05 Elementary
📍 3344 Concord Ave, Madison
👥
321 Students
👨‍🏫
10.0:1 Class Size
💰
$20,303 Per Student
A+ Excellent

Schenk Elementary

📚 Pre-K – 05 Elementary
📍 230 Schenk St, Madison
👥
444 Students
👨‍🏫
11.4:1 Class Size
💰
$20,303 Per Student
A+ Excellent

Kennedy Elementary

📚 Pre-K – 05 Elementary
📍 221 Meadowlark Dr, Madison
👥
579 Students
👨‍🏫
13.6:1 Class Size
💰
$20,303 Per Student
A+ Excellent

Whitehorse Middle

📚 06 – 08 Middle
📍 218 Schenk St, Madison
👥
400 Students
👨‍🏫
12.9:1 Class Size
💰
$20,303 Per Student
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

8 Nearby 7,911 Off-Campus Students
C+
Madison Area Technical College
13,281 students · 3.2 mi
D
Herzing University-Madison
4,238 students · 3.3 mi
C+
Aveda Institute-Madison
85 students · 6.6 mi
B+
University of Wisconsin-Madison
49,605 students · 6.8 mi
D
University of Wisconsin-System Administration
0 students · 6.9 mi
C
Edgewood College
2,001 students · 8.1 mi
C
Academy of Beauty Professionals
65 students · 11.4 mi
C
East-West Healing Arts Institute
44 students · 11.4 mi

Investor Insight: With 7,911 students living off-campus nearby, this area has strong rental demand from the college population.

Frequently Asked Questions

What approach is best for Madison, WI real estate?

Investors who focus on careful cash-flow rentals with hands-on management typically do well in Madison, WI. The numbers - $434K homes against $1,650/mo rents - support that play.

Are eviction rules reasonable in Madison, WI?

Madison, WI falls under WI landlord-tenant law, which is landlord-friendly. That backdrop makes day-to-day property management reasonable.

What is the tenant pool like in Madison, WI?

Expect a solid tenant pool in Madison, WI. The rental market absorbs $1,650/mo rents without meaningful friction.

What does house hacking look like in Madison, WI?

The a challenging house-hack environment in Madison, WI reflects the rent-to-price spread. Expect meaningful PITI offset at market rents.

What is the typical rental rate in Madison, WI?

Investors in Madison, WI typically see rents near $1,650/mo per month against $434K home values - a solid setup for rental cash flow.

You know 53718 now. You don’t know where it ranks.

This page stays free — all of it. What one page can’t tell you is how 53718 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.

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How 53718 ranks in Madison, WI

Every ZIP in this metro, ranked. Free.

Cash Flow → Appreciation → Affordable →
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