Is Madison County, TN good for real estate investing?

Madison County has an investment score of 59/100, rated as "Hold". The county ranks #359 nationally among 1000 counties analyzed.

What is the rent-to-price ratio in Madison?

The rent-to-price ratio in Madison County is 7.38% annually, which ranks in the 83th percentile nationally. Higher ratios indicate better cash flow potential.

What is the median home price in Madison?

The median home price in Madison County is $223,665. This ranks #449 in affordability among all US counties.

Can you cash flow on rental properties in Madison?

Based on median values with 20% down at current rates, a typical rental in Madison County would generate negative cash flow of $279/month. Individual property performance varies based on purchase price, rent, and operating expenses.

Madison County

TennesseePopulation: 98,644

/100

Hold

#359 of 1,000 counties

#30 in Tennessee (95 counties)

Market Snapshot

$223,665

Median Home Price

4% below national median

$1,375/mo

Median Rent

9% below national median

7.38%

Rent-to-Price Ratio

Top 17% nationally

-$279

Est. Monthly Cash Flow

With 20% down at 6.9% rate

Price History

Historical data from Zillow ZHVI/ZORI

Quick Investment Calculator

Down Payment20%

5%50%100%

Purchase

Purchase Price$223,665

Down Payment (20%)$44,733

Loan Amount$178,932

Interest Rate6.85%

Monthly Cash Flow

Gross Rent+$1,375

Monthly P&I-$1,172

Est. Expenses (35%)-$481

Net Cash Flow-$279/mo

4.8%

Cap Rate (all cash)

-6.5%

Cash-on-Cash Return

7.38%

Rent-to-Price Ratio

Negative leverage: At 6.85% rates, borrowing costs exceed the 4.8% cap rate. All-cash buyers may see better returns.

* Based on county median values. 35% expenses include taxes, insurance, maintenance, vacancy, and property management. Actual results vary by property.

Run Full Analysis Try House Hack Strategy

Score Breakdown

Overall Investment Score

59/100

Cash Flow(30%)

74/100

Based on 7.38% rent-to-price ratio. Higher ratios indicate stronger cash flow potential.

Appreciation(25%)

42/100

Based on -1.6% YoY price growth. Moderate growth (3-8%) scores highest.

Stability(25%)

50/100

Population data not available.

Affordability(20%)

69/100

Price-to-income ratio of 4.0x. Lower ratios indicate more affordable markets.

Scores are calculated using real Zillow home value and rent data, Census population data, and economic indicators. The weighted average produces the overall investment score. Markets with missing rent data use estimated values based on regional averages.

Investment Outlook

Strengths

+Above-average rent-to-price ratio (7.38%)
+Complete rent data available

Challenges

-Declining home values (-1.6% YoY)
-Negative cash flow at typical financing (-$279/mo)
-Negative leverage (cap rate 4.8% < mortgage rate 6.9%)

Economic Indicators

Population

98,644

Median Income

$55,280

vs $57,018 national est.

Unemployment Rate

—

Data pending

Price-to-Income

4.0x

Moderately affordable

Compare to Nearby Counties

County					Verdict
ShelbyTN	61	$215,746	$1,364	7.58%	Buy	View
CurrentMadisonTN	59	$223,665	$1,375	7.38%	Hold
HaywoodTN	58	$167,218	$1,013	7.27%	Hold	View
WayneTN	58	$172,328	Est. pending	—	Hold	View
FayetteTN	58	$366,798	$1,941	6.35%	Hold	View
CarrollTN	58	$176,012	Est. pending	—	Hold	View

The Bottom Line

HoldMadison is a neutral market. Consider house hacking or targeting below-market deals.

Madison County in Tennessee scores 59/100, ranking #359 of 1,000 US counties (top 47%). The 7.38% rent-to-price ratio indicates moderate cash flow potential.

Monthly Cash Flow

$-279/mo

Cap Rate

4.8%

Cash-on-Cash

-6.5%

Ready to Analyze a Deal in Madison?

Use our investment calculators to run detailed numbers on specific properties.

Single Family1-4 unit rentals, BRRRR House HackOwner-occupied strategy Multifamily5+ unit properties

Explore Other Markets

Quick Investment Calculator

Down Payment20%

5%50%100%

Purchase

Purchase Price$223,665

Down Payment (20%)$44,733

Loan Amount$178,932

Interest Rate6.85%

Monthly Cash Flow

Gross Rent+$1,375

Monthly P&I-$1,172

Est. Expenses (35%)-$481

Net Cash Flow-$279/mo

4.8%

Cap Rate (all cash)

-6.5%

Cash-on-Cash Return

7.38%

Rent-to-Price Ratio

Negative leverage: At 6.85% rates, borrowing costs exceed the 4.8% cap rate. All-cash buyers may see better returns.

* Based on county median values. 35% expenses include taxes, insurance, maintenance, vacancy, and property management. Actual results vary by property.

Run Full Analysis Try House Hack Strategy

Score Breakdown

Overall Investment Score

59/100

Cash Flow(30%)

74/100

Based on 7.38% rent-to-price ratio. Higher ratios indicate stronger cash flow potential.

Appreciation(25%)

42/100

Based on -1.6% YoY price growth. Moderate growth (3-8%) scores highest.

Stability(25%)

50/100

Population data not available.

Affordability(20%)

69/100

Price-to-income ratio of 4.0x. Lower ratios indicate more affordable markets.

County

Verdict

ShelbyTN

$215,746

$1,364

7.58%

Buy

View

CurrentMadisonTN

$223,665

$1,375

7.38%

Hold

HaywoodTN

$167,218

$1,013

7.27%

Hold

View

WayneTN

$172,328

Est. pending

—

Hold

View

FayetteTN

$366,798

$1,941

6.35%

Hold

View

CarrollTN

$176,012

Est. pending

—

Hold

View

The Bottom Line

HoldMadison is a neutral market. Consider house hacking or targeting below-market deals.

Madison County in Tennessee scores 59/100, ranking #359 of 1,000 US counties (top 47%). The 7.38% rent-to-price ratio indicates moderate cash flow potential.

Monthly Cash Flow

$-279/mo

Cap Rate

4.8%

Cash-on-Cash

-6.5%