Madison, WI

  • Overview
  • Performance
  • Listings
  • Buy Box

Key Performance Metrics

Market snapshot

Performance indicators for the Madison short-term rental market based on reliable data.

Listings

338 / 929

Reliable / Active

Cap Rate

8%

Middle-Earners Gross Yield

Revenue

$35,434

Middle-Earners Revenue

Occupancy

65%

Middle-Earners Occupancy

Home Value

$435,128

Median Home Sale Price

Top Earners

$79,888

Top-Earners Revenue

Madison

Market Revenue Seasonality

Top Listings

Highest revenue

The highest-performing listings in Madison.

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B

Generally Investor friendly

Madison Regulations

STRs are permitted citywide with clear steps and moderate fees, but the primary residence requirement, 30‑night cap when the host isn’t present, annual health inspections, and quarterly reporting add meaningful compliance burden for investors.

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About Madison

Madison is the capital of Wisconsin and the seat of Dane County, set on a narrow isthmus between Lake Mendota and Lake Monona. With a city population of roughly 270,000 and a metro area approaching 700,000, Madison has the feel of a lively college town wrapped around a working government center, anchored by the flagship campus of the University of Wisconsin–Madison. The city is best known for its blend of academic energy, lakeside recreation, progressive politics, and one of the country's most celebrated farmers' markets. It lies about 80 miles west of Milwaukee and roughly 150 miles northwest of Chicago, making it a convenient stop for travelers crossing the upper Midwest.

The most recognizable landmark in town is the Wisconsin State Capitol, a domed granite building completed in 1917 and modeled partly on the U.S. Capitol. Sitting atop an elevated square at the head of State Street, it anchors the downtown core and is open for free guided tours that climb to the observation deck for views over the lakes and the university. Just a short walk down State Street, visitors find a pedestrian-friendly corridor of bookshops, restaurants, and student hangouts that links the Capitol to the UW campus.

For lakeside culture, Monona Terrace, designed by Frank Lloyd Wright and completed after his death, juts out into Lake Monona and serves as a community and convention center with a rooftop terrace that draws crowds in warm weather. Across the isthmus, the university’s Memorial Union Terrace on Lake Mendota offers a similar draw, with outdoor seating, live music, and sailboats drifting by — a scene that helps define Madison’s laid-back summer identity.

Just east of downtown, Olbrich Botanical Gardens offers 16 acres of themed gardens, including a rare Thai pavilion, and is free to visit year-round. To the northwest, about 40 miles from the city, Devil's Lake State Park provides roughly 2,000 acres of bluffs, quartzite cliffs, and clear water along a 360-acre lake, drawing hikers, swimmers, and climbers throughout the warmer months.

Madison works especially well as a base for short-term rentals because it pairs big-city amenities — a walkable downtown, a major research university, a thriving food scene, and a state capitol — with the kind of outdoor draws that usually require a longer drive. Visitors can spend mornings at the farmers' market on the Capitol square, afternoons on the water or at a botanical garden, and evenings at a Badgers game or a concert on the terrace, all without leaving the metro. That mix of urban energy, lake life, and easy day trips to the surrounding Driftless region gives the city year-round appeal for leisure travelers and visiting families.

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