Madison cap rate
Cap rate
3.2%
Ranks #1,731 of 3,071 U.S. counties, in the top 56%.
- vs. national median3.5%Madison is lower than the U.S. median
- vs. Alabama median4.4%Madison is lower than the Alabama median
What cap rate means
Capitalization rate estimates the annual return on a rental property before financing: gross rent divided by purchase price. Higher cap rates mean stronger cash flow relative to price, which investors weigh against appreciation potential and risk. We estimate it from local rents and home values; verify against an actual listing before underwriting a deal.