Madison, MS: A 2026 Relocation Deep Dive

Madison: The Data Profile (2026)

Madison, Mississippi, represents a statistical anomaly in the 2026 post-remote landscape. With a population of 27,775, it operates less like a suburb and more like a high-income enclave. The defining metric here is the wealth-to-cost ratio: the median income stands at $120,918, which is a staggering +62.1% higher than the US median of $74,580. This wealth is underpinned by a hyper-educated workforce, where 65.7% of residents hold a college degree—more than double the US average of 33.1%.

The statistical target demographic is the "High-Value Hybrid Worker." This profile fits professionals earning $120k+ who require proximity to the Jackson metro area for occasional office days but demand suburban seclusion and school quality for the remaining 60-80% of their work week.

Cost of Living Analysis

While the population is small, the economic footprint is massive. The primary driver of Madison's affordability is housing, which sits at a Cost of Living Index (COLI) of 67.1, making it -32.9% cheaper than the national average. However, services and goods have converged closer to the mean.

Disposable Income Analysis:
The "Madison Advantage" is realized in disposable income. A single earner making the median $120,918 takes home roughly $7,200 monthly (after taxes). With a total COL of $2,652, the disposable surplus is $4,548. Compare this to a similar earner in a high-cost metro (e.g., San Francisco) where surplus might be under $1,000. In Madison, housing is not a wealth trap; it is a wealth accelerator.

Housing Market Deep Dive

The housing market in Madison is aggressively undervalued relative to income. The median home price is approximately $285,000, significantly lower than the US median of $416,000. This creates a Price-to-Income ratio of 2.35, which is historically considered the most healthy metric for housing affordability (anything under 3.0 is "affordable").

Buy vs. Rent Analysis:
Given the -32.9% discount on the Housing Index, buying is the clear mathematical winner for anyone staying longer than 24 months. The rent-to-price ratio is approximately 4.2%, which is high for a low-risk market, suggesting that renting is subsidizing the landlord's equity aggressively. With a $285,000 home purchase using a 20% down payment ($57,000), the monthly mortgage (at current rates) often competes directly with the $1,401 rent for a 3-bedroom unit.

Economic & Job Market Outlook

Madison's economy is insulated by its status as a bedroom community for the Jackson area, yet it retains its own commercial tax base.

• RTO Impact: With 3.8% unemployment (below the US 4.0%), the local market is tight. The "Return to Office" mandate for Jackson-based corporate HQs (often 20-30% in-office requirements) has kept demand for Madison real estate stable. Commute times to Jackson are typically 18-25 minutes, a manageable "hybrid" distance.
• Industry Stability: The 65.7% college education rate indicates a shift toward professional services, healthcare, and education sectors rather than blue-collar volatility. This insulates the housing market from manufacturing layoffs.

Quality of Life Audit

Madison offers a "clean-living" profile compared to national averages, particularly regarding lifestyle diseases.

Safety & Environment:

• Crime: Madison is statistically one of the safest cities in Mississippi. Violent crime is approximately 110 per 100k (vs US avg 380 per 100k), and property crime is 1,600 per 100k (vs US avg 1,900 per 100k).
• Air Quality: With an AQI of 35 and PM2.5 levels at 6.1 µg/m³, Madison ranks in the top tier of US breathable cities, significantly outperforming the national average.
• Schools: Madison County Schools are consistently ranked in the top 5% of the state, a major driver for the $285,000 median home price.
• Weather: Currently, the temperature is 48.0°F, with a high of 56°F and a low of 26°F. The region experiences four distinct seasons, with mild winters and hot, humid summers.

The Verdict

Pros:

• Wealth Accumulation: High income ($120k) combined with low housing costs ($155/sqft) creates the highest savings potential in the region.
• Safety & Schools: Crime rates are 70% lower than national averages; schools are top-tier.
• Health Profile: Smoking rates are 37% lower than the US average; air quality is pristine.

Cons:

• Cultural Density: With a population of 27,775, the amenities are limited compared to major metros.
• State Tax Structure: While cost of living is low, Mississippi state income tax is progressive and can impact net take-home pay for high earners.

Final Recommendation:
Madison, MS is a "Buy" for 2026. The data supports this location for professionals seeking to maximize the "post-remote" economy. You are effectively buying a $416,000 lifestyle for $285,000. If you can tolerate the suburban pace and require a safe, high-education environment for a family, there are few markets nationally that offer this level of economic arbitrage.

FAQs

1. What salary is needed to live comfortably in Madison?
To match the median income and live comfortably, a single person needs approximately $85,000. However, to take full advantage of the housing market (buying a $285,000 home) while saving 20% of income, a household income of $110,000 is recommended.

2. How does the value compare to neighboring Ridgeland or Jackson?
Madison offers a -15% to -20% discount on housing compared to Ridgeland, while maintaining a significantly lower crime rate (-50% violent crime difference) than Jackson. You are paying for exclusivity and school district quality.

3. Are the safety statistics reliable?
Yes. The violent crime rate of 110 per 100k is derived from FBI Uniform Crime Reporting standards. It is statistically negligible for daily life, especially for families used to metro-area statistics.

4. Is now the right time to buy given interest rates?
Yes. While interest rates remain elevated in 2026, the -31.5% discount on the Median Home Price ($285k vs $416k national) absorbs the rate shock. Furthermore, the low Housing Index of 67.1 suggests home values have room to appreciate as the Jackson metro area densifies.