Residential Income Property with
For Sale
$387,500
607 Malvern Hill, Madison, WI 53718
Vacant ranch-style condominium with flexible lower-level expansion space and two main-floor bedrooms.
Property Size1,470 SF
Price / SF$263.61
Days on Market225
Property Features for 607 Malvern Hill
General Information
Standard status
Active
Size
1,470 SF
Total Parking Spaces
2
Property subtype
Condo / Ranch-1 Story
Zoning
Res
Additional Details
HOA Fee
$600
Multifamily Units
1
Taxes and HOA fees
Annual Taxes
$5,533
Amenities
sunroom
central air
Personal property of seller
Refrigerator, stove, dishwasher, washer, dryer, water softener
Forced air, Central air
Wood or sim. wood floors, Walk-in closet(s), Great room, Vaulted ceiling, Skylight(s), Washer, Dryer, Water softener included
Vinyl, Brick, Stone
Private Entry, Deck/Balcony
Building Details
Year Built
2000
Construction
Ranch
Listing Agency:
RE/MAX Preferred
Listed By:
Scott Schroeder · License #59137-90
(608) 617-2727
Source:
Compass
Added: Jan 23
Changed: Aug 31
Last Checked: Aug 30 at 7:17AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of RE/MAX Preferred
Investment Insights
Based on property information with market context.
This ranch-style condominium offers an open main-level layout with 1470 sq feet of living area. The interior includes wood flooring, a vaulted great room, sunroom, kitchen with refrigerator, stove, and dishwasher, dining space, and a primary suite with walk-in closet. A second bedroom and bath are also located on the main floor. Central air, forced-air heating, a water softener, washer, and dryer are included.
The lower level provides additional storage and unfinished space for a family room, third bedroom, and third bath. An egress window is in place for the potential bedroom, and plumbing is ready for the additional bath. The property also features a private entry, deck or balcony, and two-car attached garage. Built in 2000, the condominium is located at 607 Malvern Hill, Madison, WI 53718, and is currently vacant.
The lower level provides additional storage and unfinished space for a family room, third bedroom, and third bath. An egress window is in place for the potential bedroom, and plumbing is ready for the additional bath. The property also features a private entry, deck or balcony, and two-car attached garage. Built in 2000, the condominium is located at 607 Malvern Hill, Madison, WI 53718, and is currently vacant.
Key Highlights
- 1470 sq feet on the main level
- Lower level includes space for a family room, third bedroom, third bath, and storage
- Egress window supports the potential third bedroom
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$18,031
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
4.65%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$360,620
$360.6K
Cap Rate 7%
$257,586
$257.6K
Cap Rate 9%
$200,344
$200.3K
Market Conditions
NOI Build-Up for 1,470 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$34.2K $23.28/SF
− Vacancy
−$1.4K −$0.98/SF
EGI
$32.8K $22.30/SF
− OpEx
−$14.8K −$10.04/SF
NOI
$18.0K $12.27/SF
Area
Madison, WI
Vacancy
4.20%
Lease Rate
$23.28 /SF/Yr
Expense Ratio
45.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$360,620
Cap Rate 7%
$257,586
Cap Rate 9%
$200,344
Alternative Uses
Best Use
Apartment 5plus
$257.6K
$225.4K – $300.5K
NOI $18,031 @ 7.0% cap · market cap 4.65%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$429.4K
$375.7K – $501.0K
NOI $30,059 @ 7.0% cap · market cap 7.76%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Residential units
Location Intelligence
Trade Area within ½ mile
190
Businesses Nearby
Explore this area
Business Placement
Demographics for 53718, WI
17,034
Population
8,408
Households
2
Avg Household Size
37
Median Age
49%
College-Educated
96%
High-School Grad
20.8 sq mi
ZIP Area
819
Density / Sq Mi
$94,899
Median Household Income
$60,518
Median Earnings
$1,606
Median Rent
$328,500
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Residential income property - Vacant ranch-style condominium with flexible lower-level expansion space and two main-floor bedrooms.
Where is this residential income property located?
The property is located at 607 Malvern Hill Madison, WI.
What is the asking price?
The asking price for this property is $387,500.
What are key features of this property?
This property features: 1470 sq feet on the main level; Lower level includes space for a family room, third bedroom, third bath, and storage; Egress window supports the potential third bedroom
