Madisonville, KY

  • Overview
  • Performance
  • Listings
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Key Performance Metrics

Market snapshot

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

Listings

38 / 93

Reliable / Active

Cap Rate

12%

Middle-Earners Gross Yield

Revenue

$18,055

Middle-Earners Revenue

Occupancy

53%

Middle-Earners Occupancy

Home Value

$157,685

Median Home Sale Price

Top Earners

$42,338

Top-Earners Revenue

Madisonville

Market Revenue Seasonality

Top Listings

Highest revenue

The highest-performing listings in Madisonville.

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B

Generally Investor friendly

Madisonville Regulations

STRs are permitted and require standard business registration, sales tax and transient room tax, and potentially local licensing, but there’s no clear cap/operational limits and enforcement appears collaborative, making compliance manageable for investors.

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About Madisonville

Madisonville is a small city in western Kentucky that serves as the county seat of Hopkins County and anchors the surrounding Pennyrile region. With a population of approximately 19,000 residents, it has the feel of a working agricultural and industrial town set among rolling farmland, woodlands, and the remnants of a long coal-mining heritage that helped shape the local economy. The city has a quiet, traditional small-town character with a walkable historic core, a strong local school system, and the kind of unhurried pace that appeals to visitors passing through the region. Madisonville sits roughly 40 miles southeast of Evansville, Indiana, the nearest sizable metro area, and is also within about two hours of both Nashville, Tennessee, and Louisville, Kentucky, making it a practical stopover for travelers exploring western Kentucky.

A short drive southwest of Madisonville, Lake Pennyrile State Resort Park offers a wooded retreat centered on a 56-acre lake surrounded by more than 1,500 acres of forest. The park, about 25 minutes from downtown Madisonville, draws visitors for its lodge, restaurant, golf course, hiking trails, horseback riding, and seasonal boating, giving the area a year-round outdoor appeal that complements Madisonville's quieter indoor offerings.

The city itself is home to Mahr Park Arboretum, a 130-acre public park featuring walking trails, gardens, and a lake, providing an easy green escape right at the edge of town. The arboretum hosts community events, educational programs, and seasonal plantings that make it a popular gathering place for both residents and visitors exploring the area on foot or by bike.

A bit farther afield, John James Audubon State Park in Henderson, Kentucky, sits roughly 45 minutes north of Madisonville and pays tribute to the naturalist who lived in the region in the early 1800s. The park includes a museum housing one of the most complete collections of Audubon's original prints and watercolors, along with a lake, hiking trails, and a golf course, making it a popular day-trip destination for travelers staying in the area.

Madisonville makes a compelling base for short-term rentals because it offers travelers an authentic slice of western Kentucky while keeping larger cities and well-known state parks within easy reach. Its central location in the Pennyrile region, paired with quiet residential neighborhoods, lake recreation, and a handful of nearby cultural stops, gives property owners a reliable mix of business travelers, road trippers, and outdoor tourists to draw from throughout the year.

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