Madison County has a number of subdivisions featuring homes with a wide range of prices, and more are being developed. Most new homes built in recent years are located in or near the towns of Colbert, Comer, Hull, Ila and Danielsville, and residential expansion is booming north of Colbert and in the Spratlin Mill Road area off U.S. Highway 72. After several years of research and study by the Madison County Planning Commission, a Zoning Ordinance for unincorporated areas of the county was drawn up. It was approved by the Madison County Board of Commissioners in December 1993, and went into effect on January 1, 1994. The primary objective of the Ordinance is "to conserve and protect the natural, economic, and scenic resources of Madison County."

In 2012, Madison County had 12,293 housing units, an increase of 2,092 units, from 1990.