The '4 Minutes' singer recently returned to New York following her divorce from director Guy Ritchie, who she spent seven years living in the UK capital with, and has splashed out on a British-style town house.
A source said: "The townhouse is perfect for Madonna. She's trying to recreate London in New York City, and this is in the style of a London townhouse."
The 50-year-old star reportedly paid £3 million less than the asking price for the four-storey Georgian property on Manhattan's Upper East Side, which boasts 13 bedrooms, 14 bathrooms, a lift, wine cellar and 3,000 sq ft garden.
However, it seems Madonna - who will live in the house with children Lourdes, 12, Rocco, eight and David, three - has not picked up the bargain she thought.
One estate agent told the New York Post newspaper: "No residence in that area has ever sold for $20 million, let alone $30 million - or ever will again."
According to one potential buyer of the property, residents inside the house can hear and feel trains coming through to nearby Lexington Avenue subway.
The 'Material Girl' singer has several property plans lined up.
As well as ordering extensive renovations, along with major security upgrades on her new house, she is also looking for an English-style home in Long Island or Westchester where she can keep her beloved horses.
She is also planning to build a house in Malawi to strengthen her appeal to adopt four-year-old orphan Mercy James after a court recently rejected her application due to residency issues.
A source said: "Madonna has a big beautiful plot of land over there already. She's planning to build a girls school. But she's gone back to the designers and asked if they could accommodate a family home on the plot or on adjacent land."
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