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Southeast☀️ Warm Market

Alabama Real Estate Market

2026 Housing Market Data · Live Analysis

MARKET HEAT
6
out of 10
Median Home Price
$242K
$132/sqft
YoY Appreciation
+3.1%
Year-over-year
Days on Market
38d
Median DOM
Inventory
3.2mo
Balanced
List-to-Sale
96%
Avg ratio
Cash Buyers
28%
of all sales
📰

Alabama Market Overview

Alabama's housing market continues its steady climb, driven by Huntsville's booming aerospace and defense sector and Birmingham's expanding healthcare economy. The state offers some of the most affordable entry points in the Southeast, making it a target for remote workers and value-seeking buyers priced out of neighboring Tennessee and Georgia. Huntsville in particular is one of the hottest mid-sized markets in the country, with inventory tight and multiple-offer scenarios common on well-priced properties.

🏠 Buyer Insight

Huntsville and Madison County are seeing the fastest appreciation. If budget allows, lock in now — inventory is thin and getting thinner as the space economy expands.

📋 Seller Insight

Price aggressively in Huntsville and you'll see strong activity. Birmingham sellers should focus on move-in-ready condition; buyers here are value-conscious and will negotiate on deferred maintenance.

🏙️

Top Cities in Alabama

CityMedian PriceYoY ChangeDays on MarketPrice/Sqft
Birmingham$268K+3.8%31d$148
Huntsville$318K+5.2%24d$172
Montgomery$198K+2.1%44d$112
Mobile$224K+2.8%41d$124
📊

Market Health Indicators

Market Velocity
Slow — buyer has negotiating room
Buyer Competition
Low — below-asking offers common
Inventory Pressure
Balanced — moderate supply
Investment Momentum
3.1% annual appreciation — solid growth
👥

Buyer Demographics

🏠
42%
First-Time Buyers
of all purchases
💵
28%
Cash Buyers
of all purchases
⏱️
45d
Avg Close Time
from offer to close
⚠️
8.2/10K
Foreclosure Rate
homes in default
🧮

Affordability Calculator — Alabama

🏠 Affordability Calculator
Tailored for Alabama market conditions
TOTAL MONTHLY PAYMENT
$1,956
per month
Principal & Interest
$1,430/mo
Property Tax
$222/mo
Insurance
$150/mo
PMI (< 20% down)
$154/mo
LOAN: $217,800TOTAL INTEREST: $297,000
Market Characteristics
#affordable#growing#southeast#aerospace#first-time-buyers
📊 CURRENT RATESMar 9, 2026
30-YR FIXED
15-YR FIXED
5/1 ARM
JUMBO 30-YR
WK CHANGE 30-YR: 0.04%
AL Quick Facts
Median Price$242K
Price/Sqft$132
YoY Appreciation+3.1%
Days on Market38 days
Inventory3.2 months
Active Listings18,400
List-to-Sale96.0%
Avg Close Time45 days
Market Trend☀️ Warm
RegionSoutheast
Southeast Region
ARArkansas
+2.8%
FLFlorida
+3.4%
GAGeorgia
+4.8%
KYKentucky
+3.8%
LALouisiana
+1.8%
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