Alabama Real Estate Market in 2023: Forecasts + Trends

Clever Real Estate


Clever Real Estate

May 1st, 2023
Updated May 1st, 2023


alabama real estate trends

Real estate trends in Alabama | Sellers | Buyers | Investors | The best and worst of Alabama | Alabama resources

Alabama real estate trends (May 2022)

How is the real estate market in Alabama?
🏠 Average home value: $206,044
📈 1.22% home value increase month over month
💰 Median sale price: $259,200
⏳ 45 days on the market
🔑 Homes on the market: 11,104
📆 2.2 months of housing inventory
🏦 30-year mortgage rate: 5.64000%
💵 Average income: #N/A
State of the market: B+
Homes are flying off the market in Alabama, causing sales prices to climb steadily. Despite the faster sales, inventory is starting to improve, which may cause the market to cool.
*Data last updated May 2022

Alabama's population is growing as new residents choose the state as their home — and it's easy to understand why.

From the Appalachian foothills to the Gulf of Mexico, Alabama boasts 22 state parks that showcase the state's natural beauty. Residents enjoy mild winters and subtropical summers, with coastal breezes and plenty of sunny days.

The Yellowhammer State also has a rich history, from its capital in Montgomery to Birmingham — two cities that played crucial roles in the Civil Rights Movement.

If you're thinking of buying or selling in Alabama, these Alabama housing predictions and stats can help you make an informed decision.

Want to save money when you buy or sell your home? With Clever, you'll only pay 1.5% or $3K in listing fees. Eligible buyers get cash back after closing. Find out how much you can save with Clever today!

Selling a home in Alabama

Alabama real estate market forecast for sellers
⏰ Homes are selling 26 days slower than the annual average
💰 Homes are selling for $21,560 more than the annual average
💸 Average listing commission: 2.72%
💸 Average buyer's commission: 2.72%

How to sell a home in Alabama

Cost to sell a home in Alabama

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Buying a home in Alabama

How much home you can buy with $300,000 in...
🏠 Birmingham: 2,013 sq ft
🏡 Mobile: 2,290 sq ft
🏡 Huntsville: 1,852 sq ft
🏠 Montgomery: 2,400 sq ft

Investing in Alabama real estate

Best of Alabama

Each month, we compare locations in Alabama based on different criteria. This month, we're looking at levels of happiness and ranking the best counties in the state.

Happiest Counties in Alabama
1. Shelby County
2. Madison County
3. Baldwin County
4. Morgan County
5. Limestone County

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Worst of Alabama

Each month, we compare locations in Alabama based on a different criteria. This month we're looking at levels of happiness data. These are the counties that ranked the worst in the state.

Least Happy Counties in Alabama
1. Greene County
2. Perry County
3. Wilcox County
4. Lowndes County
5. Sumter County

Alabama resources

👋 Next Steps: Talk to an expert!

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Give us a call at 1-833-2-CLEVER or enter your info below. Our concierge team will be in touch shortly to help.

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Frequently asked questions about Alabama real estate

Real estate is always a good investment, especially in bigger cities in Alabama, like Huntsville and Birmingham, where people are always looking for housing. However, to really maximize your investment, you have to also know where the best neighborhoods to buy real estate are and how to manage the properties after you buy. To find out more, check out our guide on real estate investing.

No, it currently is not an ideal time to buy a house in Alabama. Not only are real estate prices above average in the state, but mortgage rates are also rising. If you plan on buying a house in the state, then you will need the help of a top real estate agent to navigate the market and get you a good deal.


Clever's analysis of state market trends is based on local data from Zillow,, Redfin, Bankrate, the U.S. Census, and Clever surveys. Our team of over 20 real estate analysts from across the country research local markets and data to compile our "Best" and "Worst" rankings.

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