Birmingham, AL 35205 Real Estate Market Report

ZIP Code: 35205
Report Date: May 2026
Market Temperature: NEUTRAL
Scope: This ZIP code analysis focuses on single-family residential (SFR) properties. Metrics are calculated from recent sales and active listings within the past 90 days.

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Market Overview

This analysis is based on a sample of properties from this ZIP code (up to 200 sold properties and up to 100 active properties). The median prices below are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Market Metrics

Note: The property counts shown above represent only the properties analyzed in this report sample, not the total inventory for this ZIP code. Median prices are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Rental Market

Note: The relationship between property values and rental rates reflects different market dynamics. Higher-priced properties may have lower rental yields due to factors such as luxury market positioning, owner-occupancy preferences, or long-term appreciation strategies rather than immediate rental income maximization.

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Property Taxes

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Liquidity & Velocity

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Market Trends & Context

Understanding Market Temperature

A Neutral market indicates balanced conditions where neither buyers nor sellers have a strong advantage, typically characterized by flat price trends, extended but stable days on market, and moderate inventory relative to sales.

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Key Findings

1. The primary indicator of market value is the median sold price of 379,900, which represents the most recent realized transactions and should be treated as the representative recent sale benchmark for underwriting and comps; given the market temperature is neutral, this sold price suggests stability in realized values.

2. There is a meaningful gap between the median sold price (379,900) and the median listing price (349,900), which may indicate pricing friction or seller expectations differing from recent transaction levels and suggests careful list-price positioning is required to align with recent sales.

3. Liquidity appears muted: the median days on market at 304 points to materially slower sales velocity versus typical fast-turn markets, which, combined with the snapshot assessment of relatively constrained active supply in the analyzed sample, suggests that transactions are occurring but at a slower cadence and may favor buyers who are patient.

4. Market and financing context: prices and rents are both trending up (price year-over-year trend: up; rent year-over-year trend: up), while interest rate pressure is elevated, which may increase cost sensitivity among buyers and warrants stress-testing buyer qualification and pricing assumptions when evaluating listings with a median price per square foot of 190 and a median market rent of 999.

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Notable Properties

The following 8 properties represent notable market examples and recent transactions that illustrate key market dynamics. These are illustrative examples selected for their significance (top sales, market benchmarks, quick sales) and are not the basis for the statistical calculations shown above.

Birmingham, AL 35205 Real Estate Market Report

ZIP Code: 35205
Report Date: May 2026
Market Temperature: NEUTRAL
Scope: This ZIP code analysis focuses on condominium properties. Metrics are calculated from recent condo sales and active listings within the past 90 days.

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Market Overview

This analysis is based on a sample of properties from this ZIP code (up to 200 sold properties and up to 100 active properties). The median prices below are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Market Metrics

Note: The property counts shown above represent only the properties analyzed in this report sample, not the total inventory for this ZIP code. Median prices are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Rental Market

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Property Taxes

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Liquidity & Velocity

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Market Trends & Context

Understanding Market Temperature

A Neutral market indicates balanced conditions where neither buyers nor sellers have a strong advantage, typically characterized by flat price trends, extended but stable days on market, and moderate inventory relative to sales.

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Key Findings

1. $198,000 median sold price is the primary indicator of market value and recent transaction activity for ZIP 35205; this level suggests modest appreciation given the reported up year-over-year price trend and should be treated as the representative recent sale benchmark for underwriting and comps, not the median listing price.

2. There is a gap between $212,500 median listing price and the $198,000 median sold price, which may indicate pricing friction or seller expectations above realized transaction values and suggests listings could require negotiation to reach contract.

3. The market shows 334 median days on market, which points to slower sales velocity and longer listing lifecycles; combined with elevated interest rate pressure (elevated), this suggests conditional buyer urgency and longer time-to-close for price-sensitive segments.

4. Inventory context points to elevated inventory relative to sales activity, which, together with a neutral market temperature (neutral) and an up rent trend, suggests balanced opportunities for both value-focused buyers and investors seeking rental upside at a $1,500 median market rent.

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Notable Properties

The following 8 properties represent notable market examples and recent transactions that illustrate key market dynamics. These are illustrative examples selected for their significance (top sales, market benchmarks, quick sales) and are not the basis for the statistical calculations shown above.