Birmingham, AL 35215 Real Estate Market Report

ZIP Code: 35215
Report Date: February 2026
Market Temperature: NEUTRAL
Scope: Single-Family Residential (SFR) listings and comps only

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Executive Overview

The Birmingham, AL market is currently characterized by a median sold price of $133,500, reflecting a stable yet slightly downward trend in pricing. The neighborhood has decreased 8% since 2022, indicating a shift in market dynamics as buyers adjust to current economic conditions. Despite this, the median listing price stands at $175,000, suggesting a notable gap between seller expectations and actual market transactions, which may create pricing friction for potential buyers.

Transaction activity appears moderate, with median days on market reaching 136 days, indicative of slower sales velocity. The current inventory conditions show elevated levels, with excess supply relative to sales activity, which may further pressure prices downward. As buyers navigate a market with moderate interest rate pressure, affordability remains a key factor supporting local demand, contributing to a balanced market temperature overall.

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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

Note: A Sale-to-List Ratio near 100% can occur when properties sell at or near their final listing price after price adjustments during the listing period, even when initial listing prices differ significantly from sale prices.

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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.

Current Mortgage Rate Context

Market-level mortgage rate comparison for this area:

Current 30-year fixed mortgage rates in the Birmingham, AL market average around 6.07% compared to a forecast low of 5.50% expected mid-2026, suggesting current financing is slightly less favorable than the market's potential low point.

Note: Interest rate comparisons provide market context. The existing "Interest Rate Pressure" metric above shows the qualitative market impact.

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Key Findings

1. The median sold price of $133,500 indicates a decreasing trend in property values, down 8% since 2022.

2. With a median listing price of $175,000, there is a significant gap between asking prices and actual sales, suggesting pricing friction in the market.

3. The median days on market of 136 days reflects a slower sales velocity, indicating that properties are taking longer to sell.

4. Inventory levels are currently elevated, leading to excess supply relative to sales activity, which may exert further downward pressure on prices.

5. The median market rent of $1,376 remains stable, suggesting that rental demand is holding steady despite the moderate interest rate pressure affecting buyers.

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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.