Birmingham, AL 35222 Real Estate Market Report

ZIP Code: 35222
Report Date: February 2026
Market Temperature: NEUTRAL
Scope: Single-Family Residential (SFR) listings and comps only

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Executive Overview

As of February 2026, the real estate market in Birmingham, AL (ZIP: 35222) shows a median sold price of $399,950, reflecting the actual transaction values in the area. This figure is a critical indicator of market performance, suggesting a competitive environment despite some fluctuations in price appreciation. The market appears to be stabilizing, with conditions leaning towards a more balanced inventory, although specific historical price change data is not available for further context.

The current inventory dynamics indicate elevated inventory levels, which may suggest a slower sales velocity compared to previous periods. The median days on market stands at 236 days, indicating that properties are taking longer to sell, which could reflect a cautious buyer sentiment in the face of elevated interest rate pressure. Overall, while the market remains active, the relationship between listing and sold prices highlights a potential gap in seller expectations versus buyer readiness.

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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

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 Birmingham, AL, around 6.09% are 0.78% lower than the 6.87% average seen one year ago for property owners in this market.

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 $399,950 indicates strong market activity despite longer sales cycles, suggesting caution among buyers.

2. The median days on market of 236 reflects a slower sales velocity, which may impact liquidity in the near term.

3. Elevated inventory levels suggest excess supply relative to sales activity, potentially leading to pricing friction.

4. The median listing price of $349,950 shows a significant gap compared to the sold price, indicating pricing challenges for sellers.

5. The median market rent of $1,376 remains stable, supporting overall affordability in the area amidst moderate interest rate pressure.

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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.