Tuscaloosa, AL 35404 Real Estate Market Report

ZIP Code: 35404
Report Date: April 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

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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 for properties in Tuscaloosa AL are approximately 6.1%, reflecting a market environment where rates have stabilized in the low-6 percent range throughout early 2026.

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 primary market indicator, the median sold price, is 199,900, which anchors recent transaction value and suggests modest appreciation pressure given the price year-over-year trend is up.

2. There is a material gap between the median listing price (245,900) and the median sold price (199,900), which may indicate pricing friction and sellers' expectations above recent transaction levels; this dynamic appears alongside a neutral market temperature (neutral), suggesting a more balanced negotiation environment.

3. Market velocity shows slower turnover: the median days on market is 295, which suggests reduced sales velocity and that buyers may have increased leverage in negotiations; this longer time-to-contract should be factored into pricing and marketing timelines.

4. Financing and rental context: interest rate pressure is elevated (current mortgage context ~6.1%), while median market rent is 1,395 and rent year-over-year trend is up, indicating continued rental demand strength even as mortgage costs remain a headwind for 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.

Tuscaloosa, AL 35404 Real Estate Market Report

ZIP Code: 35404
Report Date: April 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.

Current Mortgage Rate Context

Market-level mortgage rate comparison for this area:

Current 30-year fixed mortgage rates for properties in Tuscaloosa AL are approximately 6.1%, reflecting a market environment where rates have stabilized in the low-6 percent range throughout early 2026.

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 neighborhood's primary market indicator, the median sold price of 199,900, signals moderate appreciation with price momentum noted as up, making recent transactions the clearest guide to current value and pricing expectations.

2. Despite the price strength, the median days on market of 306 points to a slower sales velocity and increased negotiation time, which may indicate pricing friction between seller expectations and buyer willingness.

3. The median price per square foot of 175 alongside a median market rent of 1,400 suggests continued investor and renter interest, supported by rent momentum described as up, so rental demand remains a supportive fundamental for SFR and condo valuations.

4. Interest-rate context is material: with interest rate pressure described as elevated and prevailing 30-year fixed mortgage rates around 6.1%, financing costs are higher than recent historical lows and may temper buyer capacity even as the market temperature remains neutral.

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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.