Tuscaloosa, AL 35405 Real Estate Market Report

ZIP Code: 35405
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 in Tuscaloosa, AL, are averaging 6.125% to 6.50% as of late April 2026, reflecting a market where rates remain elevated compared to historical lows.

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 is the median sold price of $259,900, which anchors recent transaction values and suggests sellers should price expecting completed sales near this level rather than relying solely on asking prices; down year-over-year price trend suggests caution when targeting appreciable upside.

2. There is a meaningful gap between the median listing price of $289,900 and the median sold price, which may indicate seller price expectations exceed recent transaction levels and could lead to pricing friction unless offers align with the market‑clearing sold price.

3. With a median days on market of 215, the market is showing slower sales velocity, which appears to be normalizing toward a more balanced environment and may require sellers to allow more time for marketing or to consider modest concessions to improve liquidity; neutral market temperature supports this balanced characterization.

4. Financing and carrying-cost pressure remain a headwind: interest rate conditions are reported as elevated, and prevailing 30‑year fixed mortgage rates are averaging 6.125% to 6.50%, which combined with a median market rent of $1,550 and rent trending up suggests rental demand remains steady even as purchase affordability is constrained.

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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 35405 Real Estate Market Report

ZIP Code: 35405
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

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

Liquidity metrics unavailable due to insufficient data quality.

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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 Tuscaloosa, AL, are averaging 6.125% to 6.50% as of late April 2026, reflecting a market where rates remain elevated compared to historical lows.

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. median sold price is the primary indicator of market value and recent transaction activity, but the exact median sold price is not provided in the dataset; insights below are therefore drawn from the analyzed transaction sample (68 closed sales) and trend signals rather than a single median-sale figure. use sold transactions as the ground truth.

2. price year-over-year trend: down — the market shows softening in realized prices, which, combined with a neutral market temperature, suggests a cooling market that appears to be moving toward a more balanced state with slower sales velocity and greater room for price negotiation by buyers.

3. median market rent: $800 and rent year-over-year trend: up — rental demand appears steady with moderate rent growth, indicating continued demand from tenants even as the sales market cools; investors should treat rents as a relative stabilizer while monitoring sales liquidity. up.

4. interest rate pressure: elevated — Current 30-year fixed mortgage rates in Tuscaloosa, AL, are averaging 6.125% to 6.50% as of late April 2026, and elevated rate pressure may be dampening buyer purchasing power and contributing to slower transaction velocity; consider structuring pricing and marketing to reflect tighter buyer budgets and longer decision timelines. elevated.

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Notable Properties

The following 4 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.