Alabama Housing Market Shows Year-Over-Year Growth in April 2025
The Alabama housing market experienced notable growth year-over-year in April 2025, even though there were some minor declines in key areas over the preceding months. This includes metrics like home sales, prices, and overall sales volume, as highlighted in the recent Alabama Economic and Real Estate Report by the Alabama Association of Realtors.
In April, a total of 5,791 homes were sold, reflecting a 6.8% decrease from March. However, this number marks a 10.8% increase compared to April 2024, indicating a sustained upward trend in the state’s housing market.
The median home price for April stood at $224,967. This was a modest 2.2% dip from the previous month, but it represented a significant 13.3% increase from the same time last year. Similarly, the average sales price rose to $265,232, which is a remarkable 17.8% increase year-on-year.
Total sales for the month reached $1.54 billion, a 3.1% decrease from March, but an impressive 30.5% increase compared to April 2024.
In terms of inventory, improvements were observed. By the end of April, active listings hit 19,144, a 27% rise from the 15,072 available a year earlier. This increase provides buyers with more choices and reflects a broader stability in the market.
Homes in Alabama averaged 57 days on the market in April, marking a slight acceleration, as properties sold four days quicker than in March.
On the financing front, as of May 15, the average rate for a 30-year fixed mortgage was recorded at 6.81%. This is a decrease from 7.13% in the same period last year, continuing a trend below last year’s rates for four weeks in a row.
Looking at the economic landscape more broadly, Alabama’s unemployment rate has held steady at 3.3% for seven consecutive months, which is below the national average of 4.2%. The state’s workforce participation rate also rose for the second straight month, reaching its highest point since March 2019.