Alabama started 2025 with a total of 15,212 single-family homes on the market, with a median home price of $318,832.5 and an average price per square foot of $181.82. By the end of the year, inventory had increased to 15,981 homes on the market (+5%), with a median home price of $325,000 (+2%), and an average price per square foot of $186 (+2%).
At the start of 2025, the median days on market (DOM) was 91 days – by the end of the year, median DOM had decreased to 84 days.
Alabama started the year with 34.08% of homes taking a price cut. (For reference, 35% is the national average for price reductions in a "normal" year.) By the end of the year, about 34.65% of homes for sale had taken a price cut.
Finally, Altos’ proprietary Market Action Index (MAI) shows that Alabama started 2025 as a buyer's market, with an MAI score of 27; by the end of the year, the MAI had increased to 31 – a seller's market.Market Update for June 14, 2026