Real Estate Investing in Birmingham, Alabama (35235)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 35235 (Birmingham, AL)? Our answer, based on the numbers below.
Mixed signals — some positives, some negatives. Worth considering but not a slam-dunk.
A cash-flow market — rent-to-price math works from day one, though value growth is modest. Great for income-focused investors.
- Elevated vacancy: 9.8% vacancy may signal weakening demand.
What’s happening in Birmingham, AL (35235)?
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Market Analysis: 35235 Birmingham
Investors eyeing 35235 need to respect the fundamentals at play. Home values of $188K come alongside slower price movement and elevated management overhead.
For an experienced owner, 35235 can be a a credible choice for hunting ground — but the discount at $188K reflects genuine risk that outside investors often underestimate.
The gap between 35235 and stronger Birmingham ZIPs is not closing quickly. Investors should weight long-horizon assumptions accordingly.
On balance, 19,600 residents fill the ZIP, renter turnover runs higher than neighboring postal codes and delinquency risk is a real line item rather than a theoretical one.
The right play in 35235 usually involves deep tenant screening, aggressive delinquency response, and a conservative capex buffer. Anything less, and the discount can turn into a trap.
Here's what matters if you're considering buying a home in Birmingham:
Property Strategy for 35235
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $124,643 | $1,360 | 7.9% | +5.3% | $62,322 |
| 3BR | $177,627 | $1,700 | 6.9% | +5.4% | $59,209 |
| 4BR | $216,782 | $1,930 | 6.4% | +5.0% | $54,195 |
| 5BR | $255,678 | — | — | +4.5% | $51,136 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 35235 Compare?
| Metric | 35235 | Birmingham | Birmingham-Hoover, AL | Alabama |
|---|---|---|---|---|
| Home Value | $188,283 | $172,809 | N/A | $231,003 |
| 5-Year CAGR | 3.2% | 2.1% | N/A | 5.6% |
| Avg Rent | $1,390 | $1,275 | N/A | - |
| Cap Rate | 5.8% | 7.7% | - | - |
Similar ZIPs Within 25 Miles
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Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 35235 (Birmingham, AL). Anonymous, moderated, never written by AI.
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Property managers serving Jefferson County
Manage rentals here? List your business →Signal Property Management serves Adamsville, Birmingham, Calera, East Lake, and Ensley, offering services for tenants and owners including rent payment and repair requests. summary from their website
Listings are shown for convenience — Repit doesn’t endorse or vet these companies. Ratings shown come only from email-verified visitors.
📊 Market Snapshot
| Home Value | $188,283 |
| Monthly Rent | $1,390 |
| Price-to-Rent | 11.3:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 8.9% |
| Cap Rate | 5.8% |
| 5-Year IRR | 9.0% |
📈 Home Appreciation
| 1-Year | +3.3% ▲ |
| 3-Year CAGR | 0.0% ▼ |
| 5-Year CAGR | +3.2% ▲ |
| 10-Year CAGR | +5.7% ▲ |
🏠 Rent Trends
| 1-Year | -3.0% ▼ |
| 3-Year CAGR | +2.6% ▲ |
| 5-Year CAGR | +4.1% ▲ |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (5.8%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.
Run an IRR Analysis →⚠️ Risk Signals
Composite view of factors that can impact a ZIP's stability and your downside risk.
Demographics in 35235
Population: 19,600
Crime & Safety
Crime & Safety Data Coming Soon
We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.
Expected: Q1 2025
🎓 Nearby Colleges & Universities
Investor Insight: With 2,604 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
How much rent can I charge in Birmingham, AL?
Rental rates in Birmingham, AL average $1,390/mo. Tenant demand and $188K home values make the yield look reasonable by investor standards.
Do landlords face vacancy issues in Birmingham, AL?
Occupancy in Birmingham, AL runs even-keeled with elevated vacancy. Well-priced units at $1,390/mo lease on reasonable timelines.
How does Birmingham, AL rate as a rental market?
Investors tracking Birmingham, AL will find a 3.0/5 rating supported by $188K median home values and $1,390/mo rents. That profile suits long-term holders targeting consistent returns.
What price range are homes in Birmingham, AL?
In Birmingham, AL the median home value sits at $188K. Against the broader AL market, that reads as reasonable for most investors.
How deep is the rental pool in Birmingham, AL?
Working renters make up the core of the Birmingham, AL tenant base. The pool is reasonable for investors targeting long-term holds.
You know 35235 now. You don’t know where it ranks.
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How 35235 ranks in Birmingham-Hoover, AL
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