Real Estate Investing in Florence, Alabama (35633)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 35633 (Florence, AL)? Our answer, based on the numbers below.
Mixed signals — some positives, some negatives. Worth considering but not a slam-dunk.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
- Elevated vacancy: 9.1% vacancy may signal weakening demand.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Florence, AL (35633)?
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Market Analysis: 35633 Florence
ZIP 35633 in Florence, AL carries a notable set of headwinds. Home values near $245K and rents of $891/mo sit inside a market where underwriting has to be tight.
Put differently, the numbers look inviting — $245K purchase price, 0.0% nominal cap — the work to hit that pro forma in 35633 is substantial and deserves full respect.
ZIP 35633's metrics run below Lauderdale County's averages on price growth and tenant stability. Investors who ignore that regional gap tend to relearn it the hard way.
The 35633 ZIP's population of 20,733 has faced economic pressure over the last decade. That pressure shows up in rent delinquency patterns that sits at the need for careful underwriting.
Distressed ZIPs reward experience. notable returns are possible in 35633, but they flow to investors who already understand how to operate in soft markets.
Here's what matters if you're considering buying a home in Florence:
Property Strategy for 35633
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $172,405 | $990 | 4.1% | +8.7% | $86,202 |
| 3BR | $247,141 | $1,230 | 3.6% | +9.1% | $82,380 |
| 4BR | $318,670 | $1,400 | 3.2% | +8.6% | $79,667 |
| 5BR | $402,230 | — | — | +8.2% | $80,446 |
Market Trends
Home Value History (with trend line)
📊 How Does 35633 Compare?
| Metric | 35633 | Florence | Florence-Muscle Shoals, AL | Alabama |
|---|---|---|---|---|
| Home Value | $244,999 | $141,377 | N/A | $231,003 |
| 5-Year CAGR | 7.0% | 5.8% | N/A | 5.6% |
| Avg Rent | $891 | $1,045 | N/A | - |
| Cap Rate | 2.8% | 4.0% | - | - |
Similar ZIPs Within 25 Miles
Compare other nearby markets to see if a neighbor offers a better fit.
Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 35633 (Florence, AL). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $244,999 |
| Monthly Rent | $891 |
| Price-to-Rent | 22.9:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 4.4% |
| Cap Rate | 2.8% |
| 5-Year IRR | 9.8% |
📈 Home Appreciation
| 1-Year | +11.6% ▲ |
| 3-Year CAGR | +5.5% ▲ |
| 5-Year CAGR | +7.0% ▲ |
| 10-Year CAGR | +6.4% ▲ |
🏠 Rent Trends
| 1-Year | N/A |
| 3-Year CAGR | N/A |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (2.8%). 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 35633
Population: 20,733
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
🎓 Schools in 35633
Schools in This ZIP Code
About Repit School Scores
Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.
We evaluate schools based on factors that research shows actually impact educational outcomes:
- Class Size — Smaller classes mean more individual attention
- School Funding — Resources available for programs, staff, and facilities
- Community Factors — Neighborhood characteristics that influence student success
- School Environment — Size, type, and structure
Scores are updated annually using federal education data.
🎓 Nearby Colleges & Universities
Investor Insight: With 1,222 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
Is Florence, AL a good market for FHA house hackers?
The a challenging house-hack environment in Florence, AL reflects the rent-to-price spread. Expect meaningful PITI offset at market rents.
What is it like being a landlord in Florence, AL?
Florence, AL operates under AL law, which is landlord-friendly overall for landlords. Expect steady treatment in typical lease and eviction cases.
What is the typical home price in Florence, AL?
Florence, AL home values average about $245K. That price point suits investors targeting rentals with $891/mo in monthly income.
What do rentals go for in Florence, AL?
Expect rents around $891/mo per month in Florence, AL. With home values at $245K, the yield math works out to reasonable levels for rental investors.
How strong is tenant demand in Florence, AL?
The renter base in Florence, AL is reasonable for the $891/mo price point. Screening well and pricing to market typically yields steady tenants.
You know 35633 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 35633 compares to every other market. Investor ($19/mo) screens every U.S. ZIP by cap rate, the 1% rule, vacancy and landlord climate, and exports your shortlist.
How 35633 ranks in Florence-Muscle Shoals, AL
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