Real Estate Investing in Andalusia, Alabama (36420)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 36420 (Andalusia, AL)? Our answer, based on the numbers below.
Proceed carefully. Weak appreciation or affordability makes this a harder case for most buyers.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
- High vacancy: 23.5% of homes vacant — above national norms.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Andalusia, AL (36420)?
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Market Analysis: 36420 Andalusia
The 36420 ZIP in Andalusia, AL is a local-operator market. Outside capital chasing a $153K entry has to pair deep knowledge with the discount.
From an investor standpoint, the numbers look inviting — $153K purchase price, 0.0% nominal cap — the work to hit that pro forma in 36420 is substantial and deserves full respect.
Statewide comparisons place 36420 among AL's softer markets. That context does not make the ZIP uninvestable, but it does raise the bar for due diligence.
The demographic picture in 36420 includes headwinds that any investor should price in. Income distribution skews lower than Andalusia averages, and tenant stability requires active management.
The 36420 ZIP fits a narrow investor profile — hands-on, patient, and willing to accept that the cap rate on paper is not the cap rate in reality.
Here's what matters if you're considering buying a home in Andalusia:
Market Trends
Home Value History (with trend line)
📊 How Does 36420 Compare?
| Metric | 36420 | Andalusia | Alabama |
|---|---|---|---|
| Home Value | $152,625 | $184,890 | $231,003 |
| 5-Year CAGR | 3.6% | 3.8% | 5.6% |
| Avg Rent | $702 | $711 | - |
| Cap Rate | 3.6% | 3.1% | - |
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 36420 (Andalusia, AL). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $152,625 |
| Monthly Rent | $702 |
| Price-to-Rent | 18.1:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 5.5% |
| Cap Rate | 3.6% |
| 5-Year IRR | 7.1% |
📈 Home Appreciation
| 1-Year | +4.4% ▲ |
| 3-Year CAGR | +2.7% ▲ |
| 5-Year CAGR | +3.6% ▲ |
| 10-Year CAGR | +4.7% ▲ |
🏠 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 (3.6%). 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 36420
Population: 10,358
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 36420
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
Frequently Asked Questions
What kind of market is Andalusia, AL for investors?
Our data puts Andalusia, AL at 3.0/5 for investability. Home prices of $153K and rents around $702/mo create a solid backdrop for investor activity.
How high is vacancy risk in Andalusia, AL?
Vacancy risk in Andalusia, AL is elevated. That supports predictable cash flow for typical rental holds.
How do experienced investors play Andalusia, AL?
Investors who focus on careful cash-flow rentals with hands-on management typically do well in Andalusia, AL. The numbers - $153K homes against $702/mo rents - support that play.
Is Andalusia, AL good for house hacking?
House hacking in Andalusia, AL is a challenging. With home values around $153K and rents at $702/mo, owner-occupants can offset a meaningful share of PITI.
How much is rent in Andalusia, AL?
Rents in Andalusia, AL run near $702/mo. Compared with median home prices of $153K that produces solid gross yields for typical rentals.
You know 36420 now. You don’t know where it ranks.
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