By Julie Holdsambeck | Associate Broker, eXp Realty | Central Alabama
Updated October 2026
Alabama’s housing market this fall has more homes for sale than at any time since 2018, but sales are still running ahead of last year. In August, 6,680 homes sold statewide (up 10.6% from a year ago) while active listings climbed to 22,364. For sellers, that means buyers are out there, but they have more choices, so price and preparation matter more than they did a year ago.
What’s happening in Alabama’s housing market right now?
Here’s the quick version. More people are selling. Buyers are still buying. And homes are taking a little longer to sell.
The newest statewide report from Alabama REALTORS covers August 2026. Sales hit 6,680. That’s up 10.6% from August 2025 but down 9.3% from July, which is normal as summer winds down (Alabama Political Reporter).
Active listings reached 22,364. That’s the most since November 2018 (Alabama REALTORS). The supply of homes rose to 4.6 months, up from 4.1 in July. The average home took 68 days to sell (AL Reporter).
The association’s economist, Evan Moore, put it this way: “elevated interest rates and softening consumer sentiment could point to further cooling in the coming autumn months” (same source).
So fall is likely to be a little slower. That’s not bad news. It just means the old “list it and it sells in a weekend” days aren’t the norm right now.
Are home prices still going up in Alabama?
Yes, but how much depends on who you ask.
Alabama REALTORS reported a median sale price of $277,750 in August. That’s up 18.8% from a year earlier and down 3.5% from July (AL Reporter).
Redfin’s numbers for September look calmer. It shows an Alabama median of $299,440, up 3.0% from a year ago (Redfin).
Why the gap? They count different sales, in different months, in different ways. A single month’s jump can also come from which homes happened to sell. I’d treat the 18.8% as a headline, not a promise. The 3% is probably closer to what most homeowners will feel.
Here’s a biggie. Neither number tells you what your house is worth. Your street, your home’s condition and the last 90 days of sales near you do that.
What does this mean for Tuscaloosa?
Tuscaloosa is my main market, so I watch it closely.
The Alabama Center for Real Estate’s newest Tuscaloosa-area report covers July 2026. Here’s what it showed (ACRE):
- 258 homes sold, down 5.5% from a year ago
- Median price of $274,450, up 3.9%
- 916 active listings, up 25.8%
- 3.6 months of supply, up from 2.7 a year earlier
- 43 days on market
So Tuscaloosa looks a lot like the state, just a little more so. There are many more homes for sale than last year and slightly fewer sales. Prices are still inching up.
If you’re selling in Tuscaloosa, Northport or Cottondale this fall, you’re likely competing with more homes than your neighbor did last year.
How do mortgage rates fit in?
Rates are high and holding. Freddie Mac’s 30-year average was 7.40% on October 15, the same as the week before. A year ago it was 6.27%. The 15-year average was 6.71% (Freddie Mac).
Higher rates mean some buyers can’t stretch as far. That’s part of why homes are sitting longer.
But a lot of my clients aren’t borrowing much. In NAR’s 2025 Profile, sellers had stayed in their homes a record 11 years, and 30% of repeat buyers paid all cash (NAR). If you’re downsizing with years of equity, the rate may matter a lot less to you than the headlines suggest.
Is fall a good time to sell in Alabama?
It can be. Fall buyers tend to be serious. They’re not browsing for fun in October.
What matters most this season:
Price it right from day one. With more listings to choose from, buyers skip homes that look overpriced. Then a price cut follows, and that’s harder to recover from.
Fix the obvious things. Buyers compare your home to every other one they toured that weekend. Fresh paint, clean gutters and working lights go a long way.
Think about timing. If you’d like to move before the holidays, starting now gives you room. If you’d rather wait for spring, use the winter to sort and plan.
A Story That Might Sound Familiar
Earlier this year, a seller called me to market her home. It was a nice home that had been cared for, and by the looks of the local market should have sold for about 8% more than we priced it for. The problem? That number came from looking only at homes that were actively on the market at that time. If you consider the time on market for each of those homes, they were all clearly overpriced.
We looked at recent sales of comparable homes to determine a range it should sell in, then looked at our competition and priced at the top of the competition–which was a home that had never been updated. The result? This home was under contract by the time it went on the market–above list price–and that is unheard of in today’s market. And it appraised just a couple of thousand above the sale price. No money left on the table.
We had a great buyer and a smooth experience for both parties. No worry, no price reductions, no complaints. That is the power of correct pricing.
What should Tuscaloosa homeowners do next?
If you’re thinking about selling in the next six to twelve months, get a real number for your home. Not a Zillow guess. A look at what’s actually sold near you lately.
Then you can decide on your own timeline, with real information in hand.
Frequently Asked Questions
How many homes are for sale in Alabama right now?
Alabama had 22,364 active listings in August 2026, according to Alabama REALTORS. That’s the highest count since November 2018. It works out to about 4.6 months of supply, which gives buyers more choices than they had a year ago.
What is the median home price in Alabama in 2026?
It depends on the source. Alabama REALTORS reported a median of $277,750 for August 2026. Redfin reported $299,440 for September 2026. Both show prices higher than a year ago, but by very different amounts.
Are homes selling slower in Tuscaloosa?
There are many more homes for sale in the Tuscaloosa area than last year. ACRE reported 916 active listings in July 2026, up 25.8%, with homes taking 43 days to sell. More choices for buyers usually means sellers need sharp pricing and a well-prepared home.
Should I wait for mortgage rates to drop before selling?
Nobody can promise when rates will drop. If rates fall, more buyers come back, but more sellers usually list too. If you’re downsizing and borrowing little or nothing, today’s rate may not affect your plans much, so it’s worth running your own numbers first.
Where does Alabama housing data come from?
Alabama REALTORS publishes a monthly statewide report. The Alabama Center for Real Estate at the University of Alabama publishes metro reports like Tuscaloosa and Birmingham. Redfin publishes its own numbers from listing data. Each one measures a little differently, so it’s best to compare a source to itself over time.
Let’s Talk
If you own a home in Tuscaloosa, Bibb County or anywhere in Central Alabama and you’re curious where you stand this fall, I’m happy to walk through it with you. No pressure. Just real numbers for your street.
Julie Holdsambeck Associate Broker, eXp Realty Central Alabama 205-928-9376 yourcentralalabama.com
Sources
- Alabama Political Reporter: August home sales indicate traditional seasonal downturn has begun (9/22/2026)
- Alabama REALTORS market stats
- Redfin: Alabama housing market
- ACRE: Tuscaloosa area home sales, July 2026
- Freddie Mac via GlobeNewswire: Mortgage rates hold steady at 7.40% (10/15/2026)
- NAR 2025 Profile of Home Buyers and Sellers
