Decatur, AL—35603
Real Estate Data & Market Trends
Key Metrics at a Glance
Other Zip Codes in Decatur, AL
Home Price Trends — Decatur, AL
As of Oct '25, the median home price in Decatur, AL is $278,000, with a year-over-year change of 0.9%. This indicates that home prices in Decatur, AL are flat. According to Zillow, the 1-year price projection is 0.3%, suggesting a relatively flat housing market in the next year.
Cost per Home Type
| Home Type | Median Home Value | YoY % Change |
|---|---|---|
All Homes | $278,000 | 0.9% |
| Single Family | $278,000 | 0.7% |
| Condos | N/A | N/A |
Cost per Home Size
| Home Size | Median Home Value | YoY % Change |
|---|---|---|
1 Bed | N/A | N/A |
2 Bed | $186,000 | -7.9% |
3 Bed | $269,000 | 1.5% |
4 Bed | $369,000 | 1.4% |
| 5 Bed | $463,000 | 2.0% |
% of Housing Stock
Rental Trends — Decatur, AL
As of July '25, Rentcast reports the average rent in Decatur, AL is $1,370, with a year-over-year rent change of 5.4%. Per bedroom, the median rent as of July '25 in Decatur, AL is 1-bedrooms: $822, 2-bedrooms: $1,040, 3-bedrooms: $1,880, 4-bedrooms: $2,240. The most common rental property sizes in Decatur, AL are 2-bedroom and 1-bedroom, accounting for 54.6% and 20.6% of the rental stock.
| Type | Median Rent | Average Rent |
|---|---|---|
| Average Rent | $1,100 | $1,370 |
| Studio Rent | N/A | N/A |
| 1 Bed Rent | $800 | $822 |
| 2 Bed Rent | $1,020 | $1,040 |
| 3 Bed Rent | $1,800 | $1,880 |
| 4 Bed Rent | $2,100 | $2,240 |
% of Rental Stock
Property Listings — Decatur, AL
As of Oct '25, Realtor.com reports that the median days on market for a home in Decatur, AL is 73. This is a increase of 34.0% from last year, suggesting that homes are sitting on the market longer than last year. The percentage of listed homes with a reduced price is 25.0%, representing a small inventory and little supply pressure on home prices.
| Metric | Zip Code Average | Year over Year % Change |
|---|---|---|
Median Listing Price | $306,000 | -1.0% |
Listing Count | 229 | 43.0% |
| Listings as % of Homes | 0.5% | 43.0% |
Days on Market | 73 | 34.0% |
Demographics — Decatur, AL
As of the latest ACS Survey released in 2023, Decatur, AL has a population of 31,900, which has increased by 1.3% over the past 5 years. Decatur, AL is a moderately popular place for families, as children make up 21.8% of the population. The area has a moderately educated workforce, with 29.2% of adult residents holding a bachelor’s degree or higher. There are few residents working remotely, with 7.3% reporting working from home.
| Metric | Latest Census | YoY % Change |
|---|---|---|
Population | 31,900 | 1.3% |
% Under 18 | 21.8% | 5.3% |
% Seniors | 20.9% | 10.0% |
% WFH | 7.3% | 170.4% |
% w/ College Degree | 29.2% | 3.9% |
As of the latest ACS Survey released in 2023, Decatur, AL is a predominantly white area, with 74.1% of the population identifying as white. The white population has shrunk by 3.8% in the last 5 years. The second most common race or ethnicity in Decatur, AL is black, making up 15.5% of the population. Foreign-born residents account for 4.7% of the population in Decatur, AL, and this percentage has increased by 38.2% as of the ACS Survey 5 years prior, suggesting more immigrants are calling the area home.
Race and Ethnicity
| Metric | Latest Census | 5-Year % Change |
|---|---|---|
% White | 74.1% | -3.8% |
% Black | 15.5% | 12.3% |
% Hispanic | 5.9% | 7.3% |
% Asian | 0.5% | 0.0% |
% Foreign Born | 4.7% | 38.2% |
Mortgage and Risk — Decatur, AL
According to HUD data as of 2023, there were 681 mortgage originations in Decatur, AL, of which 71.0% of loans were conventional mortgages. The average loan-to-value was 63.0%, with 31.0% above 90% LTV (very high). This implies large mortgage risk in Decatur, AL. Investor activity is low, as 2.0% of loans were by investors. 13.0% of loans were cash-out refinances, suggesting many homeowners are tapping equity.
Mortgages
| Metric | Zip Code Average |
|---|---|
Total Loan Originations | 681 |
% Conventional Loans | 71.0% |
% Government Loans | 29.0% |
% Investor Loans | 2.0% |
% Second Loans | 0.0% |
% Cash Out Refinance | 13.0% |
Loan Activity
Rentals and Section 8 — Decatur, AL
As of 2024, the percent of homes in Decatur, AL under the Section 8 program is 16.5%. This is considered high, suggesting that the neighborhood is heavily composed of Section 8 homes. Section 8 opportunity is good when HUD pays more than market rent. In Decatur, AL, none of the tracked home sizes currently have HUD payment amounts above market rent, suggesting limited Section 8 opportunity.
Section 8 Market Size
Total Units under HUD | 630 |
Total Units Section 8 | 610 |
% Rentals under Section 8 | 16.5% |
% Occupied Section 8 | 73.6% |
Section 8 Opportunity
| Home Size | HUD Premium | Market Rent | Max HUD Rent |
|---|---|---|---|
| 1 Bedroom | -$10 | $800 | $790 |
| 2 Bedroom | -$60 | $1,020 | $960 |
| 3 Bedroom | -$540 | $1,800 | $1,260 |
| 4 Bedroom | -$590 | $2,100 | $1,510 |
Affordability — Decatur, AL
Home Price to Income Ratio
| Metric | Zip Code Average |
|---|---|
| Home Price to Income Ratio | 3.4 |
| Median Home Price | $278,000 |
| Median Household Income | $78,200 |