Montgomery, AL—36108
Real Estate Data & Market Trends
Key Metrics at a Glance
Home Price Trends — Montgomery, AL
As of Oct '25, the median home price in Montgomery, AL is $65,000, with a year-over-year change of -4.4%. This indicates that home prices in Montgomery, AL are decreasing. According to Zillow, the 1-year price projection is 1.3%, suggesting an increase housing market in the next year.
Cost per Home Type
| Home Type | Median Home Value | YoY % Change |
|---|---|---|
All Homes | $65,000 | -4.4% |
| Single Family | $65,000 | -1.5% |
| Condos | N/A | N/A |
Cost per Home Size
| Home Size | Median Home Value | YoY % Change |
|---|---|---|
1 Bed | N/A | N/A |
2 Bed | $40,000 | -2.4% |
3 Bed | $84,000 | -1.2% |
4 Bed | $119,000 | 0.0% |
| 5 Bed | N/A | N/A |
% of Housing Stock
Rental Trends — Montgomery, AL
As of July '25, Rentcast reports the average rent in Montgomery, AL is $1,060, with a year-over-year rent change of 8.7%. Per bedroom, the median rent as of July '25 in Montgomery, AL is 3-bedrooms: $937, 4-bedrooms: $1,310. The most common rental property sizes in Montgomery, AL are 2-bedroom and 3-bedroom, accounting for 38.4% and 36.1% of the rental stock.
| Type | Median Rent | Average Rent |
|---|---|---|
| Average Rent | $995 | $1,060 |
| Studio Rent | N/A | N/A |
| 1 Bed Rent | N/A | N/A |
| 2 Bed Rent | N/A | N/A |
| 3 Bed Rent | $950 | $937 |
| 4 Bed Rent | $1,300 | $1,310 |
% of Rental Stock
Property Listings — Montgomery, AL
As of Oct '25, Realtor.com reports that the median days on market for a home in Montgomery, AL is 60. This is a increase of 5.0% 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 9.0%, representing a small inventory and little supply pressure on home prices.
| Metric | Zip Code Average | Year over Year % Change |
|---|---|---|
Median Listing Price | $82,000 | -3.0% |
Listing Count | 44 | 21.0% |
| Listings as % of Homes | 0.2% | 21.0% |
Days on Market | 60 | 5.0% |
Demographics — Montgomery, AL
As of the latest ACS Survey released in 2023, Montgomery, AL has a population of 15,500, which has decreased by -15.0% over the past 5 years. Montgomery, AL is a moderately popular place for families, as children make up 22.3% of the population. The area has a poorly educated workforce, with 14.0% of adult residents holding a bachelor’s degree or higher. There are few residents working remotely, with 1.9% reporting working from home.
| Metric | Latest Census | YoY % Change |
|---|---|---|
Population | 15,500 | -15.0% |
% Under 18 | 22.3% | -5.9% |
% Seniors | 21.0% | 14.1% |
% WFH | 1.9% | -36.7% |
% w/ College Degree | 14.0% | 8.5% |
As of the latest ACS Survey released in 2023, Montgomery, AL is a predominantly black area, with 83.6% of the population identifying as black. The black population has grown by 0.7% in the last 5 years. The second most common race or ethnicity in Montgomery, AL is white, making up 9.9% of the population. Foreign-born residents account for 2.4% of the population in Montgomery, AL, and this percentage has decreased by 31.4% as of the ACS Survey 5 years prior, suggesting fewer immigrants are calling the area home.
Race and Ethnicity
| Metric | Latest Census | 5-Year % Change |
|---|---|---|
% White | 9.9% | 1.0% |
% Black | 83.6% | 0.7% |
% Hispanic | 5.8% | 9.4% |
% Asian | 0.4% | -20.0% |
% Foreign Born | 2.4% | -31.4% |
Mortgage and Risk — Montgomery, AL
According to HUD data as of 2023, there were 86 mortgage originations in Montgomery, AL, of which 71.0% of loans were conventional mortgages. The average loan-to-value was 69.0%, with 31.0% above 90% LTV (very high). This implies large mortgage risk in Montgomery, AL. Investor activity is low, as 9.0% of loans were by investors. 14.0% of loans were cash-out refinances, suggesting many homeowners are tapping equity.
Mortgages
| Metric | Zip Code Average |
|---|---|
Total Loan Originations | 86 |
% Conventional Loans | 71.0% |
% Government Loans | 29.0% |
% Investor Loans | 9.0% |
% Second Loans | 2.0% |
% Cash Out Refinance | 14.0% |
Loan Activity
Rentals and Section 8 — Montgomery, AL
Montgomery, AL lacks sufficient Section 8 program data for analysis.
Section 8 Market Size
Total Units under HUD | 975 |
Total Units Section 8 | 324 |
% Rentals under Section 8 | 13.0% |
% Occupied Section 8 | 94.6% |
Section 8 Opportunity
| Home Size | HUD Premium | Market Rent | Max HUD Rent |
|---|---|---|---|
| 1 Bedroom | N/A | N/A | $830 |
| 2 Bedroom | N/A | N/A | $990 |
| 3 Bedroom | $300 | $950 | $1,250 |
| 4 Bedroom | $280 | $1,300 | $1,580 |
Affordability — Montgomery, AL
Home Price to Income Ratio
| Metric | Zip Code Average |
|---|---|
| Home Price to Income Ratio | 1.9 |
| Median Home Price | $65,000 |
| Median Household Income | $32,600 |