Montgomery, AL—36109
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 $152,000, with a year-over-year change of 0.1%. This indicates that home prices in Montgomery, AL are flat. According to Zillow, the 1-year price projection is 0.6%, suggesting a relatively flat housing market in the next year.
Cost per Home Type
| Home Type | Median Home Value | YoY % Change |
|---|---|---|
All Homes | $152,000 | 0.1% |
| Single Family | $152,000 | 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 | $105,000 | 0.0% |
3 Bed | $143,000 | 0.7% |
4 Bed | $198,000 | 0.0% |
| 5 Bed | $258,000 | 0.4% |
% of Housing Stock
Rental Trends — Montgomery, AL
As of July '25, Rentcast reports the average rent in Montgomery, AL is $1,350, with a year-over-year rent change of 5.5%. Per bedroom, the median rent as of July '25 in Montgomery, AL is 2-bedrooms: $1,150, 3-bedrooms: $1,240, 4-bedrooms: $1,580. The most common rental property sizes in Montgomery, AL are 3-bedroom and 2-bedroom, accounting for 60.4% and 27.4% of the rental stock.
| Type | Median Rent | Average Rent |
|---|---|---|
| Average Rent | $1,300 | $1,350 |
| Studio Rent | N/A | N/A |
| 1 Bed Rent | N/A | N/A |
| 2 Bed Rent | $1,020 | $1,150 |
| 3 Bed Rent | $1,200 | $1,240 |
| 4 Bed Rent | $1,550 | $1,580 |
% 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 50. This is a increase of 26.0% 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 33.0%, representing a large inventory and a lot of supply pressure on home prices.
| Metric | Zip Code Average | Year over Year % Change |
|---|---|---|
Median Listing Price | $179,000 | 9.0% |
Listing Count | 164 | 13.0% |
| Listings as % of Homes | 0.7% | 13.0% |
Days on Market | 50 | 26.0% |
Demographics — Montgomery, AL
As of the latest ACS Survey released in 2023, Montgomery, AL has a population of 24,100, which has decreased by -3.3% over the past 5 years. Montgomery, 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 29.6% of adult residents holding a bachelor’s degree or higher. There are few residents working remotely, with 6.4% reporting working from home.
| Metric | Latest Census | YoY % Change |
|---|---|---|
Population | 24,100 | -3.3% |
% Under 18 | 21.8% | 8.5% |
% Seniors | 19.5% | 4.8% |
% WFH | 6.4% | 113.3% |
% w/ College Degree | 29.6% | -8.1% |
As of the latest ACS Survey released in 2023, Montgomery, AL is a predominantly white area, with 49.2% of the population identifying as white. The white population has shrunk by 26.7% in the last 5 years. The second most common race or ethnicity in Montgomery, AL is black, making up 39.8% of the population. Foreign-born residents account for 4.2% of the population in Montgomery, AL, and this percentage has increased by 2.4% 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 | 49.2% | -26.7% |
% Black | 39.8% | 54.9% |
% Hispanic | 7.5% | 141.9% |
% Asian | 0.8% | -46.7% |
% Foreign Born | 4.2% | 2.4% |
Mortgage and Risk — Montgomery, AL
According to HUD data as of 2023, there were 411 mortgage originations in Montgomery, AL, of which 52.0% of loans were conventional mortgages. The average loan-to-value was 76.0%, with 55.0% above 90% LTV (very high). This implies large mortgage risk in Montgomery, AL. Investor activity is low, as 6.0% 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 | 411 |
% Conventional Loans | 52.0% |
% Government Loans | 48.0% |
% Investor Loans | 6.0% |
% 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 | 489 |
Total Units Section 8 | 489 |
% Rentals under Section 8 | 13.7% |
% Occupied Section 8 | 98.0% |
Section 8 Opportunity
| Home Size | HUD Premium | Market Rent | Max HUD Rent |
|---|---|---|---|
| 1 Bedroom | N/A | N/A | $900 |
| 2 Bedroom | $50 | $1,020 | $1,070 |
| 3 Bedroom | $160 | $1,200 | $1,360 |
| 4 Bedroom | $140 | $1,550 | $1,690 |
Affordability — Montgomery, AL
Home Price to Income Ratio
| Metric | Zip Code Average |
|---|---|
| Home Price to Income Ratio | 2.4 |
| Median Home Price | $152,000 |
| Median Household Income | $61,100 |