Tuscaloosa, AL—35401
Real Estate Data & Market Trends
Key Metrics at a Glance
Home Price Trends — Tuscaloosa, AL
As of Oct '25, the median home price in Tuscaloosa, AL is $176,000, with a year-over-year change of -1.8%. This indicates that home prices in Tuscaloosa, AL are decreasing. According to Zillow, the 1-year price projection is -0.1%, suggesting a relatively flat housing market in the next year.
Cost per Home Type
| Home Type | Median Home Value | YoY % Change |
|---|---|---|
All Homes | $176,000 | -1.8% |
| Single Family | $145,000 | -4.6% |
| Condos | $269,000 | 5.9% |
Cost per Home Size
| Home Size | Median Home Value | YoY % Change |
|---|---|---|
1 Bed | $213,000 | 6.0% |
2 Bed | $230,000 | 5.5% |
3 Bed | $212,000 | 1.0% |
4 Bed | $310,000 | 1.3% |
| 5 Bed | $783,000 | 7.3% |
% of Housing Stock
Rental Trends — Tuscaloosa, AL
As of July '25, Rentcast reports the average rent in Tuscaloosa, AL is $1,630, with a year-over-year rent change of 10.9%. Per bedroom, the median rent as of July '25 in Tuscaloosa, AL is studios: $1,410, 1-bedrooms: $967, 2-bedrooms: $1,310, 3-bedrooms: $1,590, 4-bedrooms: $2,360. The most common rental property sizes in Tuscaloosa, AL are 2-bedroom and 1-bedroom, accounting for 32.2% and 29.1% of the rental stock.
| Type | Median Rent | Average Rent |
|---|---|---|
| Average Rent | $1,380 | $1,630 |
| Studio Rent | $1,410 | $1,410 |
| 1 Bed Rent | $875 | $967 |
| 2 Bed Rent | $1,200 | $1,310 |
| 3 Bed Rent | $1,520 | $1,590 |
| 4 Bed Rent | $1,650 | $2,360 |
% of Rental Stock
Property Listings — Tuscaloosa, AL
As of Oct '25, Realtor.com reports that the median days on market for a home in Tuscaloosa, AL is 47. This is a decrease of 0.0% from last year, suggesting that homes are sitting on the market about the same amount of time 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 | $589,000 | 42.0% |
Listing Count | 159 | 17.0% |
| Listings as % of Homes | 0.5% | 17.0% |
Days on Market | 47 | 0.0% |
Demographics — Tuscaloosa, AL
As of the latest ACS Survey released in 2023, Tuscaloosa, AL has a population of 40,500, which has increased by 8.9% over the past 5 years. Tuscaloosa, AL is a less popular place for families, as children make up 12.5% of the population. The area has a moderately educated workforce, with 26.6% of adult residents holding a bachelor’s degree or higher. There are some residents working remotely, with 10.7% reporting working from home.
| Metric | Latest Census | YoY % Change |
|---|---|---|
Population | 40,500 | 8.9% |
% Under 18 | 12.5% | -11.3% |
% Seniors | 10.2% | 5.2% |
% WFH | 10.7% | 59.7% |
% w/ College Degree | 26.6% | 13.2% |
As of the latest ACS Survey released in 2023, Tuscaloosa, AL is a predominantly black area, with 47.3% of the population identifying as black. The black population has shrunk by 5.4% in the last 5 years. The second most common race or ethnicity in Tuscaloosa, AL is white, making up 43.8% of the population. Foreign-born residents account for 2.8% of the population in Tuscaloosa, AL, and this percentage has decreased by 30.0% 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 | 43.8% | 0.0% |
% Black | 47.3% | -5.4% |
% Hispanic | 4.5% | 114.3% |
% Asian | 1.9% | -9.5% |
% Foreign Born | 2.8% | -30.0% |
Mortgage and Risk — Tuscaloosa, AL
According to HUD data as of 2023, there were 268 mortgage originations in Tuscaloosa, AL, of which 82.0% of loans were conventional mortgages. The average loan-to-value was 74.0%, with 24.0% above 90% LTV (very high). This implies large mortgage risk in Tuscaloosa, AL. Investor activity is high, as 21.0% of loans were by investors. 7.0% of loans were cash-out refinances, suggesting few homeowners are tapping equity.
Mortgages
| Metric | Zip Code Average |
|---|---|
Total Loan Originations | 268 |
% Conventional Loans | 82.0% |
% Government Loans | 18.0% |
% Investor Loans | 21.0% |
% Second Loans | 31.0% |
% Cash Out Refinance | 7.0% |
Loan Activity
Rentals and Section 8 — Tuscaloosa, AL
As of 2024, the percent of homes in Tuscaloosa, AL under the Section 8 program is 14.8%. This is considered low, suggesting that the neighborhood is sparsely composed of Section 8 homes. Section 8 opportunity is good when HUD pays more than market rent. In Tuscaloosa, 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 | 2,004 |
Total Units Section 8 | 1,369 |
% Rentals under Section 8 | 14.8% |
% Occupied Section 8 | 77.2% |
Section 8 Opportunity
| Home Size | HUD Premium | Market Rent | Max HUD Rent |
|---|---|---|---|
| 1 Bedroom | -$25 | $875 | $850 |
| 2 Bedroom | -$150 | $1,200 | $1,050 |
| 3 Bedroom | -$180 | $1,520 | $1,340 |
| 4 Bedroom | -$260 | $1,650 | $1,390 |
Affordability — Tuscaloosa, AL
Home Price to Income Ratio
| Metric | Zip Code Average |
|---|---|
| Home Price to Income Ratio | 5.9 |
| Median Home Price | $176,000 |
| Median Household Income | $30,000 |