Birmingham Housing Market Softens a Bit — But Not Enough to Hit the Panic Button: Real Estate Market Update Week of December 01, 2025

Real Estate Market Update for Birmingham AL

Birmingham’s single-family housing market just tapped the brakes. Not a crash. Not a frenzy. More like a deep breath. Let’s talk about what we’re seeing. 

Are prices going up or down? 

Short answer: they’ve inched down this week. The average sale price in Birmingham is now about $318,351, down from $322,992 the week before. Let’s be honest, that’s not much of a move, but it does suggest buyers are pushing back a little on price and sellers are having to be more realistic. It’s less “name your price” and more “let’s see what the market will actually pay.”

Is this a buyer’s or seller’s market in Birmingham?

Right now, Birmingham is sitting in that “almost balanced” zone. Although it feels more like a buyers market, yes we’re still in what the data suggest is a balance market. The type of market we’re in is determined by the months of inventory available.  Right now in Birmingham, the market has about 4.3 months of inventory (how long it would take to sell everything at the current pace).

In real-estate talk, under 3 months = strong seller’s market. Around 4–6 months = more balanced. At 4.3 months, Birmingham isn’t fully a buyer’s market, but the leverage is slowly tilting away from sellers. Across the US, we are seeing the same trends, showing more inventory and more balance between buyers and sellers in 2025. 

There are also fewer homes going under contract this week compared to last week, which is just another sign that buyers are being more selective instead of rushing into buying. 

How long are homes taking to sell?

This is the part that hasn’t really changed over the past few weeks. Homes on average are staying on themarket 62 days, which is the same as previous weeks.

So even with prices dropping a little and slightly more breathing room for buyers, well-priced homes are still selling in about two months on average. 

What does this means for you? 

If you’re buying, you finally have a bit more room to negotiate on price and terms. Don’t expect fire-sale deals, but you don’t have to panic-buy either.

If you’re selling, price and presentation matter more than ever. The market will still reward a clean, well-prepared, correctly priced home, but overpricing will get exposed quickly.

Big picture? Birmingham’s housing market is easing, not collapsing. The frantic days are fading, and a more thoughtful, data-driven market is taking their place.

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    admin Real Estate Consultant
    After 12 years as a Quality Control Scientist, I changed my career path to purse a career in Real Estate. As a qualified real estate professional, I am ready to assist you with all of your real estate needs. With my dedication to quality and the analytical skills I developed as a Scientist, my approach to real estate is unique but effective. I can easily identify your needs in this ever-changing market and create the best plan and experience for you on your real estate journey. Our approach to solving clients problems are data driven and customer focused!

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