Are Home Values Rising or Falling in Montgomery, Alabama?

If you’ve read the latest housing headlines, you’ve probably seen some conflicting takes.

And when you zoom out, it makes sense why: A new Zillow report found that in half of the country’s largest metros, home values rose over the past year. In the other half, they fell.

So today, let’s break down what’s happening across the country—and more importantly, how it compares to the Montgomery Alabama real estate market.

National Market Trends

At the national level, home values have barely moved, rising just 0.2% over the past year.

• Home values rose in 25 major markets, mostly in the Midwest and Northeast. Cleveland (+4.7%) and Hartford (+4.5%) led the pack.

• Home values fell in 25 markets, especially in the South and West. Tampa (-6.2%), Austin (-6%), and Miami (-4.6%) saw the steepest drops.

Other national trends:

• 27.4% of listings had price cuts—the highest since Zillow began tracking in 2018.

• Median days on market is now 60, the slowest July in over a decade.

• Mortgage payments are about $19/month lower than last year, but still nearly $1,000/month more than pre-pandemic.

Even in softer markets, affordability remains a real challenge.

Montgomery, Alabama Housing Market

National trends don’t always tell the whole story. Here in Montgomery, Alabama:

• Median home price: $259,500 (up 4.4% from last year)

• Price cuts: Around 18% of listings have seen reductions (lower than the national average)

• Days on market: Homes are averaging 46 days—faster than the 60-day national median

Montgomery Alabama real estate is holding up stronger than many markets in the South. While there’s some cooling, well-priced homes are still moving.

What This Means for Buyers

Buyers across the country are seeing more price reductions and longer time on market.

In Montgomery, Alabama, buyers are still finding decent options, but move-in-ready homes in desirable areas continue to move fast.

If you're in the market:

• Watch for price cuts—many sellers are ready to deal.

• Get pre-approved early so you’re ready to act fast.

• Don’t assume falling prices apply here. Montgomery is different.

If you want local guidance, a Montgomery Alabama realtor can help you avoid missteps.

What This Means for Sellers

Overpriced homes are sitting. That’s true everywhere. But here in Montgomery, Alabama:

• Homes priced correctly are often under contract within 3 weeks

• Overpriced listings can linger 60+ days, even with cuts

If you’re selling:

• Nail your price right from the start

• Understand buyers are watching the numbers

• Great photos, 3D tours, and floor plans make a big difference

The Bottom Line

Kara Ng, a senior economist at Zillow, said it best: “Perhaps more than ever, whether it’s a good time to buy depends on where you live.”

That’s absolutely the case in Montgomery, Alabama.

The market here is still active, but buyers are cautious and sellers need strategy. Timing, pricing, and presentation are everything right now.

Call to Action

If you’re thinking about buying or selling and want the real numbers for your situation, reach out to Britt Dowling, named one of the best Montgomery Alabama realtors—and let’s put a plan together.