Markets/Alabama/Tuscaloosa

Tuscaloosa, AL Real Estate Market 2026

Investor-grade market analytics for Tuscaloosa, Alabama. Data from Zillow ZHVI, FRED, Census ACS, and FEMA NRI. Updated monthly.

Median Home Price

$213,113

-1.1% year-over-year

Est. Rental Yield

8.6%

gross annual

12-Month Forecast

-6.1%

base case (Zillow ZHVF)

-6.1% year-over-year

Tuscaloosa Market Summary

Tuscaloosa, AL is experiencing a correction with -1.1% year-over-year decline, signaling a buyer's market with softening demand. Affordability remains favorable with a price-to-income ratio of 3.55x, below the national average of 4.8x. Climate risk remains low (24/100), favorable for long-term investment stability. Rental yield of 8.62% is strong, making this market attractive for buy-and-hold investors.

Affordability

Affordability Score92/100
Price-to-Income Ratio3.5x (national avg 4.8x)
Median Household Income$59,975

Price Forecast Scenarios

12-month projection (Zillow ZHVF model)

Bear Case-9.2%
Base Case-6.1%
Bull Case-3.1%

Climate & Natural Hazard Risk

Tuscaloosa, AL's primary climate exposure is tornadoes (49/100). The composite climate risk score of 24/100 (Low) indicates overall risk reflecting favorable conditions for long-term real estate investment. This market benefits from relatively low natural hazard exposure compared to coastal and wildfire-prone regions.

Source: FEMA National Risk Index

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Migration flows, ZIP-level neighborhood data, full demographics, price history, and the Market Screener.

Tuscaloosa Real Estate Market Data 2026 | Lotlytics | Lotlytics