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Data on this report is based on areas within the legal city boundary, outlined in black on the map. Any additional neighborhoods shown on the map are associated with the city by name and are included for reference only.



Homewood, AL Real Estate Market

Source & Methodology

Analytics built by:   Location, Inc.

Raw data sources:   American Community Survey (U.S. Census Bureau), U.S. Department of Housing and Urban Development, Federal Housing Finance Agency.

Date(s) & Update Frequency:
  • Home Values, Rents: Reflects Q4 2023. Updated quarterly.
  • Setting, Housing Stock, Homeownership: 2022 (latest available). Updated annually.

Methodology:   NeighborhoodScout uses over 600 characteristics to build a neighborhood profile… Read more about Scout's Real Estate Data

Homewood, AL Housing Market Trends

With a population of 27,864, 9,708 total housing units (homes and apartments), and a median house value of $639,026, Homewood house prices are not only among the most expensive in Alabama, Homewood real estate also is some of the most expensive in all of America.

Single-family detached homes are the single most common housing type in Homewood, accounting for 56.66% of the city's housing units. Other types of housing that are prevalent in Homewood include large apartment complexes or high rise apartments ( 33.69%), duplexes, homes converted to apartments or other small apartment buildings ( 7.25%), and a few row houses and other attached homes ( 1.86%).

The most prevalent building size and type in Homewood are three and four bedroom dwellings, chiefly found in single-family detached homes. The city has a mixture of owners and renters, with 57.35% owning and 42.65% renting.

At the end of World War II, American soldiers returned home triumphant and, with the help of the GI Bill, built homes by the millions on the edges of America's cities. These homes were predominantly capes and ranches, modest in size, but built to house a growing middle-class as the 20th century became the American century. Homewood's housing was primarily built during this period, from the '40s through the '60s. A full 39.96% of the city's housing hails from this era. Other housing ages represented in Homewood include homes built between 1970-1999 ( 34.99%) and housing constructed between 2000 and later ( 14.51%). There's also some housing in Homewood built before 1939 ( 10.53%).

Vacant housing appears to be an issue in Homewood. Fully 11.30% of the housing stock is classified as vacant. Left unchecked, vacant Homewood homes and apartments can be a drag on the real estate market, holding Homewood real estate prices below levels they could achieve if vacant housing was absorbed into the market and became occupied. Housing vacancy rates are a useful measure to consider, along with other things, if you are a home buyer or a real estate investor.

Homewood Home Appreciation Rates

Appreciation rates for homes in Homewood have been tracking above average for the last ten years, according to NeighborhoodScout data. The cumulative appreciation rate over the ten years has been 86.69%, which ranks in the top 50% nationwide. This equates to an annual average Homewood house appreciation rate of 6.44%.

Over the last year, Homewood appreciation rates have trailed the rest of the nation. In the last twelve months, Homewood's appreciation rate has been 3.00%, which is lower than appreciation rates in most communities in America. In the latest quarter, NeighborhoodScout's data show that house appreciation rates in Homewood were at -0.87%, which equates to an annual appreciation rate of -3.42%.

Notably, Homewood's appreciation rate in the latest quarter is one of the lowest in America.

Relative to Alabama, our data show that Homewood's latest annual appreciation rate is lower than 80% of the other cities and towns in Alabama.

One very important thing to keep in mind is that these are average appreciation rates for the city. Individual neighborhoods within Homewood differ in their investment potential, sometimes by a great deal. Fortunately, you can use NeighborhoodScout to pinpoint the exact neighborhoods in Homewood - or in any city or town - that have the best track record of real estate appreciation, by the latest quarter, the last year, 2 years, 5 years, 10 years, or even since 2000, to assist you in making the best Homewood real estate investment or home purchase decisions.

Average Home Values

Median Home Value

$639,026

Homewood, AL Home Prices
> $1,225,000
$918,001 - $1,225,000
$613,001 - $918,000
$490,001 - $613,000
$368,001 - $490,000
$245,001 - $368,000
$123,001 - $245,000
$61,001 - $123,000
$0 - $61,000
6.2%
6.2%
10.7%
10.7%
22.5%
22.5%
19.6%
19.6%
19.2%
19.2%
14.0%
14.0%
3.8%
3.8%
3.3%
3.3%
0.5%
0.5%
0% 100.0%
% of Homes
Very High

for Alabama

Very High

for nation

Number of Homes And Apartments:

9,708

Homewood Appreciation Rates

Rent & Ownership

Average Market Rent:

$2,667 / per month

Homeownership Rate

Owners
Renters
57.3%
57.3%
42.7%
42.7%
0% 100.0%
% of Homes

Vacancy Rate

Vacant
Occupied
11.3%
11.3%
88.7%
88.7%
0% 100.0%
% of Homes

Housing Market Details

Age of Homes

2000 or Newer
1970 - 1999
1940 - 1969
1939 or Older
14.5%
14.5%
35.0%
35.0%
40.0%
40.0%
10.5%
10.5%
0% 100.0%
% of Homes

Types of Homes

Single-Family
Townhomes
Small Apt. Buildings
Apt. Complexes
Mobile Homes
Other
56.7%
56.7%
1.9%
1.9%
7.3%
7.3%
33.7%
33.7%
0.5%
0.5%
0.0%
0.0%
0% 100.0%
% of Homes

Home Size

No Bedroom
1 Bedroom
2 Bedrooms
3 Bedrooms
4 Bedrooms
5 or more bedrooms
1.3%
1.3%
12.6%
12.6%
29.0%
29.0%
33.9%
33.9%
16.6%
16.6%
6.6%
6.6%
0% 100.0%
% of Homes