35125
Birmingham, Alabama

The 35125 ZIP code reports a median sale price of $242,450 as of February 2026, marking a 10.2% year-over-year increase that outpaces national inflation trends. However, inventory is moving slowly at 104.5 average days on market, well above the sub-30-day pace seen in competitive metros. Only 13% of homes are commanding above-list offers, indicating limited bidding pressure and suggesting sellers maintain modest pricing power despite the annual appreciation.

This environment favors patient buyers with financing secured who can negotiate during the three-plus-month average marketing window. The 87% of properties selling at or below list price creates room for offer concessions that wouldn't exist in tighter markets. Sellers with equity from the 10.2% annual gain can still exit profitably, but those requiring quick sales within 60 days face material risk given the 104.5-day average absorption rate.

The PropIQ score of 65 signals caution, reflecting the contradiction between price growth and sluggish velocity metrics. The 104.5-day marketing period combined with limited above-list activity suggests appreciation may decelerate in coming quarters as inventory digests slowly. Buyers should monitor whether days-on-market extends beyond 120 days, which would indicate shifting leverage toward purchasers and potential price stabilization through late 2026.