35133
Birmingham, Alabama

The 35133 ZIP code is experiencing notable price compression, with the median sale price settling at $228,500 following a sharp 23.8% year-over-year decline. Properties are moving slowly at 103 days on market, significantly above historical norms for the Birmingham metro area. Despite the price correction, 30% of homes still close above asking, suggesting selective competition for well-positioned properties while the broader market adjusts to new valuation levels.

This environment favors cash buyers and patient investors who can absorb the extended marketing periods and capitalize on the 23.8% price reduction from 2025 levels. Sellers face considerable headwinds with the three-month average absorption rate, making this a difficult exit point unless pricing reflects current depreciation. The 30% above-list closure rate indicates that buyers with financing approved and realistic expectations can still encounter competition for properly priced inventory in desirable pockets of the ZIP code.

The PropIQ score of 61 signals caution, reflecting continued downward pressure without clear stabilization indicators. The combination of triple-digit days on market and substantial year-over-year decline suggests the correction phase hasn't fully resolved. Buyers should monitor whether the 30% above-list metric begins declining, which would confirm weakening demand, while potential sellers must track if days on market extends beyond 110, indicating further price discovery ahead before equilibrium returns to this submarket.