35242
Birmingham, Alabama

The 35242 ZIP code registers a median sale price of $508,250 as of February 2026, reflecting a 2.4% year-over-year decline in a market where only 17% of homes sell above asking price. Properties average 71.5 days on market, significantly above the sub-30-day velocity typical of competitive markets. This pricing softness marks a notable shift from Birmingham's post-pandemic appreciation trajectory, with sellers now facing reduced pricing power in this southeast Birmingham corridor.

Cost-conscious buyers gain leverage in these conditions, particularly those willing to negotiate on properties approaching 90-plus days on market. The 83% of homes selling at or below list price creates room for offer strategies below asking, especially on stale inventory. Sellers with flexible timelines can still transact near the $508,250 median, but those requiring quick exits face meaningful concessions. Investors seeking cash flow over appreciation should recalibrate underwriting models given the negative price trend.

The PropIQ score of 60 signals caution, suggesting continued price pressure absent demand catalysts. The 71.5-day marketing period may extend further if inventory accumulates through spring listings season while only one-in-six homes command premiums. Monitor weekly absorption rates and any movement in the currently unknown price-cut percentage, as rising discounts would confirm weakening fundamentals. This score indicates holding patterns rather than decisive directional movement.