Alabama’s strength in the real estate market continues to make national headlines – Yellowhammer News
Alabama’s strength in the real estate market continues to make headlines across the country
2020 was a record year for the U.S. real estate market, and Alabama was no exception. Investing in the state has garnered widespread attention in publications around the world as a variety of Alabama travel destinations top the list for booming markets.
Here are a few examples of Alabama targets that industry leaders have identified as targets to watch:
Lake Guntersville
(Pixabay)
As the pandemic has shifted interest to more rural, scenic destinations, places like Marshall County, Alabama have appeared at the top when searching for real estate. Marshall County led the country in the percentage of increased searches for micro-political communities, according to Market Watch. The Lake Guntersville area posted a 2817% increase on the Redfin.com website in the fourth quarter of 2020 from the year-ago quarter.
Montgomery
(Equal Justice Initiative / Facebook)
Alabama’s capital has been recognized in two notable publications for its affordability, promising job market, and attractiveness to travelers. Forbes Advisor looked at 100 metro areas with 100,000 or more residents to identify the top ten most affordable cities for homebuyers. Ranked # 8, Montgomery has the lowest average annual property taxes and is geared for growth due to continued investment by aerospace and automotive employers. In addition, the continued expansion of social justice attractions in Montgomery has caught the attention of Bloomberg, who listed it as one of the top travel spots in 2021.
Tuscaloosa
(Wikicommons)
The leading factor in the national real estate trend is the sustained growth in investment in vacation real estate. According to Fortune Builders real estate education publication, Tuscaloosa is number 2 in the country on the list of places to buy a vacation home. With tourism growing year over year, both in and out of the football season, this Alabama city bodes well for investors looking for potential returns on rental investments.
Gulf Coast / Orange Beach
The beautiful beaches of the Alabama Gulf Coast have been an attractive travel destination for years. Despite the changes in the investment landscape in 2020, this area is proving reliable for travel-hungry tourists. Air DNA tracks performance data for over 10 million AirB & B and VRBO vacation rentals and has published a list of the best places to buy short term rentals in the United States. Orange Beach ranked eighth for its annual revenue potential and annual revenue growth.
Dauphin Island
(Wikicommons)
As reported by CNBC, the vacation rental management website Vacasa has published its annual report listing the top US vacation rental destinations. The study analyzed data on home sales and rentals in vacation areas across the country. For the second year in a row, the “Sunset Capital of Alabama” made the list.
Birmingham
(Wikicommons)
The Magic City was featured on multiple real estate investment lists in 2020. In its analysis of America’s hottest real estate zip codes, Forbes puts Birmingham first on the list. The analysis uses data from Zillow.com to determine America’s fastest growing zip codes from home sales increases. Property Wire lists Birmingham as one of the top five best investment areas for 2020, and international publication Global Investments lists it as the next US real estate investment hotspot. Additionally, travel and leisure magazine lists Birmingham as one of the best places to travel in 2021.
Huntsville
(Pixabay)
Alabama’s Rocket City made the list of emerging real estate markets of 2020, according to Mashvisor, an analytics service provider focused on providing real estate intelligence to investors. Huntsville is widely recognized as one of the markets that are driving the country’s economic recovery.
Auburn
(Pixabay)
Housing Wire, a digital publication focused on the mortgage and housing markets, has made Auburn one of the top investment property locations in 2020. Auburn was the only city in Alabama to make the ranking. She was ranked second for highest population growth and first for employment growth.
Alabama REALTORS® is the largest nationwide organization of real estate professionals and the official advocate for the diverse real estate industry in Alabama. Subscribe to our newsletter and stay up to date on real estate news in Alabama.