Birmingham, AL Rental Market
Birmingham is Alabama's largest city and a growing healthcare and technology hub anchored by UAB (University of Alabama at Birmingham), one of the largest academic medical centers in the Southeast. Once defined by its steel industry legacy, Birmingham has diversified into biomedical research, financial services, and technology. Low home values relative to rent create strong gross yields, making it a compelling cash-flow market for investors.
Get a rent estimate for an address in BirminghamAverage Rent in Birmingham, AL
$1,180
per month · 2026-06
Market Score
Key Facts — Birmingham, AL Rental Market
- Average rent in Birmingham, AL:$1,180/mo
- Median rent:$1,086/mo
- Rent range:$575 – $2,600/mo
- Most common rental (2 bedrooms):$1,050/mo
- Active listings:1,200
- Avg days to lease:33 days
- Year-over-year change:+3.2%
- Median home value:$185,000
- Est. gross annual yield:7.7%
- Data as of:2026-06
Rent by Bedroom in Birmingham, AL
Average monthly rent for each bedroom type based on current active listings in Birmingham.
| Bedroom Type | Avg Rent/mo |
|---|---|
1 Bedroom | $850/mo |
2 Bedrooms | $1,050/mo |
3 Bedrooms | $1,325/mo |
4 Bedrooms | $1,625/mo |
5 Bedrooms | $1,875/mo |
Birmingham Rental Market Statistics
Key indicators from the current Birmingham, AL rental market.
1,200
Available now in Birmingham
33
From list to lease
$0.91
Average across listings
1,300 sq ft
Typical rental size
$575 – $2,600
Min to max active listings
+3.2%
Avg rent vs. prior year
Investing in Birmingham, AL Rental Properties
Estimated returns based on current market rents and median home values. Perform full due diligence before investing.
Median Home Value
$185,000
Typical purchase price in Birmingham
Est. Gross Annual Yield
7.7%
Before expenses & vacancy
Avg Monthly Income
$1,180
At average market rent
Gross yield = (avg rent × 12) ÷ median home value. Does not include expenses, financing, vacancies, or management fees. Analyze a specific property in Birmingham for a full cash-flow breakdown including all costs.
Birmingham, AL Rental Market FAQ
Common questions about renting and investing in Birmingham, AL.
What is the average rent in Birmingham, AL?
The average rent in Birmingham, AL is $1,180 per month as of 2026. One-bedroom apartments average $850/mo, two-bedrooms $1,050/mo, and three-bedroom homes $1,325/mo. Trendy neighborhoods like Avondale, Crestwood, and the Lakeview district carry premiums, while Hoover and Vestavia Hills offer suburban family options.
Is Birmingham, AL a good place to invest in rental property?
Birmingham offers a 7.7% estimated gross annual yield — one of the strongest in Alabama — with a median home value near $185,000. UAB's medical campus employs tens of thousands and creates a steady professional tenant base. The market rewards investors who focus on neighborhood quality and property condition, as the city has significant variation across zip codes.
What drives rental demand in Birmingham, AL?
Birmingham's rental market is primarily driven by UAB Health, Children's of Alabama, and the broader healthcare sector, which collectively employ over 50,000 in the metro. Samford University, Birmingham-Southern, and multiple community colleges add student demand. A growing tech and startup ecosystem in the downtown core is attracting younger professionals.
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