Montgomery, AL Rental Market
Montgomery is Alabama's state capital and a city shaped by government, military, and manufacturing. Maxwell Air Force Base and Gunter Annex generate consistent military tenant demand, while Hyundai's Alabama manufacturing plant anchors the private sector. As the seat of state government, Montgomery hosts a large workforce of state employees, attorneys, and healthcare professionals, creating a stable if slower-growing rental market.
Get a rent estimate for an address in MontgomeryAverage Rent in Montgomery, AL
$1,020
per month · 2026-06
Market Score
Key Facts — Montgomery, AL Rental Market
- Average rent in Montgomery, AL:$1,020/mo
- Median rent:$938/mo
- Rent range:$500 – $2,250/mo
- Most common rental (2 bedrooms):$900/mo
- Active listings:680
- Avg days to lease:36 days
- Year-over-year change:+2.5%
- Median home value:$155,000
- Est. gross annual yield:7.9%
- Data as of:2026-06
Rent by Bedroom in Montgomery, AL
Average monthly rent for each bedroom type based on current active listings in Montgomery.
| Bedroom Type | Avg Rent/mo |
|---|---|
1 Bedroom | $725/mo |
2 Bedrooms | $900/mo |
3 Bedrooms | $1,150/mo |
4 Bedrooms | $1,400/mo |
5 Bedrooms | $1,600/mo |
Montgomery Rental Market Statistics
Key indicators from the current Montgomery, AL rental market.
680
Available now in Montgomery
36
From list to lease
$0.82
Average across listings
1,250 sq ft
Typical rental size
$500 – $2,250
Min to max active listings
+2.5%
Avg rent vs. prior year
Investing in Montgomery, AL Rental Properties
Estimated returns based on current market rents and median home values. Perform full due diligence before investing.
Median Home Value
$155,000
Typical purchase price in Montgomery
Est. Gross Annual Yield
7.9%
Before expenses & vacancy
Avg Monthly Income
$1,020
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 Montgomery for a full cash-flow breakdown including all costs.
Montgomery, AL Rental Market FAQ
Common questions about renting and investing in Montgomery, AL.
What is the average rent in Montgomery, AL?
The average rent in Montgomery, AL is $1,020 per month as of 2026. One-bedroom apartments average $725/mo, two-bedrooms $900/mo, and three-bedroom homes $1,150/mo. Montgomery is one of the most affordable capital city rental markets in the South.
Is Montgomery, AL a good place to invest in rental property?
Montgomery offers a 7.9% estimated gross annual yield — the highest in Alabama — due to its very low median home values (~$155,000). Maxwell AFB and Gunter Annex provide a reliable military tenant base, while state government employment adds stability. Investors focused on cash flow will find Montgomery's low entry prices and consistent occupancy attractive.
How does Maxwell Air Force Base affect the Montgomery rental market?
Maxwell AFB and Gunter Annex together house thousands of active-duty personnel and generate significant off-base rental demand from military families and DoD civilians. Military tenants receive BAH that covers most of Montgomery's rent range, providing landlords with highly reliable payment. PCS cycles create predictable turnover, keeping the rental market consistently active.
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