2024 · Alabama
Rental yield in Alabama
In 2024, the typical rental in Alabama produced a gross yield of 5.5% — $1,077/mo median rent against a $233K median home value, ranking 7th of 51 states.
5.5%
Gross rental yield
above the 4.9% U.S. median
$1,077/mo
Median gross rent
incl. utilities (ACS)
$233K
Median home value
owner-occupied (ACS)
Alabama metros by yield
Metropolitan areas in Alabama with at least 65,000 residents, ranked by gross rental yield.
| Metro | Gross yield | Median rent | Median value |
|---|---|---|---|
| Anniston-Oxford, AL | 6.7% | $915/mo | $163K |
| Mobile, AL | 6.4% | $1,106/mo | $207K |
| Montgomery, AL | 6.2% | $1,141/mo | $221K |
| Columbus, GA-AL | 6.1% | $1,143/mo | $225K |
| Gadsden, AL | 5.8% | $834/mo | $174K |
| Birmingham, AL | 5.7% | $1,262/mo | $264K |
| Dothan, AL | 5.6% | $897/mo | $193K |
| Tuscaloosa, AL | 5.2% | $1,042/mo | $240K |
| Daphne-Fairhope-Foley, AL | 5.1% | $1,440/mo | $338K |
| Decatur, AL | 4.9% | $899/mo | $220K |
| Florence-Muscle Shoals, AL | 4.8% | $877/mo | $219K |
| Huntsville, AL | 4.6% | $1,283/mo | $332K |
| Auburn-Opelika, AL | 4.6% | $1,111/mo | $289K |
Frequently asked questions
What is the gross rental yield in Alabama?
In 2024, Alabama had a gross rental yield of 5.5% — $1,077/mo median gross rent against a $233K median home value. That ranks 7th of 51 states (1 = highest yield). Nationally the figure was 4.9%.
Which Alabama metros have the best rental yield?
Among Alabama metros covered by the data, gross yield was highest in Anniston-Oxford, AL (6.7%), Mobile, AL (6.4%), and Montgomery, AL (6.2%).
Does this account for expenses or financing?
No. Gross yield is a top-line market screen — it excludes property taxes, insurance, vacancy, management, and financing. Use it to compare markets, then run a specific deal through a cap-rate or cash-flow calculator.
How investors finance deals in Alabama
Yield shows where the numbers work; our Investor Financing Report for Alabama shows the rate premium, denial rate, and DSCR lending investors face there.
Run a Alabama deal
Source: U.S. Census Bureau, American Community Survey 2024 1-year estimates. Gross rental yield = (median gross rent × 12) ÷ median home value. A market screen, not a net return.