Huntsville Real Estate

In contrast to most real estate markets in the nation, Huntsville Alabama has a thriving real estate market with promise of extended, continued growth. Huntsville has a thriving and diverse economy. Recent Pentagon announcements of thousands of new, well paying jobs in Huntsville has only served to accelerate our growth.

Local Huntsville builders are working at full capacity in anticipation of greater demand for housing in Huntsville Alabama. There is construction all over the Greater Huntsville area with new subdivisions spilling over into adjoining counties.

The current real estate bubble burst has actually affected Huntsville’s real estate market positively. Investors from all over the country are investing in Huntsville Alabama real estate in mass. Since investing in real estate in many cities has become unprofitable, real estate investors have focused on Huntsville as an emerging market.

Because of the rapid growth there is a strong demand for rental homes in Huntsville Alabama. Many newcomers to the area prefer to rent while they learn the area and determine what neighborhoods and areas they prefer.

As the natural result of real estate investors and new people moving to the area, there is a demand for real estate property management in Huntsville Alabama. There are a few real estate property management companies in the area but the experience and service level varies widely.

Because of the rapid growth in the area, house value in Huntsville Alabama has been appreciating at rates never seen before. Some neighborhoods are appreciating by as much as 10% to 12% per year.

While Huntsville is still in a very strong real estate market, there are still pitfalls. Our firm is very cautious in advising both investors and clients who are buying homes for their residences. We have seen many investors and homeowners come to us after they had already purchased property and made serious errors.

Some if the poor decisions were the result of a lack of proper due diligence on the part of the homeowner or investor. Many of the mistakes were the result of an uncaring or inexperienced realtor / real estate agent in Huntsville Alabama. We have seen out-of-state realty firms become licensed in the state because of Huntsville’s growth and aggressively marketing to investors. They do not understand the local real estate market and grossly over promise performance in terms of rental amounts and appreciation rates. A high percentage of investors who purchased through one particular real estate group have been selling their properties, sometimes at a substantial loss. Others were promised rents that were much higher than what the local real estate market will bear and as a result are having large negative cash flows.

In summary, the Huntsville Alabama real estate market is very strong with a promising future. One must however use caution and perform due diligence before purchasing.