What’s up, everybody? Mathew Whitaker here and today I am going to give a general overview of where to invest in Birmingham Alabama.
Hopefully, you will find this useful, especially if you are new to the area and do not know much about where to invest.
One of the biggest things you need to understand about Birmingham is geography. The city of Birmingham obviously has suburbs around it. There is something called Red Mountain that divides the original suburbs from Birmingham.
So, Homewood, Vestavia Hills, Mountain Brook are all class A properties. You are going to have a hard time finding properties in there to rent and make cash flow. Although, you will find a ton of fix and flips in these areas.
Heading further south down I-65 you get into Hoover. Hoover is everything from A properties down to B plus. Excellent area for investors!
Down here in the very far south as you go down 65, you have Helena, Pelham, Alabaster. These areas are solid B area neighborhoods where you can find both fix and flip and great rental houses.
Down Highway 280 you will find Mountain Brook, which I talked about earlier. You’ll get into kind of the Inverness-Meadowbrook area and that bleeds into Chelsea.
This whole area was built very recently, so it’s harder to find a good deal, like a fix and flip deal, but they are out there. So there’s probably B to A properties down 280. But you are going to have a hard time finding them.
As you move up, you get into kind of areas of Leeds and Moody. These are B area neighborhoods, a lot of fix and flip and rentals. Trussville is a great area because it is highly populated. You can find it all in this area. Fix and flip great rentals, single-family homes are all in this area.
One of the hottest rental markets in our city is called Center Point Parkway. As you come off 75 you will find Center Point, Pinson, Grayson Valley, Clay. This is where you are going to find C plus to B properties.
10 years ago this is where people got the biggest bang for their buck. It isn’t a super secret anymore. You could still find great deals! A lot of those houses were built in the ’50s and ’60s, it’s still a great area to invest.
Fultondale and Tarrant are your C to maybe B minus areas. These are obviously big rental markets. Gardendale is your solid B. Gardendale and Trussville are very similar. The demographics are very similar, they both have their own city school system.
Great areas to invest in are Gardendale, Mount Olive, Graysville, Adamsville. These houses were built in the ’50s and ’60s. Rent is very similar throughout these areas and what you will find is that while the houses are the same, there’s just less of them. So, Graysville is kind of the last stop on the train track, so to speak.
Heading down into Pleasant Grove, Hueytown, excellent areas for investing, a lot of great rental houses. There are some fix and flip opportunities there. You’re looking at solid B neighborhoods.
Now as you get into the city, the low kind of C-class neighborhoods run from the northeast of Birmingham to the southwest. Right down through Midfield, Fairfield. Because this is your C-class neighborhoods there are a ton of rentals. It’s where most investors kind of cut their teeth in Birmingham.
So that’s a quick overview of where to invest in Birmingham Alabama. I hope it was super helpful. If you have any questions, please call us. Our telephone number is 205-940-6363 extension 3.
If you want to dig into some of these areas, I’m also going to be shooting some videos on the individual areas. But if you have some specific questions, call us up, we’d love to help.
I’m Mathew Whitaker with Evernest.
For a comprehensive list of investor videos, check our Owner FAQ page and choose the ‘Investor Tips’ tag.
Matthew is the CEO of Evernest. He is a student of the book Good to Great and is passionate about building the best property management company on the planet (and maybe even the universe if Elon Musk will hurry up). You can usually find Matthew at the baseball field with his son, at a dance recital with his daughter, or at his favorite restaurant with his wife, when he’s not in the office. And if you can’t find him in any of those places, it probably means he’s traveling.