Market Overview
Home Prices in Pelham, AL
The median home value in Pelham, AL is $327,306 as of mid-2026, according to Zillow's Home Value Index (ZHVI).That's up 2.1% compared to a year ago and up 0.5% from two years prior.
Compared to the U.S. national median of $410,000, homes in Pelham are priced20% below average. Pelham is part of the Birmingham-Hoover, AL metro area.
Over the past five years, Pelham home values have risen by approximately21.0%, reflecting strong long-term appreciation in this market.
Price History
Pelham Home Price Trend
City Comparison
Pelham vs. National Median
At $327,306, homes in Pelham cost 20% below the national median of $410,000. This makes Pelham a relatively affordable market for buyers seeking value.
Affordability
What Does It Cost to Buy in Pelham?
20% Down Payment
$65,461
on $327,306
Monthly P&I
$1,707/mo
30-yr @ 6.8%
Total Monthly Est.
~$2,168/mo
incl. taxes & insurance
Income Needed
$86,720
gross annual (30% rule)
10% Down Option
$32,731
+ PMI applies
Loan Amount (20% dn)
$261,845
at current rates
Estimates assume a 30-year fixed mortgage at 6.8%. Monthly total includes estimated property taxes and homeowner's insurance. Actual costs vary.
FAQ
Frequently Asked Questions
What is the average home price in Pelham, AL?
The median home value in Pelham is $327,306 as of mid-2026, according to Zillow's Home Value Index (ZHVI). That's up 2.1% year-over-year.
How much have home prices changed in Pelham?
Over the past year, home values in Pelham have increased by 2.1%. Over five years, prices have risen approximately 21.0%.
How much do I need to earn to buy a home in Pelham?
To comfortably afford the median home price of $327,306 with a 20% down payment ($65,461) at today's rates (6.8%), you'd need a gross annual income of approximately $86,720. This assumes keeping total housing costs at or below 30% of gross income.
How does Pelham compare to the national average home price?
The national median home value is approximately $410,000. At $327,306, homes in Pelham are 20% below the national average.
What metro area is Pelham part of?
Pelham is part of the Birmingham-Hoover, AL metropolitan area. Home prices and market conditions can vary across the broader metro region.