Avondale continues to be one of the hottest real estate markets in Birmingham with renovated homes in the southern section of the neighborhood sometimes selling within days of entering the market.
“Young people when they want to relocate, the first thing that comes out of their mouth is Avondale,” said Pye Parson, a real estate agent with Brik Realty.
While Avondale may be the hip place to live due to its proximity to downtown and nightlife, prices are skyrocketing.
Median home prices in Avondale have nearly doubled in the last five years, according to sales data.
In 2013, the median sale price for a home in the resurgent neighborhood was $137,000. In 2018, that figure has jumped to $265,000.
Prices have gotten so high that many first-time homebuyers may be priced out of the neighborhood, real estate agents say.
“First-time homebuyers who have a little bit more money are buying in Avondale,” said Katherine Smith, a real estate agent with RealtySouth. “The average first-time homebuyer is being priced out.”
Avondale is now attracting young families looking to be close to work and play. Empty nesters looking to downsize are also being lured to Avondale.
Laura and Jason Richardson opted for south Avondale instead of the suburbs when they bought a home two years ago for the short commute to work. They enjoy local brews from Avondale Brewing and Cahaba Brewing and liked the idea of being able to walk there instead of driving.
“We were glad to get in when we did,” said Laura Richardson, 33, a physical therapist. “I think it will be a good investment. Every time I walk to the brewery, I see a house that is being fixed up and getting some love.”
Home prices in south Avondale are soaring due to short supply in the desirable neighborhood.
Hot market
Trish Kren, a real estate agent with Tinsley Realty, regularly sells homes in Avondale and nearby Crestwood North and Crestwood South neighborhoods. She said sales have been strong for at least three years, but demand started to grow this spring.
A nicely renovated two-story Tudor by Avondale Park recently sold at full asking price: $469,000. Two years ago, she said that house wouldn’t even have listed at $400,000.
The most expensive house sold in Avondale so far this year was scooped up for $575,000. The most expensive one sold five year ago was $268,000 – which now represents the median price range.
What’s causing the increase in sale prices?
Low supply, she said. Also, the neighborhood is highly-desirable neighborhood for its walkability and proximity to downtown, she said.
“UAB is a big draw,” she said. “You can’t beat this location.”
South Avondale near the 41st Street commercial corridor and Forest Park is a small neighborhood with few homes on the market at any given time, she said. It’s smaller than other popular neighborhoods nearby like Crestwood North and Crestwood South, where houses also come with high price tags.
Young families and empty nesters
“My drive to work is literally five minutes, three if there are no red lights,” Laura Richardson said.
Her short drive to TherapySouth is one of the reasons she and her husband opted for Avondale. Plus, she thinks its important to work in the community where you live. She enjoys seeing her patients when she’s getting a drink at Cahaba Brewing or picking up a pizza at Post Office Pies.
And, when a house hits the market, you must drop everything and look.
The Richardsons viewed a house in Avondale on their wedding day six years ago. They opted at that time, though, to buy a condo in nearby Highland Park.
After their first daughter arrived, they decided to buy something bigger without sacrificing location and finally moved to Avondale. To make even more room, they are now converting their large laundry room into a fourth bedroom.
Stephen Parsley and his wife, Margaret, bought in south Avondale about three years ago for its walkability and proximity to downtown where he works as a lawyer.
“When the weather is nice, there is nothing better to do on a Saturday or Sunday then to walk to the park, get a coffee at Saturn or get a beer at the brewery,” he said. "Saw’s is probably the best restaurant in Birmingham. Shout out to Saw’s. “
Valerie Watson and her husband Bob were the first to buy in a 10-home development currently under construction on Fifth Avenue in south Avondale.
The empty nesters were looking to downsize after living in Forest Park for eight years, but they didn’t want to sacrifice their proximity to downtown and their favorite restaurants. That along with the upscale amenities is why they chose Cottages on Fifth.