Alabama slow market growth

[Peter Sik]

My friend just became an agent in Alabama, he told me Alabama property market grows slowly and will continue keep growing, will catch up the growth rate as in other cities. He said is good to invest there because all the big cities do not have reasonable cap rate and the appreciate any more is in doubt. I have been in Alabama Montgomery airport once, I feel the economy is so weak compare to SF, LA, Dallas....  I believe less then 100 passengers in the airport when i was there and Montgomery is already the biggest county in Alabama.

Some areas in Alabama, the property price keep going down since 2010. Generally is raising slowly. You will not likely to see this happening in CA anywhere. For example, once the CA property market going down hill. I believe Alabama will be follow quickly. Plus there has high vacancy rate like 12%. So, I think I consider invest in other state rather then in Alabama. Please let me know what do you think of what I think? 

[Jason Cory]

Birmingham is a tertiary market. It can't be compared to LA, Dallas, or similarly populated markets. 

When the market collapsed a couple of years ago the median value was $145k for the state. In 2010 when we began coming out of the foreclosure crisis the median value for the state was $169k. Tertiary cities don't suffer from the same depreciation as bigger markets. Remember, everyone said Altanta was a ghost town after the collapse. An over populated area doesn't have the infrastructure to support negative economic fluctuations. Those people move to areas like Birmingham because jobs are still available & housing is affordable. 

What most people don't know is Sports Medicine was founded in Birmingham (HealthSouth). Dr Andrews is under contract with the Yankees to keep him from seeing other MLB players. 10 year, $200m contract to be exact. 

UAB has been in the top 3 for medical research grants for 30 consecutive years never dipping below #3 in that span. 

International Construction & Financial headquarters to many that were founded here. 

Harbert, Hoar, & another I can't think of at the moment. 

Regions Bank was founded in Birmingham as well as Sterne Agee. 

Huntsville is in the top 5 of most intelligent cities, NASA & all the private engineers.

Mobile had the BP oil spill that everyone thought would wreck the market but all of the clean up crews, FEMA, etc., were here pumping money in the local economy while the beach tourism was non existent during the spill & clean up.

Montgomery is the capital of the state. That's all that can be said about Montgomery. 

Alabama is #3 in auto manufacturing, Honda, Toyata, Hyundai, Mazda, & Mercedes.

Boeing, Airbus, & Google are also in the state.

Plus, when you win as many national championships in football as Alabama does we get the winner's paycheck. It's not small. 

Don't let the stigma of incorrect information about the state or the people influence your decision to invest here. We let everyone think what they want to about us nationally while we grow, take care of each other, & cash checks in Birmingham being the #5 city in the country to build personal wealth. 

Take a second look & facts about the state. It will likely surprise you with what you find. There isn't a better economy or place to invest that the Magic City or the Yellowhammer State. All we do is win at everything we do.