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Mobile vs Birmingham for Rental Property Investing

Side-by-side comparison of Mobile, AL and Birmingham, AL — cap rates, rent, prices, and investment metrics.

Birmingham wins 4–3 across key metrics
Mobile leads on cash flow (5.78% vs 5.54% cap rate) · Birmingham leads on population growth
Metric
Mobile, AL
Birmingham, AL
Est. Cap Rate
5.78%
5.54%
Median Home Price
$155,000
$185,000
Median Monthly Rent
$980
$1,120
1% Rule
0.63%
0.61%
GRM
13.2x
13.8x
Price / Income
3.8x
4.6x
Property Tax Rate
0.44%
0.42%
Vacancy Rate
7.5%
7%
Population Growth
0.1% / yr
0.3% / yr
Annual Appreciation
1.8%
2.1%
Population
188,720
197,575
Median Income
$40,800
$40,100

Mobile vs Birmingham: Which Is Better for Investors?

Cash flow: Mobile has the edge with an estimated cap rate of 5.78% compared to Birmingham's 5.54%. Neither city passes the 1% rule outright, so deal sourcing and value-add strategies become more important. Median home prices are $155,000 in Mobile vs $185,000 in Birmingham, while rents come in at $980/mo and $1,120/mo respectively.

Growth & appreciation: Birmingham is growing faster at 0.3% annually vs Mobile's 0.1%. Birmingham leads on home value appreciation at 2.1% per year.

Costs & risk: Property taxes are 0.44% in Mobile vs 0.42% in Birmingham. Vacancy rates of 7.5% and 7% are mixed — Birmingham has the tighter rental market.

Bottom line: Birmingham edges out Mobile on most key metrics. With a 5.54% cap rate, it offers solid cash flow potential. Use our free calculators to model specific deals in Mobile or Birmingham.

Mobile, AL
5.78% cap rate · $155,000 median · $980/mo
Full analysis →
Birmingham, AL
5.54% cap rate · $185,000 median · $1,120/mo
Full analysis →
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