Is Housing Inventory Increasing in Huntsville in 2026?

If you’ve been waiting for the Huntsville housing market to shift in your favor, this may be the moment you’ve been watching for. After several years of tight inventory and intense competition, the number of homes for sale is finally rebounding. In fact, January inventory levels nationally were the highest they’ve been since 2020. That is a big deal for buyers in Huntsville, Madison, and surrounding communities. Because more inventory means more options. And more options change everything.

What Rising Inventory Means for Buyers in Huntsville

For the past few years, the market felt different. There were fewer homes for sale. Buyers had to move fast. Offers were rushed. Negotiating power was limited.

But that pressure is starting to ease.

When inventory increases:

• Buyers gain more time to make decisions

• There are more homes to compare

• Negotiating leverage improves

• The market feels more balanced

According to national housing data, inventory growth is signaling a slow return toward more typical pre-pandemic levels. That does not mean we are fully back to normal everywhere. But it does mean the market is no longer as one-sided as it was.

A Growing Portion of the Country Is Getting Back to Normal

Inventory recovery varies by region. Some areas have rebounded faster than others.

According to Lance Lambert, Co-Founder of ResiClub, at the beginning of 2025, only 41 of the 200 largest U.S. metros had returned to typical inventory levels. By the end of the year, nearly half of those metros were back at or above normal supply levels. That kind of shift in one year is significant. And forecasts suggest inventory could rise another 10% this year.

What This Means for the Huntsville and Madison Market

Now let’s bring this local. National trends matter. But real estate is local. In Huntsville, Madison, Meridianville, and surrounding areas, we are also seeing:

• Increased listings compared to prior years

• Homes are sitting slightly longer on the market in certain price ranges

• More opportunities for buyer negotiation in select areas

That does not mean prices are collapsing. It means the market is beginning to rebalance.

As Hannah Jones, Senior Economic Research Analyst at Realtor.com, explains:

“. . . housing market conditions are gradually rebalancing after several years of extreme seller advantage. Buyers are beginning to see more options and modest negotiating power as inventory improves . . .”

In other words, the market is starting to work with buyers again — not against them.

In the video above, we break down what this inventory rebound really means for buyers. January marked the highest inventory levels since 2020, and forecasts suggest another 10% increase this year. That kind of growth shifts the tone of the market. This is the most buyer-friendly setup we have seen in years.

If inventory continues trending toward 2017 to 2019 levels, buyers can expect:

• Less urgency

• More breathing room

• Better comparison shopping

• More thoughtful decision-making

For buyers who felt discouraged during the height of the competitive market, this shift may reopen opportunities that previously felt out of reach.

Important Perspective: Inventory Is Improving, Not Exploding

It is important to stay grounded. Inventory is increasing, but it is not flooding the market. We are moving toward balance, not oversupply. That distinction matters. A balanced market is healthy. Sellers still benefit from strong demand. Buyers gain reasonable negotiating power. The result is a more stable, predictable environment for everyone involved. And stability is exactly what the market has needed.

Bottom Line for Huntsville Buyers

Homes for sale are increasing. Inventory is rebounding. Forecasts suggest continued growth. Nationally, this is the strongest setup buyers have seen in several years. Locally, opportunities are emerging in specific price ranges and communities — but strategy still matters. If you want to know how inventory trends are impacting your specific price point or neighborhood in Huntsville or Madison, let’s talk.

Rebecca Lowrey Group | RE/MAX Distinctive
Serving Huntsville, Madison, and surrounding communities