The typical owner-occupied home in Red Bay is worth about $108,200, 48% below the Alabama median of $209,900 and 67% below the national median of $332,700. Owners pay a median $345 a year in property taxes, about 0.32% of their home's value, lower than the Alabama rate of 0.38%. The median household earns $37,473 a year, so the median home costs 2.9 times the median income (3.3 times for Alabama). 58% of occupied homes here are lived in by their owners, and 44% of those owners still have a mortgage.
Red Bay at a glance
| Red Bay | Alabama | U.S. | |
|---|---|---|---|
| Median home value | $108,200 | $209,900 | $332,700 |
| Median property tax paid per year | $345 | $788 | $3,119 |
| Property tax as a share of value | 0.32% | 0.38% | 0.94% |
| Median household income | $37,473 | $63,999 | $80,734 |
| Homes lived in by their owners | 58% | 70% | 65% |
| Owner homes with a mortgage | 44% | 54% | 61% |
| Median monthly costs, owners with a mortgage | $995 | $1,433 | $1,963 |
| Those costs as a share of the owners' income | 14.7% | 19.0% | 21.0% |
| Median rent | $542 | $1,007 | $1,413 |
| Rent as a share of renters' income | 23.6% | 29.5% | 30.6% |
| Median year homes were built | 1972 | 1986 | 1980 |
| Vacant homes | 13.7% | 14.5% | 10.1% |
| Population | 3,201 | 5,086,768 | 334,922,499 |
What a typical home costs per month in Red Bay
At this week's average 30-year rate of 7.11%, buying the median Red Bay home of $108,200 with 20% down costs about $656 a month, including property taxes and insurance. With an FHA loan and 3.5% down, it's about $836, because the loan is bigger and FHA adds mortgage insurance.
Lenders usually want housing costs under about 28% of gross income, which means an income of roughly $28,124 for the 20%-down payment. That payment is 21% of the median Red Bay household income of $37,473; at that income and 20% down, the 28% guideline points to a home of about $144,000.
The median rent here is $542 a month, so owning the median home costs about $114 a month more than renting, before you count the equity you build and any tax benefits.
| Down payment | $21,640 |
|---|---|
| Loan amount | $86,560 |
| Principal and interest | $582 |
| Property taxes (0.32% a year) | $29 |
| Homeowners insurance (our estimate, 0.5% a year) | $45 |
| PMI | $0 |
| Total per month | $656 |
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| Down payment | $3,787 |
|---|---|
| Loan amount | $106,240 |
| Principal and interest | $715 |
| Property taxes (0.32% a year) | $29 |
| Homeowners insurance (our estimate, 0.5% a year) | $45 |
| FHA mortgage insurance | $48 |
| Total per month | $836 |
Change the numbers in the calculator
Questions about home buying in Red Bay
What is the median home value in Red Bay?
About $108,200 for owner-occupied homes, according to the Census Bureau's 2020–2024 American Community Survey.
How much are property taxes in Red Bay?
Homeowners pay a median $345 a year, which is about 0.32% of the median home value. Your bill depends on your home's assessed value and local rates.
What income do you need to buy a home in Red Bay?
For the median home with 20% down at 7.11%, the payment is about $656 a month. Keeping that under 28% of gross income takes about $28,124 a year.
More about Red Bay
- Mortgage Refinance in Red Bay
- Debt Relief in Red Bay
- Home Equity Loans in Red Bay
- Guides and quotes for mortgage refinance on our sister site, MortgageRefinance.com
Sources: U.S. Census Bureau, American Community Survey 2020–2024 5-year estimates; Freddie Mac Primary Mortgage Market Survey, week of November 12, 2026. Estimates for small places have wide margins of error. About our data