Key Takeaways
- This article is a 7-minute read.
- Lake Martin waterfront home prices peaked at a median of $1,550,000 in October 2025 — a 36.6% year-over-year increase — according to ACRE and LMAAR data.
- February 2026 LMAAR data shows waterfront inventory rising to 141 listings, up 26% from February 2025, signaling more choices for buyers heading into spring.
- Non-waterfront residential sales are outperforming the waterfront segment so far in 2026, with sales volume up 25% and average prices up 21% year-over-year in February.
- The Lake Martin market is entering the 2026 selling season in a balanced state, with favorable conditions for well-positioned sellers and well-prepared buyers alike.
- A local Lake Martin real estate agent provides the most accurate, neighborhood-level guidance in a market where conditions can shift significantly month to month.
Understanding the Lake Martin, Alabama, real estate market right now requires looking at two data sets together. The first is the 2025 selling season data from the Alabama Center for Real Estate (ACRE) at the University of Alabama. That data was published in partnership with the Lake Martin Area Association of Realtors (LMAAR). The second is the most recent information available: LMAAR’s February 2026 sales statistics. These numbers show exactly where the market stands as the 2026 selling season approaches.
Together, these sources paint a clear and honest picture of the current market. Whether you are buying Lake Martin waterfront homes for sale, planning to sell, or simply tracking Lake Martin home values, this data matters. The 2026 spring season could be a pivotal one.
How the 2025 Selling Season Shaped the Market
The 2025 Lake Martin market was defined by tightening inventory and rising prices through the peak selling months. In December 2024, ACRE reported 191 active waterfront listings and a months-of-supply reading of 12.7 — clearly buyer-friendly territory. As spring and summer arrived, that picture shifted considerably.
By October 2025, waterfront inventory had compressed to 153 active listings, a 20.7% decline year-over-year. The median sales price for Lake Martin waterfront homes reached $1,550,000 that month. That represented a 36.6% increase from October 2024, according to ACRE. Months of supply dropped to 6.7 — right at the six-month equilibrium point. ACRE identifies that threshold as the point at which buyers and sellers hold roughly equal bargaining power.
Area-wide sales volume also strengthened through the summer. ACRE reported 70 closed transactions in September 2025 across all Lake Martin residential property types, a 37.3% increase year-over-year. The area-wide median sales price reached $430,000 that month, up 29.1% from September 2024. The overall message from 2025: strong appreciation, tightening supply, and a market that rewarded sellers who priced correctly.
What the February 2026 LMAAR Data Reveals
The most current snapshot of the Lake Martin real estate market comes directly from LMAAR’s February 2026 sold statistics. This data covers the full Lake Martin area across all property types. It offers the clearest early read on where conditions stand as the 2026 season takes shape.
For all residential properties combined, 32 homes sold in February 2026, compared to 36 in February 2025 — an 11% decrease in volume. The average residential sale price came in at $655,787, down from $876,358 in February 2025. Inventory rose to 355 listings from 285 a year ago, a 25% increase. One encouraging signal: days on market improved to 113 from 132, suggesting that correctly priced homes are still moving efficiently.
The waterfront residential segment recorded 12 closed sales in February 2026, down from 20 in February 2025. The average waterfront sale price was $1,165,950, down from $1,337,850 a year ago. Waterfront inventory rose to 141 listings from 112 in February 2025. It is worth noting that February is historically one of the slowest months in the Lake Martin selling cycle. These figures reflect the quiet season and should not be read as a signal of weakness heading into spring. What they do confirm: more inventory is available now than a year ago. Buyers entering the market this spring will have real options.
The Non-Waterfront Story: A Bright Spot Worth Watching
One of the more interesting storylines in the February 2026 LMAAR data is the performance of non-waterfront residential properties. The waterfront segment saw softer volume. Non-waterfront home sales, however, actually increased. Twenty homes sold in February 2026, up from 16 in February 2025 — a 25% increase in transactions.
Average sale prices in the non-waterfront segment rose as well. They climbed from $309,838 in February 2025 to $374,710 in February 2026 — a 21% year-over-year increase. Inventory in this segment is up from 173 to 214 listings, giving buyers more choices while still supporting price appreciation.
This pattern suggests healthy underlying demand for Lake Martin, Alabama, real estate across all price points. Buyers priced out of the waterfront tier are finding value in off-water communities. Many of these neighborhoods offer deeded water access, strong amenities, and lower entry prices. For sellers in this segment, current conditions are genuinely favorable.
Reading the Inventory Signal Correctly
Rising inventory is often misread as a negative for sellers. In the context of the Lake Martin market right now, it is better understood as a normalization. In 2021 and 2022, waterfront listings dipped below 100, and months of supply fell under three. Those levels were unsustainable. The February 2026 data show a market returning to healthier, more balanced conditions.
With 141 waterfront listings available and spring approaching, well-prepared sellers have a real opportunity. Getting to market early means capturing buyer attention before competition increases. Buyers, meanwhile, have more options than they have seen in several years. The February data also shows that average prices remain well above pre-2021 levels, even in a softer month. Lake Martin lakefront property for sale continues to hold strong long-term value.
ACRE’s six-month equilibrium framework is a useful lens here. A market at or near six months of supply is balanced, not distressed. The Lake Martin waterfront segment ended 2025 at 6.7 months of supply. Rising inventory and softer February volume suggest the market may trend slightly above equilibrium this spring. That means pricing strategy will matter more than it has in recent years.
What This Means for Buyers in Spring 2026
For buyers watching Lake Martin homes for sale from the sidelines, the current data makes a compelling case for getting active this spring. Inventory is higher than it has been. Competition among buyers is less intense than during peak seller-market years. Sellers are also showing more flexibility on pricing than they did in 2022 or 2023.
That said, the February 2026 data also confirms that Lake Martin waterfront properties are not cheap. An average sale price of $1,165,950 for waterfront homes in the slowest month of the year is a strong baseline. Well-located properties with deep-water docks, quality shoreline, and updated amenities continue to command premium values. Working with a knowledgeable Lake Martin realtor helps buyers identify genuine value. It also helps them avoid overpriced listings that have simply sat too long.
Days on market dropped to 113 for all residential properties. That tells buyers something important: the right homes are still moving. Patience is appropriate, but hesitating on the right property can still come at a cost.
What This Means If You Want to Sell Your Lake Martin Home in 2026
Sellers heading into the 2026 season have a genuine window of opportunity — but it requires a different mindset than the frenzied market of two or three years ago. Rising inventory means more competition. Buyers have options. The sellers who will do best this spring are those who price accurately from day one and present their homes well. Working with a Lake Martin real estate agent who understands both the data and this specific market makes a real difference.
The February 2026 numbers are a pre-season reading. The market’s real momentum builds from March through October. Sellers who list ahead of peak buyer activity tend to capture the strongest interest. Waiting to see how the season develops often means missing the best window.
At Lake Martin Vibe Realty, we track LMAAR sold statistics and ACRE research every month alongside what we see on the ground every day. Our team lives and works on this lake, and that daily presence shapes how we counsel both buyers and sellers. Want to know what your Lake Martin home is worth right now? Ready to build a listing strategy for spring 2026? We would love to talk. Contact us for a complimentary market consultation.
Frequently Asked Questions
The market is balanced and trending slightly toward buyer-friendly conditions as inventory rises. LMAAR data shows waterfront inventory at 141 listings in February 2026, up 26% from a year ago. ACRE’s October 2025 report put months of supply at 6.7 — right at the six-month equilibrium threshold. Buyers have more options than in recent years. Sellers who price accurately are still achieving strong results.
February 2026 LMAAR data shows overall residential sales volume down modestly from February 2025 — 32 sales versus 36 — with average prices also softer in the slow season. However, non-waterfront residential sales bucked that trend, rising 25% in volume and 21% in average price year over year. The full picture will become clearer as the spring selling season develops from March onward.
The Lake Martin selling season runs primarily from March through October, with peak activity in spring and summer. Sellers who list ahead of peak buyer traffic — typically by late March or early April — tend to see the most competitive interest. February 2026 data shows rising inventory, which means getting to market early in the spring season is particularly important this year.
Sources: Lake Martin Area Association of Realtors (LMAAR), February 2026 Sold Statistics; Alabama Center for Real Estate (ACRE), University of Alabama, in conjunction with LMAAR — reports cited include October 2025 (waterfront), September 2025 (area-wide), and December 2024 (waterfront). ACRE data available at acre.culverhouse.ua.edu.
