Alabama Mortgage Calculator

Calculate your monthly mortgage payment with accurate Alabama property taxes and see how much house you can afford in AL.

Property Tax Rate

0.37%

Median Home Price

$232,000

Est. Monthly Payment*

$1,445

Buyer Programs

32

*Based on median home price with 20% down, 6.5% rate, 30-year fixed

Calculate Your Alabama Mortgage Payment

Our calculator is pre-filled with Alabama's median home price and property tax rate. Adjust the numbers to match your situation.

Open Calculator with AL Defaults

Monthly Payment Breakdown for Alabama

Here's what your monthly payment looks like on the median Alabama home ($232,000) with 20% down at 6.5%:

Principal & Interest $1,173
Property Taxes (0.37%) $72
Homeowners Insurance (est.) $200
Total Monthly Payment $1,445

Note: This estimate assumes 20% down payment ($46,400), no PMI. With less than 20% down, add $77-$155/month for PMI.

Alabama Property Taxes

Alabama's effective property tax rate is 0.37%, which is below the national average of 0.89%.

Annual Property Tax on $232,000 Home

$858

($72/month escrowed)

Buying a Home in Alabama: Key Facts

  • Lowest property tax rate in the nation at 0.37%
  • Very affordable median home price of $232,000
  • Huntsville ranked among fastest-growing tech hubs in the Southeast
  • Property taxes vary significantly by county due to local millage rates

Mortgage Calculators for Nearby States

Comparing homes across state lines? Check property taxes and home prices in neighboring states:

Alabama First-Time Homebuyer Programs

Alabama has 32 homebuyer assistance programs that can help with down payment and closing costs.

Step Up Program

Up to $10,000 or 4% of purchase price for down payment

Deferred Loan

AHFA Mortgage Credit Certificate

Up to 50% of annual mortgage interest as federal tax credit

Tax Credit

Alabama Housing Finance Authority

Below-market interest rates on 30-year fixed mortgages

Low-Interest Mortgage

Eligibility requirements typically include income limits, credit score minimums (usually 620+), and homebuyer education courses. Visit DownPaymentResource.com to search for programs you may qualify for.

Major Cities in Alabama

Home prices and property taxes can vary significantly by city. The median home price of $232,000 is a statewide average.

Birmingham Montgomery Huntsville Mobile Tuscaloosa

Alabama Mortgage FAQ

What is the property tax rate in Alabama?

The average effective property tax rate in Alabama is 0.37%. On a $232,000 home, that's approximately $858 per year or $72 per month added to your mortgage payment.

What is the median home price in Alabama?

The median home price in Alabama is $232,000 as of January 2026. Prices vary by location - Birmingham and Montgomery typically have higher prices than rural areas.

Are there first-time homebuyer programs in Alabama?

Yes, Alabama has 32 homebuyer assistance programs. Popular options include Step Up Program, which offers up to $10,000 or 4% of purchase price for down payment.

How much do I need to buy a house in Alabama?

For the median Alabama home ($232,000), you'd need $46,400 for a 20% down payment, plus $6,960-$11,600 for closing costs. With down payment assistance, you could potentially buy with as little as $8,120 (3.5% FHA down payment).

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Use our free mortgage calculator with Alabama property taxes pre-filled.

Calculate Your AL Mortgage Payment