Free property tax calculator tailored for Alabama (AL). Calculate instantly with state-specific rates and rules.
Alabama has an effective property tax rate of 0.41%, producing an average annual bill of $607. The US national average is 1.07% — Alabama's rate is well below, placing it at rank #2 out of 50 states (rank 1 = lowest).
Residential property is assessed at 10% of fair market value. Counties then apply their millage rates to this assessed value, which averages around 40 mills statewide.
Alabama's homestead exemption reduces assessed value by $4,000 for primary residences. Homeowners age 65+ with income under $12,000 may be fully exempt from state property taxes.
No statewide cap on assessment increases, though local millage rate increases require voter approval.
Alabama consistently ranks among the two lowest property tax states in the US, largely due to low assessed value ratios and historically low millage rates.
The median home value in Alabama is $167,000. Prices have risen steadily, up ~18% since 2020, though still well below national median. At the 0.41% effective rate, a homeowner at the median value pays roughly $607/year in property taxes.
Data: Tax Foundation (2024), US Census Bureau ACS 2023, Zillow, ATTOM Data Solutions. Updated 2024–2025. Figures reflect state averages — consult a licensed professional for personalized advice.
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