Mortgage Rates in Alabama — March 2026
Compare current mortgage rates across 50 cities in Alabama. The average 30-year fixed rate is 6.67%, which is 0.02% above the national average of 6.65%.
Alabama Housing Highlights
All 50 Cities in Alabama
| City | 30-Yr Rate | Home Price | Monthly P&I | Population |
|---|---|---|---|---|
| Huntsville | 6.77% | $265,000 | $1,378 | 215,006 |
| Birmingham | 6.77% | $115,000 | $598 | 200,733 |
| Montgomery | 6.77% | $155,000 | $806 | 200,603 |
| Mobile | 6.77% | $145,000 | $754 | 187,041 |
| Tuscaloosa | 6.77% | $215,000 | $1,118 | 101,129 |
| Hoover | 6.77% | $325,000 | $1,690 | 92,606 |
| Auburn | 6.77% | $285,000 | $1,482 | 76,143 |
| Dothan | 6.77% | $175,000 | $910 | 71,072 |
| Decatur | 6.77% | $175,000 | $910 | 57,938 |
| Madison | 6.82% | $172,000 | $899 | 53,880 |
| Florence | 6.77% | $195,000 | $1,014 | 40,184 |
| Phenix City | 6.77% | $175,000 | $910 | 38,816 |
| Vestavia Hills | 6.77% | $395,000 | $2,054 | 38,342 |
| Prattville | 6.77% | $225,000 | $1,170 | 38,226 |
| Gadsden | 6.73% | $110,000 | $570 | 33,685 |
| Alabaster | 6.68% | $175,000 | $902 | 33,487 |
| Opelika | 6.18% | $215,000 | $1,052 | 31,741 |
| Enterprise | 6.71% | $185,000 | $956 | 28,711 |
| Daphne | 6.69% | $315,000 | $1,624 | 28,378 |
| Athens | 6.67% | $180,000 | $926 | 27,122 |
| Bessemer | 6.83% | $155,000 | $811 | 26,019 |
| Northport | 6.04% | $225,000 | $1,084 | 25,912 |
| Homewood | 6.65% | $152,000 | $781 | 25,823 |
| Trussville | 6.27% | $335,000 | $1,654 | 25,131 |
| Pelham | 6.3% | $295,000 | $1,461 | 24,419 |
| Fairhope | 6.59% | $385,000 | $1,966 | 22,477 |
| Albertville | 6.01% | $185,000 | $888 | 22,386 |
| Oxford | 6.74% | $171,000 | $886 | 21,799 |
| Anniston | 6.7% | $144,000 | $743 | 21,518 |
| Helena | 6.78% | $174,000 | $906 | 21,517 |
| Mountain Brook | 6.66% | $144,000 | $740 | 20,963 |
| Foley | 6.16% | $295,000 | $1,439 | 20,335 |
| Prichard | 6.77% | $160,000 | $832 | 19,073 |
| Troy | 6.75% | $167,000 | $867 | 18,983 |
| Selma | 6.73% | $85,000 | $440 | 17,762 |
| Center Point | 6.6% | $159,000 | $812 | 16,921 |
| Cullman | 6.88% | $162,000 | $852 | 16,774 |
| Hueytown | 6.89% | $154,000 | $811 | 16,105 |
| Millbrook | 6.89% | $169,000 | $890 | 16,077 |
| Talladega | 6.79% | $164,000 | $854 | 15,219 |
| Calera | 6.75% | $159,000 | $825 | 15,140 |
| Hartselle | 6.8% | $166,000 | $866 | 15,097 |
| Gardendale | 6.71% | $174,000 | $899 | 14,964 |
| Saraland | 6.61% | $154,000 | $788 | 14,921 |
| Scottsboro | 6.74% | $178,000 | $923 | 14,770 |
| Ozark | 6.77% | $162,000 | $842 | 14,561 |
| Fort Payne | 6.64% | $150,000 | $770 | 14,544 |
| Jasper | 6.7% | $135,000 | $697 | 13,649 |
| Irondale | 6.64% | $173,000 | $888 | 13,263 |
| Tuscumbia | 6.77% | $145,000 | $754 | 8,423 |
Alabama Mortgage Rates Guide — 2026
Alabama homebuyers currently see an average 30-year fixed mortgage rate of 6.67%, with median home prices around $193,460. At these rates, the typical monthly mortgage payment (principal and interest with 20% down) is $994.
The most affordable city for homebuyers in Alabama is Selma, where the median home price is $85,000. On the other end, Vestavia Hills has the highest prices at $395,000. Property tax rates across the state average 0.41%.
To comfortably afford a home at the state average price, a household income of approximately $42,600 is recommended, following the standard guideline that housing costs should not exceed 28% of gross income.
Use our free loan calculator to see your exact monthly payments and amortization schedule, or browse individual city pages below for localized rate data and market insights.
Frequently Asked Questions — Alabama Mortgages
What are current mortgage rates in Alabama?
As of March 2026, the average 30-year fixed mortgage rate in Alabama is 6.67% and the 15-year fixed rate averages 5.91%. Rates vary by city, lender, and borrower qualification.
What is the average home price in Alabama?
The median home price across 50 cities in Alabama is $193,460. Prices range from $85,000 in Selma to $395,000 in Vestavia Hills.
How much income do I need to buy a house in Alabama?
Based on the 28% debt-to-income guideline, you would need a household income of approximately $42,600 to comfortably afford the average home in Alabama. The median household income in the state is approximately $49,083.
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