Alabama Mortgage Rates (2026)
Current average mortgage rates, median home prices, and top lenders in Alabama. Rates apply to primary residence purchases with good credit (740+).
30yr Fixed
7.05%
Avg APR
15yr Fixed
6.45%
Avg APR
Median Price
$215,000
Median home
Monthly P&I
$1,147
30yr at 80% LTV
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Top Mortgage Lenders in Alabama
1
Get RateRocket Mortgage
Online convenience
30yr Fixed
7%
15yr Fixed
6.4%
Min Down
3%
2
Get RateChase
Existing customers
30yr Fixed
6.9%
15yr Fixed
6.3%
Min Down
3%
3
Get RateWells Fargo
Branch access
30yr Fixed
7.1%
15yr Fixed
6.5%
Min Down
3%
4
Get RateBank of America
Preferred Rewards
30yr Fixed
7%
15yr Fixed
6.4%
Min Down
3%
5
Get RateloanDepot
Low down payment
30yr Fixed
6.9%
15yr Fixed
6.3%
Min Down
3%
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First-Time Buyer Programs in Alabama
- ✓AHFA Step Up Program
- ✓AHFA Mortgage Credit Certificate
Mortgage Requirements in Alabama
- •Minimum 620 credit score for conventional loans
- •DTI ratio typically under 45%
- •3–20% down payment depending on loan type
- •Private mortgage insurance (PMI) required if down < 20%
Alabama Housing Market Facts
Alabama has one of the lowest median home prices in the Southeast.
Property taxes average 0.41% — among the lowest nationally.
AHFA offers down payment assistance up to $10,000.
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