Alabama boasts some of the lowest property taxes in America. Understand the assessment process, exemptions, and how to appeal your valuation.
Alabama is renowned for having the lowest property taxes in the nation, making it an attractive destination for homeowners and investors alike.
## How Alabama Property Taxes Work
### Assessment Rates Alabama uses different assessment rates for different property types: - Owner-occupied residential: 10% of market value - Agricultural: 10% of market value - Commercial/Industrial: 20% of market value
### Tax Calculation Your tax bill = Assessed Value × Millage Rate
## Available Exemptions
### Homestead Exemption All homeowners are entitled to a homestead exemption on their primary residence, reducing the taxable value.
### Age 65+ Exemption Homeowners 65 or older may qualify for additional exemptions on state property taxes.
### Disability Exemption Disabled veterans and other qualifying disabled homeowners receive additional tax relief.
## Appealing Your Assessment
If you believe your property is overvalued: 1. Review your assessment notice carefully 2. Gather comparable sales data 3. File an appeal with the Board of Equalization by the deadline 4. Present your case with documentation
## Payment Schedules
Property taxes are due October 1 and become delinquent January 1. Some counties offer installment plans.