Alabama Transfer Tax: How Much It Is and Who Pays

Alabama's Deed Recordation Tax is $0.50 per $500 of price or fraction (0.1%): $299 on a $299,000 home.

Alabama transfer tax by purchase price

Purchase priceState taxTotal
$150,000$150$150
$200,000$200$200
$250,000$250$250
$300,000$300$300
$350,000$350$350
$400,000$400$400
$450,000$450$450
$500,000$500$500
$600,000$600$600
$700,000$700$700
$800,000$800$800
$1,000,000$1,000$1,000

Transfer tax calculator

Who pays

Who pays the transfer tax in Alabama is negotiable in the purchase contract. Ala. Code Sec. 40-22-1 requires payment before recording but does not assign the tax to buyer or seller by statute; industry sources report the seller customarily pays by local custom, but that custom is not confirmed against an official source. Source

Frequently asked questions

How much is the transfer tax in Alabama?

The state rate is $0.50 per $500 of price or fraction (0.1%), which is $299 on a $299,000 home.

Who pays the transfer tax in Alabama?

Who pays the transfer tax in Alabama is negotiable in the purchase contract. Ala. Code Sec. 40-22-1 requires payment before recording but does not assign the tax to buyer or seller by statute; industry sources report the seller customarily pays by local custom, but that custom is not confirmed against an official source. Source

Is there a mortgage or recordation tax too?

Yes: Alabama also taxes the mortgage when it is recorded, $0.15 per $100 of price or fraction (0.15%), paid by the borrower. Applies to the amount of indebtedness secured by a mortgage or deed of trust, not the sale price; $0.15 per $100 of debt or fraction thereof, statewide, uniform in every county.

Are there exemptions?

No first-time buyer or principal-residence exemption was identified in Alabama's recordation tax statute (Ala. Code Sec. 40-22-1 et seq.).

Sources

Rates as the statute or revenue department publishes them, checked 2026-09-22. Figures are computed from those rates and rounded to the dollar; exemptions for first-time buyers or principal residences are noted where they exist and are not applied. All sources.

All Alabama buyer closing costs → Alabama title insurance cost →

Figures are computed from the statute cited above and rounded to the dollar. This is general information, not tax or legal advice.

Transfer tax in every state