State laws / Alabama
Alabama tax sales: liens, deeds, rates & redemption
Quick answerAlabama sells liens + tax deeds (hybrid) for unpaid property taxes. Lien buyers can earn Sale-of-lien counties: up to 12% per year, bid down in 1% increments to 0% (§§ 40-10-180 to 40-10-200). Sale-of-land counties: redemption interest is 8% per year for sales on or after January 1, 2020 (Ala. Admin. Code r. 810-4-6-.02, applying § 40-10-122; 12% before that change). Redemption: 3-year statutory (administrative) redemption period from the date of sale for sale-of-land parcels, after which the purchaser may demand a tax deed; additional judicial redemption can apply if the purchaser has not taken possession. Sale-of-lien holders may foreclose judicially after 4 years and within 10 years (as amended by Act 2024-261/324 legislation), with redemption continuing until foreclosure is completed Sales: Annual spring sales, varying by county — many lien-auction counties sell on the first Monday in May; sale-of-land counties set their own spring dates Governing law: Code of Alabama, Title 40, Chapter 10 — Article 1 et seq. sale of land (§ 40-10-1 et seq.) and §§ 40-10-180 to 40-10-200 sale of tax liens.
Where to bid: GovEase (tax lien auction counties)mostly in-person (sale-of-land counties)
| What is sold | Liens + tax deeds (hybrid) |
|---|---|
| Interest / penalty | Sale-of-lien counties: up to 12% per year, bid down in 1% increments to 0% (§§ 40-10-180 to 40-10-200). Sale-of-land counties: redemption interest is 8% per year for sales on or after January 1, 2020 (Ala. Admin. Code r. 810-4-6-.02, applying § 40-10-122; 12% before that change) |
| Redemption period | 3-year statutory (administrative) redemption period from the date of sale for sale-of-land parcels, after which the purchaser may demand a tax deed; additional judicial redemption can apply if the purchaser has not taken possession. Sale-of-lien holders may foreclose judicially after 4 years and within 10 years (as amended by Act 2024-261/324 legislation), with redemption continuing until foreclosure is completed |
| When sales happen | Annual spring sales, varying by county — many lien-auction counties sell on the first Monday in May; sale-of-land counties set their own spring dates |
| Governing law | Code of Alabama, Title 40, Chapter 10 — Article 1 et seq. sale of land (§ 40-10-1 et seq.) and §§ 40-10-180 to 40-10-200 sale of tax liens |
| Investor notes | County opt-in hybrid: each county chooses the traditional sale-of-land system (premium/highest bid, certificate exchangeable for a deed after 3 years, immediate right to possession subject to redemption) or the 2018 sale-of-lien system (bid-down interest, no possession, no overbid). Always confirm which system the target county uses before bidding. |
Sources
- https://ltaal.org/download/11442/?tmstv=1755566262
- https://admincode.legislature.state.al.us/api/rule/810-4-6-.02
- https://www.walkercountyrevenue.com/home/tax-liens/
- https://taxlien.io/rankings/
Law verified 2026-10-30 against the sources above. Confirm current details with the county tax collector / clerk before bidding — counties can change dates and procedures.
Go deeper: all Alabama counties · Alabama sale calendar · Alabama investing guide