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Alabama tax sales: the season preview

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.

What's actually for sale

Alabama sells liens + tax deeds (hybrid). 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.

The rate that decides your return

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)

The clock you're investing against

Sale schedule: 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

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

Where the sales happen

GovEase (tax lien auction counties), mostly in-person (sale-of-land counties). Lists post on the county's schedule, change as owners redeem, and registration typically closes before sale day — the investors who see the list first set the market.

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Deep dives: Alabama laws · Alabama investing guide · Alabama sale calendar. Law verified 2026-10-30.