Who has low mortgage rates in Alabama?
A good rate for a primary, single-family home in for , and credit score is:
found 51 lenders for you - rates updated May 28, 2025
Rates updated May 28, 2025
Insights
Negotiate everything—rates, fees, and terms are not set in stone.
George Robinson Chief Data ScientistLenders with low rates in AL
We’ve analyzed the rates lenders actually gave to buyers for the last three years and found only 3 lenders likely to get you a good deal.
| Lender | Lender fees | ||
|---|---|---|---|
| Tomo Mortgage, Llc | No lender feesHighly rated | Highly rated | |
| Pentagon Federal Credit Union | $995Average | Average | |
| Bank Independent | $1000Mixed reviews | Mixed reviews |
Insights
Negotiate everything—rates, fees, and terms are not set in stone.
George Robinson Chief Data ScientistLenders in AL likely to have high rates
We don’t accept advertising, so TrueRate can give the real lender story. We looked at 51 lenders and one lender is likely to offer you a high rate.
| Lender | Lender fees | ||
|---|---|---|---|
| American Financial Network, In | $1295Mixed Reviews | Mixed Reviews |
Insights
Whether a lender has high margins or is simply inefficient and passing their costs on to you, the result is the same—you’ll likely end up paying more for your home. Our data shows that if you choose these lenders you will likely regret it.
George Robinson Chief Data ScientistTrueRate report
See how mortgage companies got home buyers to over-pay by billions.
Get the reportMethodology
We believe in transparency. Here’s how we crunched the numbers.
Based on lender data from 2023 with at least 10 loans similar to yours with 0 points for a 30-year fixed mortgage.
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Insights
James James McTernan is a Tomo Mortgage Loan Advisor - NMLS #337556Alabama is proving to be a hidden gem for homebuyers
If you’ve been thinking about planting your roots in a state known for its Southern charm and hospitality, now might be the perfect time to make your move.
Birmingham is at the forefront of Alabama’s housing market transformation. Once a manufacturing powerhouse, the city is experiencing a renaissance, with a flourishing arts scene, revitalized neighborhoods, and a burgeoning culinary landscape. Areas like Avondale and Highland Park offer an inviting mix of historic homes and modern amenities, with a median home price around $250,000—much lower than the national average.
Mobile, with its rich history and picturesque waterfront, is another excellent option for those looking to buy. The city has a vibrant cultural scene, with festivals and events happening year-round. The median home price in Mobile is about $190,000, making it an attractive choice for first-time buyers seeking affordability without sacrificing quality of life.
If a slower pace is more your speed, consider Huntsville, which has rapidly become one of the fastest-growing cities in the U.S. Known for its tech industry and outdoor activities, the city has a median home price of around $330,000, making it a great option for families and professionals alike.
Alabama also provides various assistance programs for first-time homebuyers, including down payment assistance and affordable loan options, making the path to homeownership more attainable.
With its blend of vibrant cities, rich history, and improving affordability, Alabama is an appealing state to consider for your next home. Whether you’re drawn to the dynamic atmosphere of Birmingham or the coastal charm of Mobile, there’s a lot to love in the Heart of Dixie!