Alabama · Statewide

Alabama Foreclosures and Distressed Properties Statewide

Foreclosure listings on Zillow, Realtor.com, and Auction.com are seen by every buyer in Alabama. However, ForeclosuresDaily.com finds distressed real estate for sale before it gets there: motivated sellers who want to liquidate fast, reached privately and off the MLS.

Pre-foreclosureProbate & pre-probateDivorceTax delinquentAbsentee owners

Get Started →How to find deals ↓

Alabama distressed properties map by area and ZIP code
$330,900
Median listing price (down 1.2%)
48,147
Active listings in Alabama
68 days
Average time on market
$1,550
Median rent (down 3.1%)

Market data: Realtor.com Alabama housing market, October 2026. Zillow Home Value Index for Alabama: $241,613 (up 1.9% from a year earlier), August 2026. View homes on Zillow.

Carolynn Castillo, ForeclosuresDaily.com customer

Customer review 1 of 8Featured success story

Listed and sold 25 properties and personally bought and sold four fix-and-flip properties, all generated from probate leads.

Carolynn Castillo

Realtor & Broker · eXp Realty

Distressed real estate for sale

What is a distressed property?

A distressed property is a home whose owner is under pressure to sell. Usually, the cause is a life event, such as a missed mortgage payment, a death in the family, a divorce, unpaid property taxes, or repairs the owner cannot afford.

The median listing price in Alabama is near $330,000, so a few points of discount decide whether a flip pays. Generally, those points come from motivated sellers whose property is not publicly advertised for sale and not listed on the Multiple Listing Service (MLS). Because there is less competition, you can negotiate wholesale pricing instead of bidding against retail buyers.

In addition, by inventory, its busiest markets right now are Baldwin County, Jefferson County, and Madison County, where more listings mean more owners under pressure.

Alabama real estate investors finding off-market deals
Shannon Thompson, ForeclosuresDaily.com customer

Customer review 2 of 8

Shannon Thompson

Investor · Joe Homebuyer of Atlanta

Watch Shannon Thompson share their experience using ForeclosuresDaily.com.

Step-by-step

How to find distressed properties in Alabama

Foreclosure listing sites show homes after the bank or auction is involved. Therefore, to find a deal first, work earlier in the timeline:

Pick your counties

Initially, start with a few Alabama counties where you know values and have cash buyers ready.

Choose lead types

Next, pick your leads, because probate, pre-foreclosure, divorce, code violation, and tax delinquency leads each signal a different reason to sell.

Use fresh data

Then use ForeclosuresDaily fresh leads, which are updated daily, so that you reach owners before other investors mail them.

Target your marketing

In addition, data targeting your marketing means mail, calls, and texts go only to owners with a real reason to sell.

Run the numbers

After that, estimate the after-repair value (ARV) from nearby sales, and then apply the 70% Rule.

Make a fair offer

Finally, solve the seller’s problem with a quick, as-is cash close, then wholesale or flip the property.

Andrew Litchfield, ForeclosuresDaily.com customer

Customer review 3 of 8

Andrew Litchfield

Webinar host

Andrew Litchfield hosted a ForeclosuresDaily.com monthly webinar for real estate investors.

Anthony Coletti, ForeclosuresDaily.com customer

Customer review 4 of 8

Anthony Coletti

Real estate investor

Watch Anthony Coletti share their experience using ForeclosuresDaily.com.

Find a deal

ARV and the 70% Rule for Alabama flips

Real estate flippers and wholesalers use the after-repair value (ARV) to set their maximum offer. For example, the 70% Rule says to pay no more than 70% of ARV, minus repairs. As a result, that margin covers holding costs, closing costs, and profit for property flipping, or your assignment fee when you wholesale.

For instance, here is the math using the Alabama median listing price as the ARV and an 8% repair budget.

70% Rule example

ARV$330,900
70% of ARV$231,630
Estimated repairs− $26,000
Maximum offer$205,630
Jeremy Resmer, ForeclosuresDaily.com customer

Customer review 5 of 8

Jeremy Resmer

Webinar host

Jeremy Resmer hosted a ForeclosuresDaily.com monthly webinar for real estate investors.

Counties

Alabama counties to target

These are the 10 Alabama counties with the most homes for sale. Next, choose a county from the menu to open its investing data, and then match the market to your strategy.

Baldwin CountyAbove state median$499,000Flip

Baldwin County market snapshot

$499,000 ▼ 1%Median listing price
$326Price per sq ft
87 days ▼ 7.3%Days on market
$2,095 ▲ 7.4%Median rent
5,814 ▼ 7.9%Active listings
5.0%Gross rent yield

In addition, the Zillow Home Value Index is $372,122 (down 0.1% from a year earlier) as of August 2026.

Prices per square foot run higher here than anywhere else on this list. Meanwhile, the median price is down 1% from a year earlier, and inventory is down 7.9%. As a result, higher resale values here reward a well-planned renovation.

Max offer when the ARV equals the median price$499,000 × 70% − $40,000 repairs = $309,300 max offer

Also see the full Baldwin County market report on Realtor.com →Then view Baldwin County homes on Zillow →

Jefferson CountyBelow state median$237,000Flip & wholesale

Jefferson County market snapshot

$237,000 ▼ 2.1%Median listing price
$141Price per sq ft
59 days ▲ 11.1%Days on market
$1,350 ▼ 6.9%Median rent
5,079 ▲ 4.6%Active listings
6.8%Gross rent yield

In addition, the Zillow Home Value Index is $216,676 (up 1.5% from a year earlier) as of August 2026.

Meanwhile, the median price is down 2.1% from a year earlier, and inventory is up 4.6%. Therefore, lower prices keep your cash needs small for wholesale deals and light flips.

Max offer when the ARV equals the median price$237,000 × 70% − $19,000 repairs = $146,900 max offer

Also see the full Jefferson County market report on Realtor.com →Then view Jefferson County homes on Zillow →

Madison CountyAbove state median$350,000Wholesale

Madison County market snapshot

$350,000 ▼ 1.4%Median listing price
$167Price per sq ft
75 days ▲ 8.8%Days on market
$1,700 ▼ 0.3%Median rent
4,530 ▲ 5%Active listings
5.8%Gross rent yield

In addition, the Zillow Home Value Index is $314,156 (up 1.2% from a year earlier) as of August 2026.

Meanwhile, the median price is down 1.4% from a year earlier, and inventory is up 5%. For this reason, prices sit near the area median, so focus on deep discounts from off-market sellers.

Max offer when the ARV equals the median price$350,000 × 70% − $28,000 repairs = $217,000 max offer

Also see the full Madison County market report on Realtor.com →Then view Madison County homes on Zillow →

Mobile CountyBelow state median$266,450Flip & wholesale

Mobile County market snapshot

$266,450 ▲ 0.5%Median listing price
$150Price per sq ft
63 days ▼ 3.1%Days on market
$1,500Median rent
3,090 ▼ 5.9%Active listings
6.8%Gross rent yield

In addition, the Zillow Home Value Index is $197,834 (up 0.3% from a year earlier) as of August 2026.

Meanwhile, the median price is up 0.5% from a year earlier, and inventory is down 5.9%. Because of this, entry prices here leave room for an assignment fee or a quick flip.

Max offer when the ARV equals the median price$266,450 × 70% − $21,000 repairs = $165,515 max offer

Also see the full Mobile County market report on Realtor.com →Then view Mobile County homes on Zillow →

Shelby CountyAbove state median$400,000Wholesale

Shelby County market snapshot

$400,000 ▼ 2.5%Median listing price
$183Price per sq ft
54 days ▲ 4%Days on market
$1,807 ▼ 2.3%Median rent
2,274 ▲ 3.5%Active listings
5.4%Gross rent yield

In addition, the Zillow Home Value Index is $359,967 (up 2.2% from a year earlier) as of August 2026.

Homes sell faster here than anywhere else on the list. Meanwhile, the median price is down 2.5% from a year earlier, and inventory is up 3.5%. Consequently, balanced pricing makes this area a steady source of wholesale deals.

Max offer when the ARV equals the median price$400,000 × 70% − $32,000 repairs = $248,000 max offer

Also see the full Shelby County market report on Realtor.com →Then view Shelby County homes on Zillow →

Limestone CountyAbove state median$399,900Negotiate

Limestone County market snapshot

$399,900 ▼ 4.8%Median listing price
$175Price per sq ft
64 days ▼ 19%Days on market
$1,862 ▲ 3.4%Median rent
2,090 ▲ 7.1%Active listings
5.6%Gross rent yield

In addition, the Zillow Home Value Index is $319,476 (up 0.8% from a year earlier) as of August 2026.

Meanwhile, the median price is down 4.8% from a year earlier, and inventory is up 7.1%. As a result, softer pricing gives you room to negotiate with motivated sellers.

Max offer when the ARV equals the median price$399,900 × 70% − $32,000 repairs = $247,930 max offer

Also see the full Limestone County market report on Realtor.com →Then view Limestone County homes on Zillow →

Lee CountyAbove state median$406,791Negotiate

Lee County market snapshot

$406,791 ▼ 0.9%Median listing price
$198Price per sq ft
64 days ▲ 11.1%Days on market
$1,599 ▼ 27.3%Median rent
1,859 ▲ 26.6%Active listings
4.7%Gross rent yield

In addition, the Zillow Home Value Index is $349,812 (up 4.4% from a year earlier) as of August 2026.

Meanwhile, the median price is down 0.9% from a year earlier, and inventory is up 26.6%. Therefore, sellers here are adjusting to slower demand, so offers below asking get a hearing.

Max offer when the ARV equals the median price$406,791 × 70% − $33,000 repairs = $251,754 max offer

Also see the full Lee County market report on Realtor.com →Then view Lee County homes on Zillow →

Montgomery CountyBelow state median$228,000Negotiate

Montgomery County market snapshot

$228,000 ▼ 8.4%Median listing price
$114Price per sq ft
69 days ▼ 2.8%Days on market
$1,300 ▼ 10.3%Median rent
1,840 ▲ 0.4%Active listings
6.8%Gross rent yield

In addition, the Zillow Home Value Index is $166,373 (up 2.1% from a year earlier) as of August 2026.

Entry prices are lower here than in the rest of the group, so it fits wholesaling and first flips. Meanwhile, the median price is down 8.4% from a year earlier. For this reason, use the extra time on market to negotiate repairs into your price.

Max offer when the ARV equals the median price$228,000 × 70% − $18,000 repairs = $141,600 max offer

Also see the full Montgomery County market report on Realtor.com →Then view Montgomery County homes on Zillow →

Tuscaloosa CountyAbove state median$339,900Negotiate

Tuscaloosa County market snapshot

$339,900 ▲ 1.2%Median listing price
$179Price per sq ft
63 days ▲ 23.5%Days on market
$1,800 ▲ 1.4%Median rent
1,778 ▲ 6.1%Active listings
6.4%Gross rent yield

In addition, the Zillow Home Value Index is $251,855 (up 0.4% from a year earlier) as of August 2026.

Meanwhile, the median price is up 1.2% from a year earlier, and inventory is up 6.1%.

Max offer when the ARV equals the median price$339,900 × 70% − $27,000 repairs = $210,930 max offer

Also see the full Tuscaloosa County market report on Realtor.com →Then view Tuscaloosa County homes on Zillow →

Cullman CountyBelow state median$325,000Wholesale

Cullman County market snapshot

$325,000Median listing price
$175Price per sq ft
75 days ▲ 2.7%Days on market
$1,350 ▼ 8.5%Median rent
1,235 ▲ 6.3%Active listings
5.0%Gross rent yield

In addition, the Zillow Home Value Index is $258,633 (up 3.4% from a year earlier) as of August 2026.

Smallest inventory on the list, so an off-market lead faces little competition. Meanwhile, the median price is up 0% from a year earlier, and inventory is up 6.3%. Because of this, work off-market leads here to find the discount that retail listings lack.

Max offer when the ARV equals the median price$325,000 × 70% − $26,000 repairs = $201,500 max offer

Also see the full Cullman County market report on Realtor.com →Then view Cullman County homes on Zillow →

Choose a county from the menu to see its investing data, then compare markets. Market data: Realtor.com, October 2026, and Zillow Home Value Index, August 2026. Also, gross rent yield is 12 months of median rent divided by the median listing price; the 70% Rule example assumes repairs of 8% of the median price.

Antonio Stringfield, ForeclosuresDaily.com customer

Customer review 6 of 8

Antonio Stringfield

Probate investor · Los Angeles

Watch Antonio Stringfield share their experience using ForeclosuresDaily.com.

ForeclosuresDaily off-market opportunities before your competition

In fact, since 2004, ForeclosuresDaily.com has helped investors, wholesalers, flippers, and agents reach motivated sellers first.

Not on the MLSHomes for sale privately, before any listing.
Less competitionFewer buyers know the property exists.
Fresh leadsNew records added every day.
NationwideTarget any county or ZIP code.

Get Started →

Nancy Wallace-Laab, ForeclosuresDaily.com customer

Customer review 7 of 8

Nancy Wallace-Laab

Investor · nearly 20 years

Nancy focuses on the best outcome for both the seller and the investor, drawing on nearly 20 years of real estate investing experience.

Phillip Warrick, ForeclosuresDaily.com customer

Customer review 8 of 8

Phillip Warrick

Full-time investor since 2003

Full-time real estate investor since 2003, with over 20 years of experience.

FAQ

Alabama foreclosure and distressed property questions

How do I find distressed properties for sale in Alabama?

Initially, start with public-record signals such as pre-foreclosure, probate, divorce, and tax delinquency. ForeclosuresDaily.com gathers these records daily, so that you can contact Alabama owners before the home is listed or sent to auction.

Where can I find foreclosed homes in Alabama?

Bank-owned and auction homes appear on sites like Realtor.com, Zillow, and Auction.com. However, off-market pre-foreclosure leads let you reach owners earlier, while they can still sell on their own terms.

Which counties have the lowest entry prices?

Among the counties in this guide, the lowest median listing prices are in Montgomery County at $228,000, Jefferson County at $237,000, and Mobile County at $266,450, based on Realtor.com data from October 2026.

Where do homes sell fastest?

Shelby County has the shortest average time on market in this guide, at 54 days. As a result, fast markets reward investors who can reach owners before a home is listed.

How do I find distressed properties for wholesale profit?

First of all, focus on owners with equity and a reason to sell quickly. Then run the 70% Rule, and finally line up cash buyers before you sign a contract you plan to assign.

Get Alabama distressed property leads today

Fresh, targeted, off-market data for Baldwin County, Jefferson County, Madison County, and beyond.

Get Started →