Each step below is drawn from Alabama statute, not general advice. The exact sale dates, platform, and deposit amounts are set county by county, so confirm the specifics on your county page before you register.
New here? Most beginners start with a certificate (the lien path). The deed steps below apply once you hold a certificate long enough to force a sale, or you bid directly at a tax deed auction. Not sure which is for you? Start with tax lien vs tax deed.
Learn the timeline and lien priority
Alabama property taxes become due and payable on October 1 each year and become delinquent if they are not paid before January 1 following. Under Section 40-1-3 the state holds a lien on every parcel from October 1 for the taxes assessed against it, and the county and any municipality hold like liens. Those tax liens are superior to all other liens, which is what makes an Alabama tax lien certificate senior collateral. Understand this before you commit any money.
Find the advertised delinquent list
Before the certificate sale, the County tax collecting official (the revenue commissioner, tax collector, or equivalent office) advertises the delinquent parcels. The tax lien auction is held no earlier than March 1 and no later than June 15 of the current ad valorem tax year, between 8:30 a.m. and 4:00 p.m. on the auction date. The tax collecting official must notify each delinquent taxpayer at least 30 days before the auction by first class mail plus newspaper advertising, an official online posting, or courthouse posting, and must prepare the tax lien auction list at least 30 days ahead. Pull that list for your target county and shortlist the parcels worth researching.
Register, deposit, and bid the rate down
Register on the county's certificate-sale platform and fund the required deposit. At the sale you bid the interest rate down: it opens at the statutory maximum of 12 percent, and the lowest rate wins. A redeemed certificate pays at least a 0 percent floor, unless you bid it down to 0 percent, which earns nothing but secures the right to force a tax deed later.
Collect interest or wait out redemption
The tax lien certificate bears the interest rate per year that the purchaser bid at auction, or agreed at a private sale, until the lien is redeemed or foreclosed. Statutory fees the holder pays in connection with the certificate are added to the redemption amount and carry the same rate. Interest on liens that draw no bid keeps accruing at the rate charged on delinquent real property taxes. Alabama sets no minimum return, so the bid rate is the whole return. A tax lien can be redeemed at any time before the circuit court enters judgment in a foreclosure action, and the holder cannot file that action until four years after the auction or the tax official's private sale. If the holder does not commence a foreclosure action within ten years of the auction or sale, the certificate expires and the lien becomes void. A certificate holder has no right to enter or possess the property, make repairs, or charge rents before it receives the circuit clerk's deed. In a county that uses the Article 1 property tax sale instead, land sold to a purchaser other than the state may be redeemed within three years from the date of sale, and land bid in for the state may be redeemed at any time before title passes out of the state. To redeem, the owner pays The redeemer pays the tax collecting official the total delinquent tax, interest, penalties, fees (excluding lost certificate fees) and costs shown on the tax lien certificate, including the cost of a title report obtained for a foreclosure and quiet title action, plus interest at the rate stated on the certificate, plus any other taxes, interest, penalties, fees and costs then due and owing. Statutory fees the holder paid also carry the certificate rate. The certificate of redemption itself costs ten dollars. If redemption happens after a foreclosure action has been filed, the court can also order the redeemer to repay the holder's reasonable costs and attorney fees. If they redeem, that payoff is your return; if they never do, the certificate becomes your path to the property.
Or buy over the counter
You do not have to wait for an auction. Liens that draw no bid at the auction stay with the county and keep accruing interest at the delinquent-tax rate. At any time after the auction date the tax collecting official may sell an unsold lien at private sale for no less than all taxes, interest, penalties, costs and fees due, plus any amount payable to a prior certificate holder who did not exercise the first right to purchase. The interest rate on a private sale is the rate agreed with the tax collecting official and cannot exceed 12 percent, so an over-the-counter lien often carries the full rate rather than a bid-down rate. Every private sale is entered in the county record of tax lien auctions and sales. Alabama has no Lands Available list. In a county that uses the Article 1 property tax sale, land bid in for the state is listed by the state Land Commissioner, and after three years any unredeemed portion may be sold at private sale for at least the amount the state bid plus 12 percent per year, together with the taxes accrued since the sale plus 12 percent per year. Beginning January 1, 2025 the Land Commissioner may also sell state-held land by online public auction through a contracted auction company once five years have passed since the sale to the state, for the best price obtainable.
One more step: clear the title
Winning a tax deed does not hand you marketable title. Before you can resell to a normal buyer or insure the parcel, you will usually need a quiet title action, which takes months and costs money. Fold that cost into your maximum bid and read what you actually own after a tax deed before you bid. A tax deed also does not wipe out everything: select governmental and municipal liens can survive, and a federal tax lien carries a 120-day IRS redemption right, so check what survives a tax deed too.
New to this? Start with tax lien vs tax deed and the full Alabama walkthrough, then value a parcel with the due diligence guide.
Steps verified Jul 25, 2026 against Alabama statutes.
Tax Sale Atlas publishes educational information about public tax sale processes. This is not legal, financial, or investment advice. Rules, dates, and fees change; confirm with the county office before you bid.