Alabama tenant screening & landlord laws

Alabama does not appear to cap tenant screening or rental application fees, and appears to have no statute requiring such fees to be indexed to inflation. Landlords typically charge in the range that covers the cost of a credit and background check, but that is a market practice rather than a legal ceiling. Because no fee cap exists, this guide's coverage here is limited to what the law does not require — landlords should still disclose fees clearly to applicants as a matter of good practice and to reduce dispute risk.

Alabama does not have a state fair-housing regulation specific to the use of criminal history in housing decisions, beyond the general prohibition on discrimination based on the protected classes listed in the Alabama Fair Housing Law (race, color, religion, sex, familial status, national origin, and handicap). Blanket criminal-history bans are not automatically low-risk under the federal Fair Housing Act — the underlying statute has not changed, and courts continue to apply disparate-impact theories independent of HUD's regulations.

Source of income (including housing choice vouchers) is not a protected class under Alabama state law. The Alabama Fair Housing Law lists race, color, religion, sex, familial status, national origin, and handicap as protected categories — source of income is not among them — and the federal Fair Housing Act likewise does not include source of income as a protected class. Birmingham's city council discussed a local amendment that would have added source-of-income protections as of an April 2023 committee announcement, but the ordinance does not appear to have been subsequently enacted; landlords screening in Birmingham should verify the current municipal code status directly with the city before relying on this guide.

Because Alabama has no specific consumer-reporting statute for tenant screening, the federal Fair Credit Reporting Act is the governing framework for pulling and using consumer reports in Alabama rental screening. Under the FCRA, a landlord who takes adverse action based on a consumer report — such as denying an application, requiring a co-signer, or requiring a higher deposit — generally must provide the applicant notice of the adverse action, the name and contact information of the reporting agency, a statement that the agency did not make the decision, and notice of the applicant's right to dispute the report and request a free copy of it. Landlords who use investigative consumer reports (based on personal interviews about character or reputation, rather than just factual records) have an additional disclosure obligation under the FCRA. Alabama has no statute that modifies or adds to these federal requirements.

Alabama caps security deposits at one month's periodic rent, with statutory exceptions for pets, changes to the premises, or increased liability risk to the landlord — meaning the one-month figure is not an absolute ceiling in every case. Under Ala. Code § 35-9A-201:

Alabama does not have statewide rent control, and state law affirmatively preempts local governments from creating it: Ala. Code § 11-80-8.1 prohibits cities and counties from enacting ordinances that control the rent charged on private rental property, with a narrow exception for property the local government itself owns or has a property interest in. There is also no statewide "just cause" eviction requirement — an Alabama landlord may generally decline to renew a lease at the end of its term without stating a reason, subject to the lease terms and fair-housing law.

For terminating a tenancy during the lease term, Ala. Code § 35-9A-421 sets out the notice framework:

Separately, Ala. Code § 35-9A-303 requires a landlord to give a tenant at least two days' notice before entering the unit (posting notice on the door is a permitted method), except in an emergency.

Alabama does not appear to have a statute that restricts reporting of eviction cases a tenant won or that were dismissed or settled — Alabama court eviction filings are generally part of the public record, and sealing a case (where available) typically requires the tenant to petition the district court directly rather than relying on an automatic consumer-reporting restriction.

Birmingham, Montgomery, Huntsville, and Mobile do not appear to have a currently enacted city- or county-level tenant-screening ordinance. Alabama's municipalities generally operate without broad home-rule authority, and the state legislature has in some instances expressly preempted local landlord-tenant regulation — for example, the statewide rent-control preemption at Ala. Code § 11-80-8.1 discussed above. Birmingham's city council did discuss adding source-of-income protections through a local fair-housing amendment (reported as of April 2023), but the amendment does not appear to have been ultimately adopted; some third-party guides also claim Birmingham shortened the state's 60-day security deposit return window to 35 days, but that claim does not appear to be reflected in Birmingham's municipal code, ordinance text, or news sources and should not be treated as accurate without direct confirmation from the City of Birmingham. If you operate in any specific Alabama city or county, it's worth checking current municipal code directly, since local rules can change and city ordinances generally cannot expand tenant protections in ways that conflict with state preemption but can sometimes add narrower local requirements (such as rental licensing) that this guide does not cover in full.

Does Alabama cap security deposits?

Yes, generally. Alabama caps security deposits at one month's periodic rent under Ala. Code § 35-9A-201, though the statute allows a landlord to collect more for pets, changes to the premises, or increased liability risk.

Is source of income a protected class in Alabama?

Not under state law. The Alabama Fair Housing Law's protected classes are race, color, religion, sex, familial status, national origin, and handicap — source of income is not included, and the federal Fair Housing Act does not add it either.

What is the security deposit return deadline in Alabama?

A landlord generally has 60 days after the tenancy ends and possession is returned to send the deposit balance or an itemized list of deductions. Missing that window can generally make the landlord liable for double the original deposit.

Does Alabama have rent control or a just-cause eviction requirement?

No. Alabama has no statewide rent control, and state law (Ala. Code § 11-80-8.1) prohibits cities and counties from enacting their own rent-control ordinances. Alabama also does not have a statewide just-cause eviction requirement; notice and termination procedures instead follow Ala. Code § 35-9A-421.

Checkr can help landlords and property managers in Alabama run FCRA-compliant tenant screening, including credit, criminal, and eviction history checks, along with the adverse action workflow support many landlords rely on. Because Alabama's state-specific landlord-tenant rules are narrower than in some other states, pairing a compliant screening process with attention to fair housing requirements is generally a sound approach. Get started at tenant.checkr.com/signup.

The resources and information provided here are for educational and informational purposes only and do not constitute legal advice. Always consult your own counsel for up-to-date legal advice and guidance related to your practices, needs, and compliance with applicable laws.