How Much Does Cost To Build A House In Alabama?

Last Updated on April 5, 2022 by hmdcadmin

Alabama is home to some significant landmarks from the civil rights movement in America, and this is a southeast state of the US.

Alabama is known for its southern hospitality, peanuts, college football, and beautiful beaches on the gulf coast. The football matches between the Universities of Alabama are so famous. 

You can enjoy great weather by living in Alabama. The state has inland waterways, including forests, and great natural beauty. The real estate price and living costs of Alabama are very affordable. There are plenty of employment opportunities available in the state, and its education system is highly rated. 

The crime rate in Alabama is very low, and the police forces of the state are so tight. So it is one of the safest places to build a house and live there. It is 4% cheaper to build a house in the overall state of Alabama than the national average.

Average cost for buiding a house in Alabama

$267,500 can be the approximate cost to build a house in Alabama, US. Depending upon the square feet size, location, type of design, the cost per square foot can be from $100 to $160. You may have to spend around $201,100 to $309,990 to build a 2000 square feet house. 

Average costs By Size and type of houses in Alabama 

1. To build a 1,200 square feet house in Alabama, you have to spend around $120,090 to $240,100, approximately

2. To build a 1,500 square feet house in Alabama, you have to spend around $150,110 to $299,900, approximately

3. To build a 2,000 square feet house in Alabama, you have to spend around $200,090 to $400,100, approximately

4. To build a 2,500 square feet house, you have to spend around $249,900 to $500,000, approximately

Based on the homebuilder’s choice, regional material, and local labour cost, the construction of a four-bedroom house in Alabama may cost you upto $200,100 to $400,100 approximately. 

You might be interested to take a look also the Cost To Build A House In Pennsylvania.

How can you build your own house in Alabama?

Here are some steps to build a house in Alabama – 

1.Choose the foundation

As per your need, you can choose the foundation of your home. You have to select a raised perimeter foundation if you decide to do a crawlspace. Concrete piers should be used in this process to support the load-bearing walls and floors. Concrete is the most commonly used material for floor foundation. For the warmer climate of Alabama, you can choose a monolithic slab.  

2.Searching for the perfect neighbourhood and lot

You have to search for your desired lot where you will build your house. You can search local newspapers for vacant lots or research the local area physically. It would be best if you chose many nearby schools, medical, and markets. 

3.Selection of the style of your house

The style of your home depends on your desire. It may be a country cottage, a southern-style mansion, or a covered, wrap-around porch. The cost will vary depending on the style. 

4.Make or buy a house plan

According to your desire and the space of your home, you can search for a house plan. House plans should fit your needs. For searching plans, you can search on the internet or take help from any hardware store. To narrow down the choices, decide how many bathrooms and bedrooms you want in your house. 

5.Hire a contractor

Hire a reputable contractor for your building project. He can provide you with several quotes for projects. To verify the building license of your contractor to find professional home builders, the Home Builder Association of Alabama will help. With the help of competition in the market, you can get better quotes. 

6. Apply for CLC  

To fund the construction of your home at any Alabama credit union or bank, you have to apply for a CLC (construction line of credit). You can also search for a local financial institution for funding. To fit the CLC, you can downgrade some elements of your building plan in case the cost of the plan is more than the budget. On the other hand, you can also upgrade the CLC if you want to build a bonus room or garage. 

The cost to build a house in Alabama depends on the construction grade.

Before we give you an approximate cost based on grade, we researched well on the local market and consulted with some reputable home builders in Alabama.

Depending on the construction grade, $100 to $230 per square foot can be the average cost of building a house in Alabama. Land cost and site work cost are not included in the above cost.

As per your chosen grade

  • To build a house with a standard grade construction in Alabama will cost around $95 to $135 per square foot approximately.
  • To build a house with a premium grade of construction in Alabama will cost you around $130 to $165 per square foot approximately.
  • To build a house with a luxury grade of construction in Alabama will cost you around $160 to $230 per square foot approximately. 

Some expensive part of building a house

  • Window and doors – $11,100
  • Foundation cost – $16,990
  • Framing cost – $28,500
  • Siding cost – $9,070
  • Plumbing cost – $10,950
  • Electrical cost – $10,210


Suppose you want to build your own house and settle in the state of Alabama. In that case, you can prefer to build a house in Huntsville, Evergreen, Auburn, Scottsboro, Tuscaloosa, Montgomery, Selma, Jasper, Anniston, etc.; in these places, the living cost is lower than the national average. Bellamy is the most expensive city in Alabama.   

To save money, you can wisely choose a builder, set a budget, choose a small footprint, consider the aesthetic, and save money where you can. If you have insufficient money, buy a mortgage according to the need. Pay the permit fees in time to avoid multi-inspection and extra expenses.