Sale by Owner Rules for Alabama Real Estate

By Erin Webb
Sale by owner home sales can save both the buyer and seller in closing costs.
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In Alabama, home owners can decide to sell their home themselves, rather than using a professional real estate agent, usually in order to avoid additional fees. Home owners should keep in mind the rules and regulations to follow during the sale of their home.

Legal Forms

The seller must have all legal papers on hand before showing his home to any potential buyers. In the state of Alabama, the legal papers include an Offer to Purchase, Real Estate Sales Contract, Residential Disclosure Statement, Lead-Based Paint Disclosure and EPA Lead-Based Paint info Pamphlet.

These forms are available for instant download on the U.S. Legal Forms website, under the Alabama forms tab for $39.95.


Have your house appraised. The appraiser will compare the condition of your house to others recently sold, but will add value for unique features and deduct for features that are worn or are in poor condition. An appraisal costs around $500, but can validate the asking price you post on your home if buyers attempt to get you to lower the cost.


After an offer has been made on your house, the potential buyer is responsible for having the house inspected. If the inspection shows problems with the home, the seller must either correct the problem or renegotiate the contract. Neither party can close on the house until the inspection has been done.

Title Company

The buyer and seller must find a title company to legally transfer the ownership of the home. The fee to do this can be split between the buyer and seller or negotiated into the contract.

About the Author

Erin Webb began her writing career in 2002. She writes for various website such as eHow on subjects ranging from health and fitness to parenting and relationships. She obtained her associate degree in journalism from San Jacinto College.