Bill > SB244

This bill, effective October 1, 2026, amends Alabama law to increase the mortgage recording fee, with a portion of the revenue directed to the Alabama Housing Trust Fund. Specifically, the bill doubles the privilege or license tax levied on instruments like mortgages and deeds of trust that secure debt, from $0.15 to $0.30 for every $100 of the initial indebtedness or fraction thereof. The bill also revises how these collected taxes are distributed: 5% will go to the judges of probate who collect them, 25% to the Alabama Housing Trust Fund, 33% to county treasuries, and 37% to the State Treasury, with provisions for prorating county distributions if property is located in multiple counties. Additionally, it clarifies penalties for violations and updates language regarding the recording of deeds with unpaid purchase money and extensions of debt.

Budget and Finance

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