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Alabama · Ala. Code §§35-1-1, 35-1-1.1Alabama Property Protection Act: which foreign buyers are barred and from which land

Alabama's starting rule is open: an alien, resident or not, may buy, hold and sell real and personal property like a native citizen (Ala. Code §35-1-1). The Alabama Property Protection Act carves out foreign principals – the government or any government official of China, Iran, North Korea or Russia (not Taiwan), a political party or party member of those countries, and any country or government on a U.S. Treasury OFAC sanctions list (§35-1-1.1(b)(3)–(4)). A foreign principal may not acquire title to, or a controlling interest in, agricultural and forest property, or real property on or within 10 miles of a military installation of at least 10 contiguous acres or a critical infrastructure facility – a chemical plant, refinery, power plant, water or wastewater plant, LNG terminal, telecom switching office, gas processing plant, seaport, aerospace or spaceport infrastructure, or airport (§35-1-1.1(b)(1)–(2), (5), (c)). The ban applies to acquisitions on or after August 1, 2023 (§35-1-1.1(d)). Title insurers, title agents, real estate licensees and other settlement providers aren't liable for a violation (§35-1-1.1(e)).

The rules

  1. 1. General rule (§35-1-1)

    Aliens may buy and sell property like citizens.

  2. 2. Who is barred (§35-1-1.1(b))

    Governments, officials and ruling parties of China, Iran, North Korea and Russia; OFAC-sanctioned governments.

  3. 3. Which land (§35-1-1.1(c))

    Farm and forest land; land within 10 miles of a military installation or critical infrastructure.

  4. 4. Timing (§35-1-1.1(d))

    Acquisitions on or after August 1, 2023.

  5. 5. Settlement providers (§35-1-1.1(e))

    Not liable for a violation.

What the TC can do

  • Note whether the property is farm or forest land or near a base, airport, seaport or plant.
  • If the buyer may be a foreign government or official, flag it to the agent and the closing attorney before the contract.

Questions about Alabama's foreign ownership law

Can a foreign citizen buy a house in Alabama?

Yes. Aliens may take, hold and sell property like native citizens (Ala. Code §35-1-1); the 2023 Act bars only foreign principals – governments, officials and ruling parties of China, Iran, North Korea and Russia and OFAC-sanctioned governments – and only from farm and forest land and land near military or critical infrastructure (§35-1-1.1).

Is the closing agent liable if a barred buyer gets Alabama land?

No. Title insurers, title agents, real estate licensees and other settlement providers aren't liable for a violation (Ala. Code §35-1-1.1(e)).

Related guides

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Source: Code of Alabama §§35-1-1 and 35-1-1.1 (alison.legislature.state.al.us, read October 28, 2026).

General information, not legal advice. Whether a buyer is covered is a legal question for an attorney in that state. ClosingCode is software; it is not a law firm or title company. This guide is not a substitute for the advice or services of an attorney.