Real Estate Legislative Updates from Alabama's 2025 Session

Several new laws were signed during Alabama’s 2025 legislative session that impact real estate, development, and property rights:

Zoning Appeals Reform (HB-218)

Signed into law in May 2025, HB-218 standardizes the appeals process for decisions made by municipal zoning boards of adjustment. Supported by Alabama REALTORS®, the bill, designed to offer more predictability for property owners, sets a 30-day deadline for appeals to circuit court and clarifies filing procedures.

Abandoned Road Reversion (SB-42)

SB-42 clarifies how adjoining property owners can petition for the reversion of abandoned roads. The law allows applications to the state, county, or city for the return of the right-of-way. A key exception was added to protect property owners who would lose access to their land if the road were deeded back.

HVAC Warranty Transfer (HB-95)

Effective May 14, 2025, this law ensures that when a home is sold, any remaining manufacturer’s warranty on the HVAC system automatically transfers to the new owner—offering added protection for buyers.

Vehicle Restrictions on Submerged Land (SB-171)

Passed on May 21, 2025, SB-171 bans the use of motor vehicles—including trucks and ATVs—on submerged lands in both navigable and non-navigable waterways. The law aims to prevent trespassing via creek beds. Exceptions apply for landowners, those with written authorization, and utility providers. Violations may result in criminal penalties.

Residential Construction Permit Fee (HB-335)

Backed by the Alabama Homebuilders Association, HB 335 was signed into law and authorizes local governments to add a fee of up to $20 to each residential construction or renovation permit. Proceeds will go to the Alabama Construction Trade Academy Fund to support skilled labor training for the homebuilding industry.