Mortgage payment estimates, closing cost breakdowns, and homebuying data for Dothan, Alabama.
Median Home Price
$175K
Population
71K
Avg Monthly Rent
$950
Property Tax Rate
0.41% *
* Property tax shown is the Alabama state average effective rate. Actual rates vary by county, city, and school district — check with your local assessor for exact rates in Dothan.
Dothan vs Alabama Median
The median home price in Dothan is $175,000, which is 24% below the Alabama state median of $230,000.
Mortgage Calculator — Dothan, AL
Pre-filled with Dothan median home price and Alabama tax/insurance rates. Adjust for your property.
Three down payment scenarios for a $175K home using Alabama's 0.41% tax rate and $1,950/yr insurance.
5% Down
$1,370/mo
Down: $8,750
Loan: $166K
P&I: $1,051
Tax: $60
Insurance: $163
PMI: $97
10% Down
$1,310/mo
Down: $17,500
Loan: $158K
P&I: $996
Tax: $60
Insurance: $163
PMI: $92
20% Down (No PMI)
$1,107/mo
Down: $35,000
Loan: $140K
P&I: $885
Tax: $60
Insurance: $163
Income needed (28% rule): $47K/year with 20% down, $56K/year with 10% down.
Rent vs Buy in Dothan
Rent
$950/mo
vs
Buy (10% down)
$1,310/mo
Price-to-rent ratio: 15.4 — A ratio between 15-20 means the rent vs buy decision in Dothan depends heavily on your timeline. If you plan to stay 5+ years, buying likely wins. For shorter stays, renting preserves flexibility.
The median home price in Dothan is $175,000, 24% below the Alabama state median of $230,000. With a population of 71,072, Dothan is a smaller market where home prices tend to be more accessible than in many parts of Alabama.
Property taxes in Alabama average 0.41% annually. This low property tax rate is a significant advantage for Dothan buyers, keeping your monthly costs well below what you'd pay in higher-tax states. Homeowners insurance in Alabama runs approximately $1,950 per year. This is within the normal range nationally.
Average rent in Dothan is $950/month. The price-to-rent ratio in Dothan is moderate, meaning the buy-vs-rent decision depends heavily on how long you plan to stay.
Dothan offers strong affordability. With median prices under $250K, first-time buyers have realistic paths to homeownership, especially combined with Alabama's Alabama Housing Finance Authority Step Up program.
Run a Rent vs Buy analysis
Compare total costs of renting vs buying in Dothan.