Contents
  • So What's the Whole Adverse Possession Thing About?
  • The 20-Year Thing (Except When It's Not)
  • What Do Squatters Actually Have to Prove?
  • Does Paying Taxes Even Matter?
  • Can They Just... Change Stuff on Your Property?
  • What Kinds of Property Are We Talking About?
  • How Do You Actually Stop This From Happening?
  • Okay So You Found Squatters - Now What?
  • What If You Sell Property That Has Squatters On It?
  • The Liability Stuff Nobody Wants to Talk About
  • That Color of Title Shortcut Explained
  • Real Stories I've Actually Seen Play Out
  • What You Really Need to Remember

Alabama Squatters’ Rights & Adverse Possession Laws - 2025

Okay, so squatters' rights. I know what you're thinking - how is this even legal? Someone can literally just move onto your property and eventually... own it?

Yeah. It is wild. And in Alabama, the laws are actually more permissive than in a lot of other states which makes it even more important for property owners to understand what they are dealing with.

I have been in property management long enough to see this play out in ways you would not believe. Let us get into it.

So What's the Whole Adverse Possession Thing About?

Adverse possession is the legal term, but everyone just calls it squatters' rights. Basically, it is this ancient legal concept that says if somebody occupies your land for long enough and they meet certain specific conditions they can actually end up owning it. Even though you are the one with the deed.

Sounds completely backwards, right?

The idea comes from way back when, and it was meant to encourage people to actually use land instead of just letting it rot. If you own property but you completely ignore it for decades while somebody else is living there, maintaining it and improving it well, eventually the law might say that person deserves it more than you do.

Fair or not fair, that is debatable. My personal opinion, it is pretty harsh on property owners who might have legitimate reasons for not actively using their land. But it is the law in Alabama and basically every state has some version of it.

The 20-Year Thing (Except When It's Not)

Here is how it works in Alabama. A squatter has to occupy your property continuously for 20 years before they can make a legal claim to ownership. That is two full decades.

Except, and this is a big except, if they have what is called "color of title" then it is only 10 years.

The color of title means they've got some kind of paperwork that makes it look like maybe they own the place, even if that paperwork is actually bogus. It could be a messed up deed, some tax sale document with errors or inheritance papers that aren't quite right. The document doesn't have to be legit or even recorded anywhere. It just has to exist and look somewhat official.

This comes straight from Alabama Code § 6-5-200 if you want to read the actual statute, though I'll warn you it's pretty dry reading.

I've actually seen this happen where someone had a botched property sale document from like 30 years ago, kept living on the land, and boom - after 10 years they claimed it successfully. The original owner had no idea this was even possible. By the time they found out it was already too late.

What Do Squatters Actually Have to Prove?

So it is not like someone can just camp on your property for 20 years and automatically own it. There are specific legal requirements they have to meet. The possession has to be all of these things:

Actual possession means they're physically there using the property. Not just occasionally walking through it. They need to be living on it, doing maintenance, treating it like their own home or land.

Open and notorious is lawyer-speak for "obvious." They can't be hiding or sneaking around. Anyone who looks, including you the owner, should be able to tell someone is occupying the property. If they are trying not to get caught that does not count.

Exclusive means they're not sharing it with you or a bunch of other people. They have to be the ones in control, keeping everyone else out.

Hostile doesn't mean they are being aggressive or mean. In legal terms, it just means they are there without your permission. If you said they could be there - even casually like "yeah sure, stay there for a while" - then they're not really a squatter anymore. They're more like a tenant or a guest.

Continuous means they have to be there the entire time without big gaps. Going on vacation for a couple of weeks is probably fine. Leaving for a year? That breaks the chain, and the clock resets.

Under claim of right basically means they are acting like they own the place not just temporarily squatting.

The Alabama Supreme Court has ruled on these requirements before and they are pretty strict about needing all of them. Miss even one element and the whole claim can fail.

Does Paying Taxes Even Matter?

This surprises a lot of people - in Alabama, squatters don't actually need to pay property taxes to claim adverse possession.

I know some states require it. Alabama doesn't. As long as they meet all those other requirements I just went through, they can potentially take ownership without ever paying a dime in taxes on the property.

Now paying taxes definitely helps their case look stronger. It shows they're treating the place like it's theirs. But not paying taxes won't automatically kill their claim, which confuses property owners all the time. People think "well they're not paying taxes so obviously they can't take my land." Wrong assumption.

Do not let that fool you into thinking you are safe. Alabama Code § 40-10-83 talks about how tax payment can strengthen an ownership claim but it is not mandatory for adverse possession to work.

Can They Just... Change Stuff on Your Property?

Yep. And this is honestly one of the most frustrating parts for property owners.

While squatters are living on your land, they can make improvements. Repairs, landscaping, adding buildings, whatever they want. They might even make the property worth more. But here's the kicker - if you manage to evict them before they hit that 20-year mark (or 10 with color of title), everything they did belongs to you. They get zero compensation.

So the squatter's basically taking a huge gamble. They're putting time and probably money into property they don't legally own yet, betting that they'll stick it out long enough to claim it through adverse possession. If they don't make it? All that work and money is just... gone. You get it all.

But flip that around - if they DO successfully claim adverse possession after all that time, congratulations, you just lost your property and all those improvements they made.

And if they trash your property while they're there? Good luck getting any money out of them for damages. Even if you eventually kick them out, trying to collect from someone who was squatting on your land is pretty much impossible. They usually don't have assets worth going after, and you'd spend years in court trying to collect anyway.

This is why property insurance is so critical. You need coverage for vandalism and tenant-related stuff. We always push this at Hemlane because I've seen too many landlords get absolutely burned when squatter situations blow up and they're stuck with a disaster to fix out of pocket.

What Kinds of Property Are We Talking About?

Alabama's pretty loose about what can be claimed through adverse possession. We're talking basically any real property:

  • Houses and residential property
  • Vacant lots
  • Farmland
  • Commercial buildings
  • Even just part of a property, like if someone's squatting in your backyard

Alabama Code § 35-6-1 lays this out - almost anything can potentially be claimed.

The only real exception is completely wild land that's never been developed, cultivated, or enclosed. You can't just wander into the middle of nowhere forest and claim it after 20 years. There has to be some indication of boundaries and actual use.

But other than that? Alabama's one of the more permissive states about this stuff. If you own any kind of property here - doesn't matter if it's developed or not - you need to be paying attention.

How Do You Actually Stop This From Happening?

Prevention is way, way easier than dealing with an adverse possession claim 15 years down the road. Here's what actually works in real life:

Check on your property regularly. I am talking, if you own vacant land or a house you are not living in, go look at it. Once a month is ideal. Every few months at a minimum. Just showing up proves you are actively owning it plus you will catch problems before they become disasters.

Put up "No Trespassing" signs. Make them big and visible and put them at every spot where someone could access your property. Under Alabama Code § 13A-7-4, proper signs show you are not permitting anyone to be there. If somebody's on your land after seeing those signs they are clearly trespassing, period.

Fence it if you can. Physical barriers not only keep squatters out but they also make it super clear where your property boundaries are. It's a visible way of showing ownership.

Keep the place maintained. Mow grass, trim bushes, fix broken stuff. Properties that look abandoned are like magnets for squatters. If it looks like someone actually cares about the placethen people think twice before moving in.

Get to know the neighbors. If you are not around much, having neighbors who will call you if they see sketchy stuff happening is invaluable. Give them your number and tell them to reach out if anything looks off.

Jump on it immediately if you find squatters. The second you discover someone living on your property without permission, start the eviction process. Do not wait around or try to have a friendly conversation about it. Every single day that goes by is one more day toward their potential adverse possession claim.

The absolute worst thing you can do is ignore it and hope it resolves itself. It will not, rather it will get worse.

Okay So You Found Squatters - Now What?

Let's say you drive out to check on your property and peopleare living there. Or you notice someone has been camping on your vacant land. What do you do in that case?

First thing: Do not try kicking them out yourself. I have seen property owners think they can just show up and force people to leave. Bad idea on multiple levels, legally and safety-wise. You need to go through proper legal channels.

Step 1: Serve them with a Notice to Quit

This is a formal written document telling the squatters they need to leave your property. In Alabama, you usually give them anywhere from 7-30 days depending on the situation. The notice has to include:

  • The names of everyone you know are occupying the place
  • The property address
  • A clear demand that they leave
  • A specific deadline

You can hand-deliver this notice, post it on the property or send it certified mail. Keep documentation that you served it because you will need proof later.

Step 2: File an eviction lawsuit

When the squatters don't leave by the deadline - and let's be honest, they usually don't - you file an eviction case at your local district court. You'll need to:

  • Fill out complaint paperwork
  • Pay a filing fee which is usually $100to $300 ad varies by county
  • Prove you're the legal owner
  • Show that you properly served the notice to quit

Alabama Code § 6-6-310 spells out what you need to establish - basically that you own it and they have no legal right to be there.

Step 3: Court hearing happens

The squatters get notified about the court date. Sometimes they show up and try to argue they have a right to be there. Sometimes they do not show up at all. Assuming you clearly own the property and they do not have any legitimate clai, the judge should rule in your favor and issue an order for them to get out.

Step 4: The Sheriff removes them

If the squatters still refuse to leave even after the judge orders them out the sheriff's office will physically remove them. They will also haul out the squatters' belongings which typically get stored somewhere for a little while before getting tossed.

The whole thing usually takes somewhere between 2-6 weeks in Alabama, though it can stretch longer if the squatters fight it hard or if the court's backed up with cases.

What if they are doing illegal stuff?

If you discover the squatters are dealing drugs, vandalizing things, making threats and whatever call the police right away. But understand that even if they get arrested, you still have to go through the formal eviction to keep them from coming back. Criminal charges and civil eviction are totally separate things.

Getting a local real estate attorney involved is smart especially for your first time dealing with this. They will make sure you are following all the right procedures. One screwup in the paperwork can delay the whole thing by weeks.

What If You Sell Property That Has Squatters On It?

This is tricky and catches people by surprise all the time. If you sell property with squatters on it, their adverse possession claim doesn't just disappear. Whatever time they've already been there transfers over to the new owner.

Let me give you an example. Say someone has been squatting on your land for 15 years and you sell it. The new owner inherits that whole situation. Those squatters only need 5 more years to hit the 20-year mark for adverse possession. Selling the property does not reset anything.

Alabama law says squatters' rights attach to the property itself, not to you personally as the owner. This is in Alabama Code § 6-5-200.

This is exactly why title searches and actually visiting properties before buying them matters so much. You need to know if there are squatter issues before you close on the deal. A title company should catch most problems, but physically going to look at the property yourself is always smart.

And if you're selling - if you know about squatters, you legally have to tell potential buyers. Trying to hide it can land you in massive legal trouble later.

The Liability Stuff Nobody Wants to Talk About

Here's something that doesn't come up enough: what happens if a squatter gets injured on your property? Or what if they cause damage?

If the squatter gets hurt:

This gets messy real fast. Alabama has premises liability laws, which means property owners have certain responsibilities to people on their land even trespassers. If you knew about dangerous conditions on your property and did not fix them, you might be liable if a squatter gets injured.

That said, you owe way less duty of care to trespassers than to people you invited onto your property. If the squatter was being reckless or went somewhere obviously dangerous, your liability is pretty limited. Alabama Code § 35-15-1 basically says your duty to trespassers is just not to intentionally hurt them.

Still - it's a grey area and every situation's different. One more reason to get squatters out fast and keep your property in decent shape.

If the squatter causes damage:

Can you sue them for trashing your property? Sure, technically. Practically speaking? Good luck actually getting any money.

Most squatters don't have assets you can go after. You might win a $10,000 judgment for damages, but collecting that money is a whole other story. You could spend years trying to collect and end up with nothing anyway.

This is where having solid property insurance becomes absolutely critical. Vandalism coverage, liability protection - you need these. I see property owners at Hemlane who tried to save money on insurance get completely destroyed when squatter situations go sideways.

That Color of Title Shortcut Explained

I mentioned this earlier but it's worth really digging into because people get confused about it all the time.

"Color of title" just means the squatter has some document - even a totally flawed one - that makes it look like they might own the property. Common examples I've seen:

  • A deed that has mistakes or missing signatures
  • Tax sale paperwork from a sale that wasn't done properly
  • A quitclaim deed from somebody who didn't actually own the property
  • Inheritance documents that are incomplete or being contested

If a squatter has any document like this - doesn't matter if it's obviously wrong or defective - they might be able to claim adverse possession after just 10 years instead of the full 20.

Alabama Code § 6-5-200 says this shortened timeframe applies when someone has "color of title made in good faith."

Why does Alabama do this? The thinking is if someone has paperwork suggesting they might own it - even flawed paperwork - and they're acting on that belief in good faith by living there and maintaining it, the law should resolve the uncertainty faster.

Practically speaking, this means you really can't ignore your property. Ten years goes by way faster than you think, especially with vacant land.

Real Stories I've Actually Seen Play Out

Let me tell you about a few real situations that might help make this concrete:

The inherited land situation:

Guy inherited about 40 acres of timber land from his grandfather. He never actually went to see it, didn't even know exactly where the property was located. Meanwhile one of the neighbors had been farming part of that land for years because they thought the property line was in a different spot. By the time the owner figured out what was going on, the neighbor had a pretty strong claim to about 5 acres. They ended up settling it outside of court because fighting an adverse possession case after that much time is expensive and unpredictable.

The vacant rental:

Landlord had a rental house that sat empty after a nightmare tenant situation. Got busy dealing with other properties and didn't check on the vacant one for a couple years. Squatters moved in, changed all the locks, even got utilities put in their names somehow. When the owner finally showed up planning to list it for sale, it took three months and a bunch of legal fees to get them out. And they'd trashed the place - we're talking thousands in damage. Just a complete mess.

The tax sale gone wrong:

Somebody bought a property at a tax sale, but the notification process had been screwed up somehow which made the sale technically invalid. They had no idea about this and moved onto the property thinking they legitimately owned it. Fixed it up, lived there for 11 years. Original owner eventually tried to reclaim it, but the person living there had color of title from that defective tax sale. After 10 years with color of title, they successfully claimed adverse possession through the courts. Original owner lost the property completely.

These aren't rare edge cases. This stuff happens more than you'd think. And almost always it could've been prevented if the owner had just been checking on their property.

What You Really Need to Remember

Alabama's adverse possession laws are legit, and they really can result in you losing property if you're not paying attention. But honestly most of these cases could've been avoided if the owner had just kept tabs on what was happening.

Here's what actually matters:

  • Standard timeframe is 20 years for adverse possession (10 if they have color of title)
  • All those possession requirements have to be met - actual, open, notorious, exclusive, hostile, and continuous
  • Paying taxes isn't required for squatters to make their claim
  • Pretty much any type of property can be claimed through adverse possession in Alabama
  • Selling the property doesn't reset the clock - time already accrued transfers to the new owner
  • Act fast when you discover squatters - literally every day counts
  • Follow the legal eviction process - don't try to remove them yourself

If you own rental properties or any vacant land in Alabama, checking on them regularly and jumping on any unauthorized occupation immediately is your best protection. The legal system is ultimately set up to favor people who actively use property over owners who abandon it and ignore it.

Property management platforms like what we use at Hemlane can help you stay organized and keep track of everything, but at the end of the day the responsibility's on you to know what's happening with your land and act quickly when something's wrong.

This article gives you general information about Alabama's adverse possession laws but it's not legal advice. If you're dealing with actual property disputes or squatter situations, talk to a qualified Alabama real estate attorney about your specific case.

Get the Latest in Real Estate & Property Management!

I consent to receiving news, emails, and related marketing communications. I have read and agree with the privacy policy.

Recent Articles
Delinquency Reports are now available in Hemlane!
Delinquency Reports are now available in Hemlane!
The 12 "Free" Property Management Tools of 2025: The Brutally Honest Take
The 12 "Free" Property Management Tools of 2025: The Brutally Honest Take
More Articles
Popular Articles
How to Handle Tenants with Pets and Support Animals
How to Handle Tenants with Pets and Support Animals
What Every Landlord Must Know About Fair Housing
What Every Landlord Must Know About Fair Housing
Featured Tools
Finding and Selecting the Best Tenant
For a $2,000 monthly rental: 1. You lose $1,000 if you have your rental on the market for 15 additional days. 2. You lose $1,000+ for evictions. Learn how to quickly find and select a qualified tenant while following the law.
More Tools

The Future of Property Management

We handle the work. You collect the cash.

Get Started