Mortgage Rates in Fairhope, AlabamaMarch 2026

Updated March 2026 | Based on Fairhope market data and regional lending conditions

30-Year Fixed
6.59%
15-Year Fixed
5.83%
Median Home Price
$385,000
Est. Monthly Payment
$2,107

Fairhope is a growing city in Alabama with a population of 22,477. The current 30-year fixed mortgage rate in Fairhope is 6.59%, which is 0.06% below the national average. With a median home price of $385,000 and a 20% down payment of $77,000, homebuyers can expect a monthly principal and interest payment of approximately $1,966.

Current Mortgage Rates in Fairhope, AL

Below are the current average mortgage rates available in the Fairhope area as of March 2026. Rates vary by lender, credit score, and loan-to-value ratio. Use our free calculator above to see your personalized estimate.

Loan TypeRateNational AvgDifference
30-Year Fixed6.59%6.65%-0.06%
15-Year Fixed5.83%5.89%-0.06%
5/1 ARM6.09%6.15%-0.06%
FHA6.19%6.25%-0.06%
VA5.99%6.05%-0.06%
Jumbo6.79%6.85%-0.06%

Fairhope Housing Market Overview

The Fairhope housing market reflects moderate demand with prices near the national average. The median household income in Fairhope is $65,000, and the cost of living index is 98 (national average = 100). Based on the 28% affordability rule, you would need an income of approximately $90,300 to comfortably afford the median-priced home in Fairhope, which exceeds the current median household income.

Population
22,477
Median Income
$65,000
Property Tax Rate
0.44%
Cost of Living
98
Down Payment (20%)
$77,000
Income Needed
$90,300

Monthly Payment Breakdown for Fairhope

Based on the median home price of $385,000 with 20% down ($77,000), here is what you can expect to pay monthly in Fairhope:

Principal & Interest (30-yr at 6.59%)$1,966
Property Tax$141
Estimated Insurance$96
Total Estimated Monthly$2,203

15-Year vs. 30-Year Mortgage in Fairhope

Choosing a 15-year mortgage in Fairhope at 5.83% instead of a 30-year at 6.59% would save you $244,980 in total interest over the life of the loan. However, your monthly payment would be $2,571 instead of $1,966 — an increase of $605 per month.

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Frequently Asked Questions About Mortgages in Fairhope

What are the current mortgage rates in Fairhope, AL?

As of March 2026, the average 30-year fixed mortgage rate in Fairhope, Alabama is 6.59%, while the 15-year fixed rate is 5.83%. FHA loans average 6.19% and VA loans 5.99%. These rates are 0.06% below the national average of 6.65%.

How much is a monthly mortgage payment in Fairhope?

Based on the median home price of $385,000 with 20% down, the estimated monthly mortgage payment in Fairhope is $1,966 for principal and interest. Including property taxes of $141/month, the total monthly housing cost is approximately $2,107.

What income do I need to buy a home in Fairhope?

Using the 28% rule, you would need an annual income of approximately $90,300 to afford the median-priced home in Fairhope at $385,000. The median household income in Fairhope is $65,000. This means most households would need to either earn above the median or consider homes below $385,000.

Is Fairhope a good place to buy a home in 2026?

Fairhope offers a below-average cost of living with a cost of living index of 98 (national average = 100). The property tax rate in Alabama is 0.44%, which is below the national average. Fairhope has a population of 22,477 and offers a balanced lifestyle.

Mortgage Rates in Other Alabama Cities

Birmingham, AL
6.77% | $115,000
Huntsville, AL
6.77% | $265,000
Mobile, AL
6.77% | $145,000
Montgomery, AL
6.77% | $155,000
Tuscaloosa, AL
6.77% | $215,000

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Last updated: March 2026. Rates are approximate averages based on regional lending data for the Fairhope, Alabama area. Individual rates may vary by lender, credit score, loan amount, and other factors. Use our free calculator for a personalized estimate.