Home Insurance in Fayette, Alabama

Homes in Fayette carry a median value of $122,000 - close to the Fayette County median.

Older homes can cost more to insure or rebuild because of aging wiring, roofing and plumbing. The typical home in Fayette was built around 1972. About 26% of homes were built before 1960, about 6 points above Fayette County's 20%.

In Fayette, the housing stock is 63% single-family homes, 19% apartments in buildings with 5+ units and 4% mobile or manufactured homes. The rest are 2-4 unit or other housing types. Mobile and manufactured homes typically need a manufactured-home (HO-7) policy rather than a standard homeowners policy.

About 43% of owner-occupied homes in Fayette have a mortgage. Lenders require hazard (homeowners) insurance on any home carrying a mortgage.

The vacancy rate is 28%; vacant or unoccupied homes typically need a different coverage form than an owner-occupied policy. About 56% of occupied homes in Fayette are owner-occupied.

58% of homes in Fayette are primarily heated with electricity.

Fayette County had 25 active NFIP flood policies as of September 2026. Its top FEMA-rated hazard is strong wind (Relatively Moderate). See the full Fayette County home insurance overview for all FEMA hazard ratings and flood coverage details.

According to the NAIC homeowners insurance report (2023 data), a standard HO-3 homeowners policy in Alabama carries a statewide average premium of $1,906 per year.

Key figures

Median home value$122,000
Median year built1972
Owner-occupied share56%
Share of owner-occupied homes with a mortgage43%
Top county hazardStrong Wind (Relatively Moderate)
Active NFIP policies in Fayette County25
Home insurance premium$1,906 - statewide average (NAIC, 2023 data)
Key home insurance figures for Fayette, AL

Nearby towns

Sources

Data last updated: 2026-09-29