In addition to his directorial work he has released 9 records on Jagjaguwar, most recently with his band Spokane in 2007.

The Comedy (2012), a departure from the subtle form and subject matter of Alverson’s previous films, starred cult-comic Tim Heidecker in his first dramatic role. The film’s subject matter and refusal to cast moral judgment on its characters were considered controversial. It examined the flawed idea of an attainable American utopia, a concept recurrent throughout Alverson’s work. Heidecker played Swanson, an upper class, white male confrontationally attempting to define the limitations of the world around him. The third film to be executive produced and funded by the independent record label Jagjaguwar, The Comedy premiered in U.S. dramatic competition at the 2012 Sundance Film Festival.

His fourth feature, Entertainment (2015), starring Gregg Turkington, also cast comedic actors in a dramatic context, exploring the relationship between viewership and performance. Both formally and visually his most ambitious to date, the film garnered high praise from critics upon its U.S. premiere at Sundance. It premiered in international competition at the Locarno Film Festival. The Guardian called it “a road trip to the center of a harrowing abyss.” Magnolia Pictures released Entertainment in November 2015 to further critical praise.

Alverson’s first films were considered neorealist in style because of their use of non-actors and unscripted dialogue, as well as their immigrant, working class subject matter. His first, The Builder (2010), featured co-writer Colm O'Leary in his debut performance as an Irish immigrant struggling to reconcile the American ideal and its manifestation in the real world. Premiering at Rotterdam Film Festival, New Jerusalem (2011), his second feature, starring Colm O'Leary and Will Oldham, again considered the immigrant experience, this time through the lens of religious ideology.