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Selling a house with tenants in Tennessee.
Tennessee's landlord-tenant rules depend on where the home is, so the first step in selling a rented house is knowing which rules cover your county.
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How it works in Tennessee.
Tennessee's Uniform Residential Landlord and Tenant Act, found at T.C.A. 66-28, doesn't apply statewide. It covers the more populous counties, including Davidson, Shelby, Knox, Hamilton, Rutherford, Williamson, and others. In counties outside the Act, the lease and general Tennessee law carry more weight. Either way, reading the current lease closely is the starting point, because its terms usually shape what happens when the home is sold.
In covered counties, the Act lets a landlord show the home to prospective buyers with the tenant's consent, which the tenant may not unreasonably withhold. When the home sells to a good-faith buyer, the seller transfers the security deposit to the buyer and is relieved of later obligations once written notice is given. A Tennessee real estate attorney can confirm how these rules fit your lease and county.
Tennessee specifics
What to know in Tennessee.
The Act covers certain counties
Tennessee's Uniform Residential Landlord and Tenant Act applies only in counties above a population threshold set in T.C.A. 66-28-102. Covered counties include Anderson, Blount, Bradley, Davidson, Hamilton, Knox, Madison, Maury, Montgomery, Rutherford, Sevier, Shelby, Sullivan, Sumner, Washington, Williamson, and Wilson.
Showings need reasonable consent
Under T.C.A. 66-28-403, a landlord may show the home to prospective or actual buyers, and the tenant may not unreasonably withhold consent. Entry can't be used to harass a tenant, so coordinating showing times politely goes a long way.
Final-month access rules
The Act allows entry to show the home to prospective tenants near the end of a lease if the lease says so and the tenant gets advance notice. Showings to buyers at other times rely on the tenant's consent.
Security deposit moves to the buyer
Under T.C.A. 66-28-305, unless otherwise agreed, a landlord who sells to a good-faith buyer transfers the security deposit to the buyer. After written notice of the sale, the seller is relieved of liability for later events under the lease and the Act.
Owner contact info follows the sale
Covered landlords must give tenants the name and address of the owner or agent for notices, and T.C.A. 66-28-302 extends that duty to any successor landlord. After a sale, the tenant should receive updated contact details.
This is general information, not legal or tax advice. Rules can change and every situation is different, so confirm the details for your case with a Tennessee attorney or the appropriate office.
Your options
There is more than one path.
List with an agent, occupied or after the lease ends
An agent can market the home to the widest group of buyers and coordinate showings with your tenants. Waiting until the home is vacant opens it to buyers who want to live there, but it may mean a period with no rent. Selling while occupied keeps income coming but can make showings harder.
Offer the tenants a chance to buy
Your tenants already know the home and may want to stay for good. If they can get financing, this can be a smoother sale with less disruption for everyone. In some places tenants have specific rights when a rental is sold, so check local rules either way.
Explore offers from investors and professionals
Some investors look for rentals they can keep operating with the current tenants. Through a platform like Doorbloom, you can describe the property and lease situation, hear from interested professionals, and choose whether to talk to anyone. Compare any offer with what a listing might bring before deciding.
How it works
Three clear steps.
- 1
Tell us about your home
Share the address, condition and your timeline. It takes about a minute, and we only ask what is needed for the next step.
- 2
Review who is interested
Real estate investors and professionals review your home. You see who they are before anyone gets your contact details.
- 3
Choose your next step
Talk to the people you want, compare your options, or decide not to sell. There is no pressure and no obligation.
Questions
Questions from Tennessee homeowners.
Does a lease end when a house is sold in Tennessee?
Generally, a sale doesn't cancel an existing lease on its own, and the buyer steps into the landlord's role. In counties under the landlord-tenant act, the security deposit transfers to the buyer. An attorney can review your lease for any terms about sale or early termination.
How much notice does a Tennessee landlord need to give to show a house?
In counties covered by the Act, showings to buyers require the tenant's consent, which can't be unreasonably withheld. Near the end of a lease, the Act also allows showings to prospective tenants with advance notice if the lease provides for it. Giving clear notice and flexible times helps everyone.
What happens to the security deposit when a rental is sold in Tennessee?
Under T.C.A. 66-28-305, unless otherwise agreed, the seller transfers the deposit to a good-faith buyer and is relieved of later liability after written notice. Keep records of the deposit and the transfer.
Does the Tennessee landlord-tenant act apply in my county?
It applies only in Tennessee's larger counties, such as Davidson, Shelby, Knox, Hamilton, and Rutherford. If your county isn't covered, the lease and general Tennessee law govern, and a local attorney can explain the differences.
Is Doorbloom buying my house?
No. Doorbloom is a platform that connects Tennessee homeowners with real estate investors and professionals. Any offer comes from them, and nothing is binding until you sign a purchase agreement.
What does it cost?
Creating an account and telling us about your home is free for homeowners.
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