Tennessee guide
Tennessee condo buying checklist
Buying a Tennessee condo means buying into a building governed by a condo statute but no HOA statute, with a reserve study now required but funding not, an escalating storm-insurance market, and no state regulator behind any of it. That puts the weight on the documents and on you.
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This checklist separates what the association must deliver under §66-27-503 (condos) from what you should demand on your own, and centers the questions that decide most Tennessee deals: whether the property is a condo or an HOA, what the master insurance actually covers (and whether its wind/hail deductible blocks financing), whether reserves are funded behind the building's storm-stressed needs, and whether any special assessment or developer-transition issue is coming. Tennessee's 10-business-day delivery rule helps, but there is no general statutory rescission, so use your contract's review window deliberately.
Determine the framework first: condo or HOA
The first Tennessee question is classification, because it changes the rules. A condominium falls under the Condominium Act of 2008 (for projects created on or after January 1, 2009) or the older Horizontal Property Act (pre-2009), which carry a statutory insurance mandate (§66-27-413), a reserve-study requirement (§66-27-403(g)), a resale-information package (§66-27-503), and meeting and records rules. A planned-community HOA has no governing statute at all — it runs on its recorded CC&Rs plus the Tennessee Nonprofit Corporation Act, with no statutory reserve, disclosure, insurance, or open-meeting protection. For a condo, also determine the creation date, because it decides which statute governs. Confirm the framework before you apply any rule.
Documents the association must provide
For condominiums, under §66-27-502–503 the association must provide, on written request within 10 business days (or at least 10 business days before closing), the governing documents and amendments, the most recent balance sheet, income statement, and budget — including the reserve disclosure and where any study is available — 24 months of board and member minutes, the unit's and association's assessment and delinquency status, an insurance statement, disclosures of unsatisfied judgments and pending suits, the association-wide total of units more than 60 days past due, and whether the declarant still controls the board. Treat the required package as the floor — and remember Tennessee grants no general statutory rescission, so use your purchase contract's review window to act on what it reveals. Planned-community HOAs owe no statutory package, so request the equivalent by contract.
Documents you should request proactively
Tennessee's biggest risks live beyond the statutory floor, so request them yourself: the master-insurance declarations page, recent loss history, and the premium and wind/hail deductible trend; the full §66-27-403(g) reserve study and any funding plan, since funding is not mandated; current and prior budgets versus actuals; two to three years of minutes for special-assessment, insurance, and litigation discussion; the §66-27-415(h) binding statement of unpaid assessments on the unit; the management contract (no CAM licensing in Tennessee); engineering, roof, garage, and — for older Memphis masonry — seismic condition reports; any association loan documents; and the recorded amendments governing short-term rentals (read for an express minimum-lease term after Pandharipande). For an HOA, request a status or estoppel letter, reserve information, budget, minutes, insurance, and a litigation summary, none of which are owed by statute. Also pull FEMA flood maps for the building and parking.
The questions that decide the Tennessee deal
For every Tennessee condo, answer a few questions before you commit. Is it a condo or an HOA, and (for a condo) which statute governs by creation date? Does the master insurance actually cover the building — is property coverage at least 80% of replacement cost (§66-27-413), is the wind/hail deductible high enough to threaten financing, and is the policy in surplus lines (no FAIR Plan)? Are reserves funded for the storm-stressed roof, cladding, and glazing, or near zero despite a study? Is any special assessment approved or pending, and for a new Nashville or Chattanooga tower, is the developer transition complete before the 4-year defect repose clock runs? Read everything together — the reserve amount against the budget, the insurance statement against the declarations page, and the assessment line against the minutes. The buyers surprised by a five-figure Tennessee assessment usually had the documents but did not read them together, or did not use their contract's review window in time.
Tennessee legal references
- T.C.A. §66-27-503 — Condominium resale information package; 10-business-day delivery
- T.C.A. §66-27-413 — Condominium master insurance (≥80% replacement)
- T.C.A. §66-27-403(g) — Reserve-study requirement (effective Jan 1, 2024)
Informational only. Not legal advice. Always confirm against current statute and counsel.
Need help applying these Tennessee statutes to your specific situation? We can connect you with state-licensed counsel and specialists familiar with this exact regulatory environment.
Find a Tennessee specialist →Reviewer's checklist
- Determine whether the property is a condominium or a planned-community HOA — the framework differs
- For a condo, determine the creation date (2008 Act vs. Horizontal Property Act)
- Confirm the §66-27-503 package was delivered within 10 business days / 10 days before closing
- Calendar your contract's review window — there is no general statutory rescission
- Pull the master-insurance declarations page; check the wind/hail deductible and 80%-replacement floor (§66-27-413)
- Confirm whether the master policy is standard or surplus-lines (no FAIR Plan), and the premium trend
- Read the disclosed reserve amount and the §66-27-403(g) study against the budget's reserve contribution
- Request 24 months of minutes, the delinquency snapshot, and the §66-27-415(h) unpaid-assessment statement
- Request engineering / roof / (West TN) seismic reports and confirm developer-transition and repose status
- Read the recorded amendments for any minimum-lease term (STR rights post-Pandharipande) and pull FEMA flood maps
Want this same review on your actual documents? We do it free, with page citations you can verify.
Get My Free Risk Report →Source documents
- Declaration & bylawsthe rules
- Budget & financialsthe money
- Reserve studythe big repairs
- Meeting minuteswhat the board fears
Cross-reference
The risk lives in the contradiction between documents.
An assessment in the minutes but not the estoppel; a reserve the budget never funds.
Risk report
Severity-graded across 8 categories.
Every finding cites the document, page number, and quoted text.
How CondoSignal reviews this
We read the reserve study, operating budget, and 24 months of meeting minutes together — tennessee condo buying checklist risk usually lives in the contradiction between documents, not in any single one of them. Every finding cites the source document, the page number, and the quoted text behind it.
See our 8-category framework →Risk Intelligence
Review the documents before your contingency ends
Most buyers get 7–14 days to review condo documents. Upload the packet — we read the reserve study, budget, minutes, and insurance summary and flag the risks, every finding linked to the exact page. Free.
Expert Matching
Need a real estate lawyer or mortgage specialist?
We can connect you with vetted real estate lawyers, mortgage brokers, and insurance brokers familiar with the specifics of condo and HOA transactions.
- HOA lawyer
- Mortgage broker
- Insurance broker
Related risk areas
Read these next to round out your due diligence
Condo Resale Certificate Review
In Texas, a resale certificate is the statutory document that gives a prospective condo or HOA unit buyer a snapshot of the association's financial and legal standing at the moment of sale.
Condo Insurance Requirements
Most condo buyers spend more time choosing their unit's paint colors than understanding how insurance works in a condominium.
Reserve studies
A reserve study tells you what the association expects to spend on long-term capital repairs and replacements, and whether it is funding those obligations adequately.
Related reading
Guides for Tennessee buyers and owners
The Complete Condo Buying Checklist (2026)
A four-phase due diligence framework — pre-offer through post-closing — covering documents, fees, reserves, insurance, lender requirements, and governance risk.
Buying a Tennessee Condo or HOA: Why Your Own Diligence Carries the Load
Tennessee lightly regulates condos and barely regulates HOAs at all. Here is what the state does and doesn't require — and the documents you must demand yourself before closing.
What to Look for in Condo Documents: A Buyer's Complete Guide
A resale package contains roughly a dozen documents. Learn what each one discloses, what most buyers overlook, and which sections to read closely before you close.
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Reviewed by Kirk Hasley, Founder. Every claim here is checked against current Tennessee statute and primary sources, using the same documented review framework we run on every file. Last reviewed June 13, 2026.
FAQ
Frequently asked questions
Risk Intelligence
Review the documents before your contingency ends
Most buyers get 7–14 days to review condo documents. Upload the packet — we read the reserve study, budget, minutes, and insurance summary and flag the risks, every finding linked to the exact page. Free.
Expert Matching
Need a real estate lawyer or mortgage specialist?
We can connect you with vetted real estate lawyers, mortgage brokers, and insurance brokers familiar with the specifics of condo and HOA transactions.
- HOA lawyer
- Mortgage broker
- Insurance broker