Chattanooga landlord rules are set almost entirely in Nashville, not at City Hall: because Hamilton County is large enough to fall under Tennessee’s Uniform Residential Landlord and Tenant Act (URLTA), state law governs deposits, late fees, notices and evictions, and it blocks local rent control. What the city adds is mostly property maintenance enforcement, short-term rental permits and a fair housing program, so an apartment owner’s compliance checklist is shorter than in many states but has little room for improvisation.
This guide walks through the parts of the state act that matter most to owners of five-plus-unit buildings, how eviction cases move through Hamilton County General Sessions Court, the local codes that still apply, and the newest legislative changes that took effect in 2025 and 2026.
Why the URLTA governs Chattanooga apartments
Tennessee’s landlord-tenant act does not apply statewide. Section 66-28-102 says the chapter “applies only in counties having a population of more than seventy-five thousand (75,000), according to the 2010 federal census.” Hamilton County counted 336,463 residents in 2010, according to the University of Tennessee’s County Technical Assistance Service, so every rental unit in Chattanooga is covered.
The same section also limits local rulemaking. In covered counties, the URLTA “occupies and preempts the entire field of legislation concerning the regulation of landlords and tenants,” and a county may not enact or enforce rules that conflict with it or add to it. For owners, that means the core rules for leasing an apartment in Chattanooga are the same rules that apply in Nashville, Knoxville or Memphis. The full text of the act is easiest to read on Justia’s copy of Tennessee Code Title 66, Chapter 28.
The city itself remains sizeable and growing, which keeps the stakes of getting these rules right high. The Census Bureau’s QuickFacts for Chattanooga and Hamilton County show:
- 181,099 residents in the 2020 Census and an estimated 194,144 on July 1, 2025.
- An owner-occupied housing rate of 52.4% for 2020–2024, which means close to half of Chattanooga households rent.
- A median gross rent of $1,256 a month for 2020–2024, almost identical to Hamilton County’s $1,253.
- 79,084 households and a median household income of $64,523 for 2020–2024.
Rent levels and the state ban on rent control
Tennessee does not leave rent regulation to local choice. Under Tennessee Code § 66-35-102, a local government “shall not enact, maintain or enforce an ordinance or resolution that would have the effect of controlling the amount of rent charged for leasing private residential or commercial property.” The text of § 66-35-102 also bars cities and counties from requiring below-market rental units or from conditioning zoning approvals and permits on them. Voluntary incentive programs are still allowed, and the statute lets a person who loses money because of a prohibited requirement sue for actual damages.
In practice, a Chattanooga owner sets rent through the lease and the market. There is no local cap on renewals, no registration of rent levels and no required notice beyond what the lease and the termination rules below demand. The practical limits come from elsewhere: the retaliation section of the URLTA, fair housing law and the terms of any affordable-housing financing or voucher contract attached to a particular building.
Late fees and the five-day grace period
Late fees are one of the most precisely defined parts of the act. Section 66-28-201(d) sets a five-day grace period that includes the due date, so rent due on the first can be paid through the fifth without a fee. If the fifth day falls on a Sunday or a legal holiday, no late fee may be charged when the tenant pays on the next business day.
Once the grace period passes, the fee “shall not exceed ten percent (10%) of the amount of rent past due.” On a $1,256 monthly rent, roughly the city’s median, that caps a one-time late fee at about $125.60.
Common ways owners trip over this section:
- Charging a daily late fee that, added up over a month, exceeds 10% of the past-due rent.
- Starting the fee on the second or third of the month because the lease says rent is “late” after the first.
- Calculating the fee on the full monthly rent when the tenant has paid part of it; the cap is tied to the amount past due.
- Forgetting the Sunday and holiday rule when the fifth lands on a weekend.
Property management software usually has a Tennessee setting, but it is worth checking the configuration against the statute when a portfolio changes hands or a new manager takes over.
Security deposits from move-in to move-out
Where the money has to sit
Section 66-28-301 requires landlords to keep security deposits in an account “used only for that purpose” at a state- or federally regulated bank or lending institution. When the tenant signs the lease and pays the deposit, the landlord must tell the tenant where that account is held, though not the account number.
For a building purchase, this is a diligence item. A buyer should confirm that the seller’s deposits actually sit in a dedicated account, that the balance ties to the rent roll, and that the money transfers at closing along with written notice to tenants of the new account location.
The move-out inspection
The act lays out a specific move-out process. The landlord inspects the unit on the day the tenant vacates or within four calendar days afterward. If the tenant asks for a mutual inspection, both parties walk the unit and compile a comprehensive list of presently ascertainable damage that will be charged against the deposit, with the estimated repair cost. Signatures on that itemized list are treated as conclusive evidence of its accuracy, subject to the statute’s exceptions. A tenant who refuses to sign must state specific objections in writing.
The landlord may inspect alone in several situations, including when the tenant leaves without written notice, abandons the unit or is removed by court order.
Refunds and unclaimed deposits
Section 66-28-301 does not set a fixed number of days for returning a deposit. Instead, the landlord sends written notice of the amount to be refunded, and if the tenant does not respond within 60 days, the landlord may keep the deposit. The statute also sets a short window for discovering physical damage, tied to the earlier of 30 days after the tenant moves out or seven days after a new tenant moves in.
For a property with steady turnover, that second window is the one that matters. Make-ready crews should document damage on the first walkthrough rather than waiting until a new resident reports it.
Entry, notices and ending a tenancy: Chattanooga landlord rules in practice
Access to units
Section 66-28-403 does not set a general advance-notice period for routine entry. Tenants may not “unreasonably” refuse entry, and the landlord may enter without consent in an emergency. During the final 30 days of a tenancy, the landlord may show the unit to prospective tenants or buyers with 24 hours’ notice, but only if the lease grants that right.
Because the statute is general, the lease does most of the work. Owners who want a predictable process for maintenance entries, inspections and showings should spell out the notice they will give, and then follow it consistently.
Notice for unpaid rent and other breaches
Section 66-28-505 is the backbone of most Chattanooga eviction cases:
- For a breach that can be fixed, including unpaid rent, the tenant has 14 days after receiving written notice to remedy it before the rental agreement terminates.
- For a breach that cannot be fixed, the agreement may terminate no sooner than 14 days after notice.
- For a repeat breach of the same kind within six months, the landlord may terminate on at least seven days’ written notice.
Section 66-28-517 allows a much shorter, three-day notice in serious situations: a willful violent act, conduct that poses a real and present danger to others, a tenant creating a hazardous or unsanitary condition, or an unauthorized occupant who refuses to leave. The notice must describe the violation specifically, and a landlord who uses it in bad faith can be liable for the tenant’s actual damages plus attorney’s fees.
Month-to-month and week-to-week tenancies
Under § 66-28-512, a week-to-week tenancy ends with 10 days’ written notice and a month-to-month tenancy with 30 days’ written notice before the periodic rental date. Owners often encounter these tenancies after a lease expires without renewal, so it is worth identifying them on the rent roll before sending any notice.
Retaliation
Section 66-28-514 bars a landlord from raising rent, reducing services, or bringing or threatening a possession action because a tenant complained to the landlord about a violation covered by the act or used remedies the act provides. The landlord can still seek possession if the tenant caused the problem or is behind on rent. Documentation is the practical safeguard: a rent increase or non-renewal that follows a maintenance complaint should rest on a written, consistently applied reason.
What owners must tell tenants in writing
Section 66-28-302 requires the landlord, or anyone signing leases on the landlord’s behalf, to disclose in writing at or before the start of the tenancy the name and address of the manager and of the owner or the owner’s agent for receiving legal notices. Public Chapter 907 of 2024 added a requirement to provide a phone number or email address for maintenance requests, or access to an online portal. The change applies to leases entered into, amended or renewed on or after January 1, 2025.
That matters most after an acquisition. A new owner who keeps the seller’s lease forms without updating the disclosure block can be out of compliance on every renewal. A short addendum at the next renewal, naming the new owner entity, the management company and the maintenance contact, solves the problem.
How evictions move through Hamilton County
Eviction cases in Chattanooga are filed as detainer warrants in the Civil Division of Hamilton County General Sessions Court, at 600 Market Street, Room 110. The court’s General Sessions Civil FAQ lays out several points owners should know:
- Detainer suits may be filed “for an unlimited amount,” so back rent can be sought in the same case.
- A corporation filing suit must be represented by an attorney, so owners filing through a business entity should plan on using counsel.
- A writ of possession cannot issue “until the eleventh day from the judgment date.”
- Either side may appeal within ten days.
The same FAQ also refers to a 30-day notice (10 days for weekly rent) before a detainer warrant is issued, which does not match the 14-day framework in § 66-28-505. Owners should have counsel confirm which notice the court expects for their situation rather than assume one or the other.
Filing costs follow a schedule that took effect at the start of 2026. Hamilton County’s General Sessions civil fee schedule, effective January 1, 2026, lists $271.25 for a detainer warrant against one defendant, $52 for each additional defendant and $77 for a writ of possession. Two adults on a lease therefore cost $323.25 to file against before any writ.
A newer state law also affects the process. Public Chapter 657 of 2026 bars publishing or broadcasting video of someone being served eviction papers without that person’s written permission and lets the person filmed sue. It took effect April 1, 2026, and is worth passing along to any process server or staff member who might otherwise post such footage.
Local codes that still apply to rental buildings
State preemption covers the landlord-tenant relationship, but Chattanooga still enforces rules about the condition and use of property.
Minimum housing and property maintenance
The city’s Code Enforcement program enforces minimum housing standards for existing buildings, along with litter and overgrowth rules such as the 10-inch limit on grass height under City Code § 18-162. Enforcement is complaint-driven, starting from reports made through 311 or (423) 643-6311. The city’s code enforcement page does not describe a rental registration or routine rental inspection program, so the first contact many owners have with an inspector follows a tenant or neighbor complaint.
Statewide, Tennessee’s landlord registration statute, § 66-28-107, applies only to metropolitan governments in counties of more than 500,000 people, which does not include Hamilton County. A 2025 bill, HB0648, would have allowed any city or county to require landlord registration for a fee of up to $10 a year, but it was taken off notice on March 19, 2025, and was not enacted.
Short-term vacation rentals
Owners who consider furnishing a few units for short stays need a city permit. Chattanooga’s short-term vacation rental rules require a certificate that is renewed every year, with a $250 fee for a “homestay” rental, where the owner lives on site at least 183 days a year, and $500 for an “absentee” rental. Absentee rentals are allowed only in certain commercial and form-based zones, and the certificate must be posted. For most apartment buildings, that zoning limit decides whether short-term use is an option at all.
Fair housing
The city runs a fair housing program under a Fair Housing Opportunities Ordinance that mirrors federal law. It lists seven protected classes: race, color, religion, national origin, sex, disability and familial status. Complaints are referred to the Tennessee Human Rights Commission. Source of income is not among the listed classes, but federal disability and familial status protections still shape screening policies, reasonable accommodation requests and occupancy standards.
A compliance checklist for Chattanooga owners
The rules above translate into a short list of things to confirm before the next lease signing or acquisition:
- Late fees start no earlier than the sixth day, respect the Sunday and holiday rule and never exceed 10% of the amount past due.
- Security deposits sit in a dedicated account, tenants have been told where, and the balance matches the rent roll.
- Move-out inspections happen within four calendar days, with itemized damage lists and estimated costs.
- Lease forms include the § 66-28-302 owner, manager and maintenance-contact disclosures required since January 1, 2025.
- Notice templates match the 14-day, 7-day and 3-day frameworks, and counsel has confirmed the notice the local court expects before filing.
- Any short-term rental use has a city certificate and sits in an eligible zone.
- Screening and accommodation policies line up with the city ordinance and federal fair housing law.
What these rules mean for owners and buyers
Chattanooga’s legal environment is predictable for apartment owners. Rent levels are set by the market, the state act fixes most procedures, and the city has not layered on a rental registry or routine inspection program. The flip side is that the URLTA’s specific numbers, such as the five-day grace period, the 10% cap and the four-day inspection window, are easy to verify and easy for a tenant’s attorney to cite, so small operational habits carry real legal weight.
For buyers, the diligence work centers on paperwork: deposit accounts, lease disclosures, notice templates and any pending detainer cases in General Sessions Court. For owners planning an exit, tenants in place stay protected by their leases through a sale, which our guide to selling a rental property with tenants in place covers in more detail. Owners weighing a sale can see how we approach the local market on our page about selling an apartment building in Chattanooga, and our Tennessee market overview covers other cities across the state.
