.webp)
Renting out your home in Knoxville can be a great way to build passive income and protect your investment property. Whether you’re moving out of your family home, purchasing a second property, or relocating for work, the rental market in Knox County and surrounding areas offers solid opportunities for landlords.
That said, successful property rental doesn’t happen overnight. It requires preparation, legal compliance, and ongoing commitment to both the property and your tenants. This guide walks you step-by-step through the process of renting out your home in Knoxville, while highlighting local market factors and best practices.
Key Takeaways
Tennessee landlords must follow state and federal housing laws, including habitability standards and fair housing compliance.
Accurate rental pricing is critical—research the Knoxville market to stay competitive.
Property preparation makes a big difference, from safety to curb appeal.
Thorough tenant screening is essential to avoid costly issues down the line.
Ongoing property management is just as important as getting it rented—maintenance, communication, and compliance are key.
Step 1: Understand Your Legal Responsibilities in Knoxville
As a landlord in Knoxville, you’ll need to follow the Tennessee Uniform Residential Landlord and Tenant Act (URLTA) as well as federal housing laws. Key requirements include:
Habitability: Landlords must provide safe, sanitary, and livable conditions. That includes working plumbing, heating, and electrical systems.
Fair Housing Compliance: Federal and state laws prohibit discrimination based on race, religion, sex, disability, familial status, or national origin.
Security Deposits: Tennessee law does not place a limit on the amount a landlord can charge for a security deposit. However, you are required to follow a legal deadline of 30 days to return the deposit minus any deductions.
Notice Periods: Landlords must provide 30 days’ written notice to end a month-to-month lease. Tenants must provide the same notice.
Right of Entry: Landlords must give at least 24 hours’ notice before entering the property for non-emergency reasons.
Understanding these legal responsibilities protects you from disputes and ensures compliance with Tennessee law.
Step 2: Research the Knoxville Rental Market
Before deciding on a rental rate, look closely at what other landlords in Tennessee are charging. Consider:
Property Type: Tennessee has a mix of single-family homes, duplexes, and small apartment buildings. Single-family homes in good school districts are often in high demand for families.
Location: Proximity to employers, schools, and shopping areas impacts rental desirability.
Market Demand: Check local rental listings on Zillow, Apartments.com, and regional property management sites. In Knoxville, well-maintained two- and three-bedroom homes are especially popular.
Affordability: Consider the local median income when setting rent. Charging too much risks longer vacancy periods.
For example, if similar homes in your neighborhood rent for around $1,200/month, pricing yours at $1,800 may cause delays in finding tenants. A competitive, realistic price keeps your property occupied and generating income.
Step 3: Prepare Your Property for Tenants
Presentation and functionality matter. Before listing your property, make it tenant-ready:
Repairs: Fix leaky faucets, cracked windows, squeaky doors, and any safety concerns
Curb Appeal: Trim the lawn, clear debris, and make the entryway inviting—first impressions matter in Knoxville's tight-knit community.
Deep Cleaning: Hire a professional cleaner to make kitchens, bathrooms, and floors spotless. Clean properties rent faster and to better tenants.
Upgrades: Consider modern touches like fresh paint, updated lighting, or energy-efficient appliances. These upgrades can justify a slightly higher rent.
Safety Checks: Ensure smoke detectors and carbon monoxide detectors are installed and working, per Tennessee safety requirements.
A property that feels well-cared-for attracts tenants who are more likely to care for it in return.
Step 4: Decide How You’ll Manage the Rental
Landlords in Knoxville have two options: self-manage or hire a property management company.
Self-Management: You’ll handle everything—marketing, showings, lease paperwork, tenant communication, maintenance, and rent collection. While this can save money, it’s time-consuming and requires legal and market knowledge.
Professional Property Management: Companies like Asset Realty Management provide full-service solutions, including marketing, tenant screening, maintenance coordination, rent collection, and legal compliance. For many landlords, especially those living outside of Knoxville or owning multiple properties, this option provides peace of mind and reduces stress.
Step 5: Market Your Knoxville Property
Once your property is ready, it’s time to attract tenants. Strong marketing includes:
Professional Photos: Highlight your home’s best features with high-quality images.
Compelling Listings: Include detailed descriptions of bedrooms, bathrooms, amenities, and location highlights. Knoxville renters often value proximity to schools, parks, and shopping.
Advertising Platforms: Post on Zillow, Trulia, Apartments.com, and Facebook Marketplace. Local community groups on social media are also popular in Tennessee towns.
Local Connections: A yard sign or referral from a local agent can still be highly effective in communities like Knoxville.
Well-marketed properties reach a larger audience and rent faster.
Step 6: Screen Tenants Thoroughly
Tenant selection is one of the most important steps in protecting your property and rental income. Screening should include:
Credit Checks: Verify financial responsibility.
Employment Verification: Ensure tenants can afford rent—typically, income should be at least three times the monthly rent.
Background Checks: Look for any criminal history that may pose risks.
Rental History: Contact previous landlords to ask about payment reliability and property care.
Skipping this step may result in problem tenants who don’t pay rent or cause damage.
Step 7: Create a Strong Lease Agreement
Your lease agreement is the foundation of your landlord-tenant relationship. It should clearly outline:
Rent amount, due dates, and late fees.
Lease term (month-to-month or fixed-term).
Security deposit terms and conditions.
Maintenance responsibilities (who handles lawn care, snow removal, etc.).
Rules regarding pets, smoking, or alterations.
Notice requirements for ending the lease.
In Tennessee, a clear, detailed lease helps prevent disputes and ensures both parties understand their rights and obligations.
Step 8: Collect and Protect Security Deposits
In Tennessee, landlords may collect up to one month’s rent as a deposit, plus an additional amount for pets. You must:
Provide a written receipt.
Return the deposit within 14 days of move-out, minus allowable deductions.
Include an itemized list of any deductions (e.g., for damages or unpaid rent).
Following these steps keeps you compliant with Tennessee law and builds tenant trust.
Step 9: Manage the Tenancy Effectively
Once tenants move in, ongoing management is crucial:
Rent Collection: Use secure systems to ensure timely payments.
Maintenance: Respond quickly to repair requests. A well-maintained property reduces turnover.
Routine Inspections: Conduct regular inspections (with proper notice) to catch small problems before they become big issues.
Record Keeping: Keep organized records of payments, communications, and repairs.
Successful landlords balance professionalism with responsiveness. Tenants who feel respected and supported are more likely to stay long-term.
FAQs
How much can I increase rent in Knoxville, TN?
Tennessee does not have rent control, but increases must comply with lease terms. Rent can only be raised at the end of a lease agreement or with proper notice for month-to-month tenants (generally 30 days).
Do I have to allow pets in my rental?
No, landlords can choose to prohibit pets. However, service animals and emotional support animals are exceptions under federal fair housing law.
What happens if a tenant stops paying rent?
Tennessee law allows landlords to serve a 7-day notice to pay or quit. If the tenant doesn’t comply, landlords may begin formal eviction proceedings through the local court.
Your Next Chapter as a Landlord in Knoxville
Renting out your home in Knoxville can provide steady income and long-term financial security. By understanding landlord laws, setting the right rental price, preparing your property, screening tenants carefully, and managing the tenancy effectively, you’ll set yourself up for success.
At Asset Realty Management, we specialize in helping landlords throughout Tennessee manage their properties with ease. From marketing and tenant screening to rent collection and maintenance, we handle the details so you can enjoy the benefits of being a landlord without the stress.
If you’re ready to rent out your home in Knoxville our team is here to guide you every step of the way. Contact us today!
