Closing on a home in Tennessee
The taxes, the fees, the programs, and the rights Tennessee gives you — whether the industry mentions them or not.
Six things every Tennessee buyer and seller should know
Tennessee charges a realty transfer tax of $0.37 per $100 of the sale price, collected when the deed is recorded. On a $400,000 home that is $1,480 — and WHO pays it (buyer or seller) is negotiable in the contract, not fixed by law. Most Middle Tennessee contracts put it on the buyer by default. You can negotiate it.
Recording a mortgage costs an additional indebtedness tax of $0.115 per $100 borrowed above the first $2,000, plus per-page recording fees that vary by county.
Tennessee does NOT require an attorney to close a real estate transaction. Title companies, escrow companies, and attorneys all close here. Whoever closes yours, you have the right to receive and review your Closing Disclosure at least 3 business days before closing — use them.
Title insurance rates are NOT set by the state in Tennessee. Different companies charge different premiums for the same coverage — you are allowed to shop your title and closing provider, and the loan estimate that says otherwise is wrong.
Property taxes are paid in arrears and prorated at closing. The seller credits you for their share of the year; make sure the proration on your settlement statement uses the right tax amount, not last year's.
The Tennessee Housing Development Agency (THDA) Great Choice Plus program offers down payment assistance to eligible buyers statewide as a second loan — many Middle Tennessee buyers who qualify never hear about it because nobody at the table is paid to mention it.
Middle Tennessee guides
Latest Tennessee reporting
- Wire Fraud Is Hitting 1 in 20 Home Closings. Most Buyers Have No Idea They Are the Target.
Criminals now steal $70,000 or more per incident using AI and spoofed emails. Here is the one rule that stops almost every scheme.
- THDA Just Raised Its Price Cap by $100,000. Here's What That Means for Your First Home in Tennessee.
If you earn under $160,720 and have been priced out of single-family homes in Nashville or Middle Tennessee, this May 2026 change may reopen the door.
- Chattanooga's New $21,000 Down Payment Help: Do You Qualify, and What's the Catch?
The city just launched its biggest first-time buyer program yet. Here's the math, the fine print, and the three steps to take before your next closing.
Worth reading before any closing
- The Rate Lock Math Nobody Walks You Through at Your Closing Table
Before you lock or float down, run these three numbers against your actual loan scenario
- Your $72,000 Down Payment Can Vanish in One Email. Here's the Three-Step Wire Verification Protocol That Stops It.
Wire fraud hit $275.1 million in real estate losses last year. The good news: the fix is a phone call and a face-to-face confirmation.
- Wire Fraud Stole Their Life Savings Three Days Before Closing. Here's How to Protect Yours.
Two buyers lost a combined $274,000 to criminals spoofing their closing attorneys' emails. The scam is growing, your title company has an incentive to keep quiet, and the banks will not help you get it back.
- Criminals Are Forging Your Deed Right Now. Here's How to Catch It Before They Sell Your House.
Title fraud can steal your home while you sleep. The tools to catch it are free and take 20 minutes to set up.
- The Vacant Land Fraud Wave Hitting Home Buyers Right Now
A Randolph, New Jersey couple lost their property to a scammer who sold it for $140,000 while they had no idea. Here's what the FBI is warning about and what you can do before your next closing.
- Your Real Estate Agent's Commission Just Changed. Here's What That Actually Means at Your Closing.
Sellers can now save $50,000 or more on commissions, and buyers must sign agreements before touring homes. But the fundamental incentive problem that got us here hasn't gone away.