06/22/2026
‼️ATTENTION MIDDLE TENNESSEE REAL ESTATE AGENTS & LENDERS ‼️
Tennessee's new title law (Public Chapter 769) takes effect July 1, 2026, and there's a lot of misinformation going around. Here's an accurate, plain-English rundown of what it does — and what it doesn't.
Most of what you may have heard is overblown. The day-to-day reality:
• Split closings are NOT going away. The buyer and seller can still use separate title companies — the Tennessee REALTORS® Purchase and Sale Agreement still has separate blanks for each.
• Title companies can still share premiums and fees when each handles a side. The law simply adds a short written notice and acknowledgment that the buyer and seller sign.
• Buyers still choose their own settlement agent.
• You can still work with the title professionals you know and trust.
For a typical closing, you won't notice much difference. (The law applies to most resales of 1–4 unit homes; first sales of new construction and auction sales are excepted.)
There is one real change worth understanding, because it's the part that can actually affect a deal:
The law makes the buyer's selected title company the ONLY company authorized to issue the title insurance policies. In most transactions that's a non-event. The catch shows up when the buyer's company runs into something it won't insure over — a new survey requirement, an old unreleased deed of trust, a probate gap, a manufactured-home issue. In that situation, the buyer's company is the only one that can issue, and the seller's title company cannot simply step in to close the deal, even if it would have insured the very same title.
*️⃣In plain terms: in the smaller share of transactions that hit a title snag, this law can mean added delay or expense and fewer ways to keep the closing on track. That's the scenario to keep an eye on.
*️⃣What to do: if a title issue comes up, get your title company involved early. The sooner everyone knows, the more options the buyer and seller have to work it out.
As always, don't rely on marketing headlines — read the statute and ask questions. We're glad to send you a copy of the law or walk through how it might affect a specific transaction. Reach out anytime!