Selling a Chattanooga House With an Open Code Violation Notice

If you need to sell a house with code violations in Chattanooga, Tennessee, the city does not make you fix everything first. It does make you follow one rule before the deed changes hands: City Code § 21-61. Most of this guide turns on it.

Below you will find how notices reach you, what each enforcement step can cost, and three ways to sell. Every city rule cited was read in the current code, Supplement 40, codified through June 16, 2026.

Can you sell a Chattanooga house with an open code violation?

Yes, you can sell a Chattanooga house with an open code violation if you follow City Code § 21-61. You either correct every violation first, or you give the buyer a copy of each notice and file the buyer's notarized acceptance with the Code Official.

The rule is broad. A violation notice includes a notice of violation, a summons, an emergency order to comply, or a demolition order. An owner who skips the paperwork may be referred to City Court or the Administrative Hearing Officer (Chattanooga City Code § 21-61). The duty also travels with the house, because § 21-60 makes the owner ultimately responsible.

What City Code 21-61 says, word for word

Section 21-61 makes a sale under a violation notice unlawful until the violations are corrected or the buyer formally accepts them. The operative sentence reads:

"It shall be unlawful for the owner of any structure or premises who has received a violation notice to sell, transfer, mortgage, lease or otherwise dispose of such structure or premises to another until all violations have been corrected or until such owner or the owner's authorized agent shall first furnish the grantee, transferee, mortgagee or lessee a true copy of each violation notice issued by the Code Official and shall furnish to the Code Official a signed and notarized statement from the grantee, transferee, mortgagee or lessee acknowledging the receipt of such violation notice and fully accepting the responsibility, without condition, for making the corrections or repairs required by such violation notice."

In practice, that means four steps:

• Collect every notice. Code Enforcement at (423) 643-7307 can help with anything missing.
• Give the buyer a true copy of each one, before the contract is signed.
• Get the buyer's statement signed and notarized.
• Deliver it to the Code Official, and keep your own copy.

The words "without condition" carry weight. A buyer who will only close after you make the repairs has not accepted responsibility in the rule's terms.

How a Chattanooga code enforcement notice reaches you

A Chattanooga code enforcement notice usually starts with a complaint or a neighborhood inspection, and it arrives in writing. The Code Official must inspect when anyone files a complaint (§ 21-34).

The notice must identify the house, list each violation with a reasonable deadline, and state the city's right to file a lien. It can be handed to you, mailed, or posted on the house (City Code § 21-58). Posting counts as service, so an heir or landlord who lives elsewhere can be served by a tag they have not seen.

The 2025-26 district sweep

On November 3, 2025, the city announced systematic inspections across six council districts (City of Chattanooga, November 2025). The team spent two days in each district, from District 1 on November 3-4 to District 8 on January 26-27, 2026.

Inspectors cited litter, overgrowth, inoperable vehicles, and structure violations. Owners found a Notice of Violation tag and had two weeks to correct the specific violation. A sweep tag that is still open remains a violation notice under § 21-61.

The Chattanooga enforcement ladder, step by step

A Chattanooga code case climbs from a tag to a lien, a court date, and at worst demolition. A sale under § 21-61 stays open at every step.

Chapter 21 creates no separate appeals board. A City Court judgment goes to Hamilton County Circuit Court within 10 days, Sundays excluded (§ 21-57(f)). A hearing officer's final order goes to Hamilton County Chancery Court within 60 days (§ 21-247).

What do code liens and fines cost a Chattanooga seller?

A Chattanooga seller can face two code costs: liens for work the city paid for, and fines.

City liens under § 21-62

When the city repairs, closes, or demolishes a structure, the cost plus administrative fees becomes a lien. It ranks second only to tax liens, special assessments, and earlier recorded liens. It is collected like property taxes, with the same penalty and interest if unpaid (City Code § 21-62).

The lien is recorded with the Hamilton County Register of Deeds. Municipal liens are paid at the Office of the City Treasurer, City Hall, Room 100 (City of Chattanooga, Code Enforcement). For an owner-occupied house, overgrowth and litter charges become a lien only once they reach $500 (§ 21-137(e)).

Fines

In City Court, each violation may bring a fine of up to $50 plus court costs, and each day after notice is a separate offense (§ 21-57). The Administrative Hearing Officer can levy up to $500 per violation on a single-family house that is the owner's primary residence. Every other house, including rentals and many vacant or inherited houses, faces up to $500 per violation per day (City Code § 21-239).

The hearing officer must allow 10 to 120 days to remedy before a fine applies, and a timely fix stops it. The city may collect a fine by any legal means (§ 21-246). Ask Code Enforcement for any balance so it can be settled at or before closing.

Vacant and boarded houses: the 10-day wait and the one-year limit

Vacant houses move fastest through Chattanooga's code process. The city says vacant houses that are littered, overgrown, or need boarding "may be City abated after only a 10-day waiting period." The house is posted with a Public Nuisance notice, and a lien covers the city's cost.

Every owner of a vacant structure must remove combustible waste and secure every opening (§ 21-87(a)). If the city closes an unsafe vacant house itself, the cost becomes a lien (§ 21-86(b)). Boarding also has a limit. "No structure shall remain boarded for a period of more than one (1) year," and after that the owner must demolish if work has not started and moved forward (City Code § 21-87(d)). Otherwise the city may demolish and lien the cost.

How a demolition case works

A Public Officer the Mayor designates decides demolition cases. If repairs cost less than 50% of the structure's value, as set by the Hamilton County Property Assessor's Office, the order is to repair. Otherwise it is to demolish (§ 21-104).

You get notice at least 10 days before the hearing (§ 21-105). A demolition order is recorded with the Register of Deeds like a lis pendens, so a title search will find it (§ 21-106). An owner can ask Chancery Court to stop the order within 60 days (§ 21-108). See our page on selling a vacant house.

What must you tell a buyer about a code violation in Tennessee?

You must give a Chattanooga buyer each open notice under § 21-61, and Tennessee's disclosure law adds a separate duty. Under Tenn. Code Ann. § 66-5-202, a seller gives a disclosure statement listing known material defects, or an "as is" disclaimer. The disclaimer is allowed only when the buyer waives disclosure.

The statutory form asks about "any notices of abatement or citations against the property" (Tenn. Code Ann. § 66-5-210). Two exemptions matter most here (Tenn. Code Ann. § 66-5-209):

• Fiduciaries: transfers by a fiduciary administering a decedent's estate, guardianship, conservatorship, or trust (§ 66-5-209(3)).
• Owners who moved out: transfers where the owner has not lived in the house within three years before the transfer (§ 66-5-209(11)).

Neither exemption reaches the city rule. An executor or a long-absent landlord selling a tagged house still owes the buyer each notice under § 21-61. Heirs can find the estate steps in our guide to selling an inherited house in Chattanooga.

Historic districts: what a Certificate of Appropriateness covers

A sale in a Chattanooga historic district needs no Certificate of Appropriateness, but exterior work does. The Historic Zoning Commission reviews changes in four local districts: St. Elmo, Fort Wood, Battery Place, and Ferger Place (City of Chattanooga, Historic Zoning).

The Commission approves or denies within 30 days, and approved work must start within six months. New windows or siding on a tagged house in Fort Wood may need that review before work starts. Chapter 21 also says its provisions are not mandatory for designated historic structures the Code Official judges safe (§ 21-9). Our guide to selling a house in a Chattanooga historic district covers the review steps.

Three ways to sell a Chattanooga house with code violations

Chattanooga sellers with an open notice usually choose among three paths: fix then list, list as-is with the § 21-61 acknowledgment, or sell directly for cash. The right one depends on the repair bill and how long you can carry the house.

Both listing paths depend on the market. Chattanooga sales took a median of 41 days on the market in the three months ending August 2026, down from 58 a year earlier (Redfin, August 2026). The median sale price was $364K, up 1.0%, and Redfin counted 842 sales in August against 718 a year earlier (Redfin, August 2026). A house with an open notice may draw fewer of those buyers.

Fix, then list, or list as-is

Fixing first can make sense for small items, such as overgrowth, litter, or a broken window. Once every violation is corrected, the acknowledgment is no longer required. Listing as-is means the buyer you find must sign the notarized statement and accept the repairs without condition, which narrows the field.

How a direct cash sale closes with the notice open

1. You share every notice, plus any lien or fine letters, before an offer is made.
2. The buyer makes an offer that accounts for the repairs.
3. The buyer signs the notarized statement, and it goes to the Code Official.
4. The title company or closing attorney typically pays recorded liens from your proceeds.
5. You close on the date you pick, and the repairs become the buyer's job.

Propcash is a direct cash homebuyer. We buy Chattanooga houses as-is, sign the purchase contract as the buyer, and can sign the § 21-61 acknowledgment ourselves. You get one transparent, data-backed offer with the reasoning shown, and no fees or commissions.

The Propcash Promise: the offer stands, there is no aggressive follow-up, and if a cash sale is not your best move, we will say so. The relief is being done with the notices: no contractors, no re-inspections, no new tags. See how we buy houses in Chattanooga or our overview of selling a house with code violations. When you are ready, you can get a cash offer from Propcash in about two minutes.

Frequently Asked Questions

Can I sell my Chattanooga house with an open code violation notice?

Yes, you can sell with the notice open. Chattanooga City Code section 21-61 allows the sale if the violations are corrected first, or if the buyer receives a true copy of each notice. The buyer must also sign a notarized statement accepting the repairs, which goes to the Code Official.

Does a Chattanooga code enforcement notice stay with the house after a sale?

Yes, the repair duty follows the house. City Code section 21-60 makes the owner ultimately responsible for compliance, so after a sale under section 21-61 the buyer owns the open repairs.

Who pays a Chattanooga code enforcement lien when the house sells?

A recorded city lien is typically paid from the seller's proceeds at closing by the title company or closing attorney. Under City Code section 21-62, the lien ranks second only to tax liens and is collected like property taxes.

How long can a vacant Chattanooga house stay boarded up?

No more than one year under City Code section 21-87(d). If a house stays boarded longer without repair work moving forward, the owner must demolish it. If the owner does not, the city may demolish the house and place a lien for the cost.

Do I have to disclose a code violation when selling a house in Tennessee?

In most sales, yes, a code violation must be disclosed. Tennessee's disclosure form asks about notices of abatement or citations, and an "as is" disclaimer is allowed only if the buyer waives disclosure. Even exempt sellers, such as executors, must give a Chattanooga buyer each notice under section 21-61.

Do I need historic zoning approval to sell a house in St. Elmo or Fort Wood?

No, a sale needs no historic zoning approval. A Certificate of Appropriateness covers exterior work, new construction, additions, and demolition in Chattanooga's four local historic districts, not the sale itself. A buyer planning exterior repairs to clear a notice may need one first.