According to FirstStreet.org, Memphis, TN, has a “major Heat Factor” that puts 75% of the city’s homes at risk of heat. It also says that this year, the city may experience up to 58 days with temperatures between 90º and 100º Fahrenheit. Worse, the city may see up to 42 “dangerously” hot days with temperatures exceeding 100º.
Considering those figures, air conditioning use will likely increase among the city’s residents, including renters.
As a rental property owner, reading that may have made you wonder, “Do landlords have to provide air conditioning in Memphis, TN?” Is it part of your obligations, or is it just an optional “amenity” that you can let your tenants enjoy?
Join our team at Reedy & Company as we explore and answer those questions (and more) in this guide.
Do Landlords Have to Provide Air Conditioning in Memphis, TN?
Tennessee Code Title 66 Chapter 28, or the Uniform Residential Landlord and Tenant Act, outlines rental property laws and critical landlord legal responsibilities in the state.
Section 66-28-502 specifically covers essential services landlords must provide tenants. Under this section, “essential services” refer to utility services like gas, heat, and electricity. It does not mention air conditioning regulations.
The above means that landlords in Tennessee, including Memphis, are not legally compelled to provide air conditioning, as it’s not part of the list of tenant rights in Memphis.
Is There an Exception?
Yes.
As Tennessee Alliance for Legal Services’ Help4TN.org explains, landlords must provide air conditioning if indicated in the lease. So, if the lease agreement you created and signed with your tenant says you’ll give them air conditioning, you must do so.
What Happens If Landlords Fail to Comply With the Lease Agreement?
Remember that a rental lease agreement is legally binding, and its unlawful breach can lead to repercussions. Tenants can sue landlords who illegally break lease agreements in Tennessee.
Let’s use the example of providing air conditioning as indicated in the lease. The signed agreement says that you, the landlord, will provide air conditioning. If you don’t, you violate the lease and are subject to Tennessee Code Section 66-28-501.
Under that law, tenants must serve a written notice notifying you of the non-compliance with the rental agreement. The notice should explain the breach (in this case, the lack of air conditioning) and allow you 14 days to remedy the problem. Failure to do so gives the tenant the right to sue you and recover damages, including reasonable attorney’s fees.
Should You Provide AC Even if It’s Not a Legal Requirement?
Yes, you should consider installing and providing an air conditioning system even if Tennessee law doesn’t require you to. Here are some reasons it could be a worthy addition and upgrade for your Memphis rental property.
Expand Tenant Pool
According to a recent post by Rental Housing Journal, a survey looked into rental property features and amenities renters want or would not rent without. Air conditioning (together with an in-unit washer/dryer) topped the list, with 93% of renters wanting one.
So, by investing in an air conditioning system, you can make your rental property more attractive to potential tenants. Considering so many folks want an AC, you’ll likely get more legitimate leads and renter applications. The more applicants you get, the higher your chances of finding the best fit, and the sooner you can place them and start earning income.
Boost Your Property’s Competitive Advantage
Since Tennessee law doesn’t require landlords to provide air conditioning, many rental apartments don’t have an AC. Take advantage of this and the fact that most renters want air conditioning. Doing so gives your property a competitive advantage and puts it at the forefront of the Memphis rental market.
Increase Rental Rates
Because air conditioning is an amenity, not an essential service, offering one on your property justifies increasing your rental rates. As you should, considering that it’s not cheap to install and operate an AC system. You can recoup these costs by charging slightly higher rental rates.
Even if you raise your rental prices slightly, many renters will still be happy and willing to agree to your rates. After all, they’ll have access to air conditioning at a far lower cost than if they bought the unit themselves.
Improve Your Tenants’ Thermal Comfort
Thermal comfort is the feeling of well-being people experience relating to the temperature in a given environment. It can affect productivity and physical and mental health. For example, feeling “too hot” can make people uncomfortable, even ill.
Heat and Health
According to the American Psychological Association (APA), excessive heat can cause consequences like:
- Heat-related illnesses, including heat strokes and heat exhaustion
- Increased risk of irritability
- Anxiety and depression
Without air conditioning in rental properties, tenants can feel extremely uncomfortable during Memphis’s hot days and heatwaves. They may also be at risk of the consequences above.
Comfort and Lease Renewals: The Link
The more often your tenants deal with comfort-related health and well-being concerns, the less happy and satisfied they likely will be. When that happens, you, as a landlord, will have difficulty getting your tenants to agree to rental lease renewals. Because their health and well-being are already on the line, they’ll likely want to find a new place with AC where they can feel more comfortable.
For those reasons, consider investing in an air conditioning system for your rental to help boost thermal comfort. The more comfortable your tenants are, the happier they’ll likely be that they chose your property. Their satisfaction toward you and your property can increase, encouraging them to stay longer and renew their lease.
Improve Your Rental Property With a New AC
Do landlords have to provide air conditioning? Now you know that, under the Tennesee Code, they don’t have to unless their lease agreement says so.
Still, that doesn’t mean you, as a Memphis landlord, shouldn’t consider installing an AC system. It’s a worthy investment that can help expand your tenant pool, boost renter satisfaction, and get more lease renewals.
If you need expert guidance on managing your Memphis rentals, our property management firm, Reedy & Company, is happy to help. We’ve been in business for over 20 years and have experience managing over 3,500 properties, so we have what it takes to assist you.
Get in touch with us today for a property consultation!
