-- Reserve Study Requirements
Who needs a Reserve Study.
In Tennessee, unit owners' associations (UOAs) overseeing common elements with an aggregate replacement cost exceeding $10,000 are required to conduct reserve studies.
How often do you need to update a Reserve Study.
A reserve study needs to be completed by a qualified individual at least once every five (5) years.
Additional Information
Associations without a study since January 1, 2020, must complete one by January 1, 2025, unless exempted.
Serving the Northeast
Serving the Great Lakes
Serving the Mountain
Serving the Southeast
Serving the Pacific West
Nashville
- 3200 West End Ave
Suite 500
Nashville, TN 37203 - Phone: 888.315.2843
Fax: 888.316.4587
Email: mail@reservestudygroup.com
We focus on the detail and the big picture.
Our reserve study approach is simple. We provide you with the insight needed to make fast, accurate and informed decisions. We focus on understanding your situation and providing funding solutions that are designed with your goals in mind.
-- Reserve Study Requirements
Legislation
In 2023, Tennessee passed legislation (SB0863) requiring unit owners' associations (UOAs) with common elements valued over $10,000 to conduct a reserve study. Associations that have not completed a reserve study on or after January 1, 2020, must conduct one by January 1, 2025. After the initial study, updates are required at least every five years. The reserve study must be conducted by a qualified professional, such as a licensed engineer, architect, or credentialed reserve specialist, and must align with industry standards. Associations that are still under declarant control, consist of a single unit owner, or are jointly owned by spouses are exempt. This law ensures greater financial accountability and long-term planning for communities across Tennessee.
Sample Reserve Study Report
Our reports are designed to create an accurate and clear illustration of the Association’s financial and physical standing. We simplify the complex issue of reserve planning by giving you the entire picture in one easy to understand report.
-- Reserve Study
Our team of reserve study professionals works with associations throughout Tennessee State.
- Baltimore
- Baltimore
- Baltimore
- Baltimore
- Baltimore
- Baltimore
- Baltimore
- Baltimore
- Baltimore
- Baltimore
Frequently asked questions
Is a reserve study required in Tennessee?
Yes, as of 2023, Tennessee requires unit owners' associations with common elements over $10,000 in value to conduct a reserve study every 5 years.
How much do reserve studies cost?
Reserve studies in Tennessee generally cost between $2,500 and $10,000, depending on the property’s size and complexity.
How long does it take to do a reserve study?
A reserve study typically takes 2 to 6 weeks, including the site inspection and report preparation.
How often should a condo association do a reserve study?
Under Tennessee law, reserve studies must be updated at least every 5 years.
What is the difference between HOA operating fund and reserve fund?
The operating fund covers day-to-day expenses (e.g., landscaping, utilities), while the reserve fund is set aside for long-term, major repairs or replacements (e.g., roof, paving).
If you have any questions, our team of reserve study professionals will contact you immediately.
