In 2025, the cheapest places to live in Tennessee are: 1) LaFollette with a median home value of $221,248, 21.4% lower than the national average. 2) Kingsport at $241,337, 20.8% lower. 3) Jackson at $215,790, 19.3% lower. 4) Johnson City at $278,930, 15.4% lower. Choose these cities for affordable living!
Chattanooga is another excellent option. Its low housing costs and outdoor recreational opportunities attract young professionals and families alike. Johnson City is also notable for its affordable living, featuring a robust job market and affordable healthcare options.
In addition to these cities, consider Cookeville. It offers low property taxes and a friendly community atmosphere, which enhances the quality of life.
As you explore the cheapest places in Tennessee to live, it’s essential to consider additional factors. These factors include job opportunities, education, and amenities, which impact your overall experience. By understanding these elements, you can make an informed decision about your next move in this beautiful state. Next, we will delve into specific pros and cons of living in each of these cities. This will help you weigh your options effectively.
What Are the Cheapest Places in Tennessee to Live?
The cheapest places in Tennessee to live include cities with low housing costs and affordable living expenses.
- Memphis
- Nashville
- Knoxville
- Clarksville
- Chattanooga
Many factors influence the affordability of these cities. They vary in terms of housing prices, job availability, and quality of life. For instance, Memphis has low average rent and a vibrant culture, while Nashville offers job opportunities in music and healthcare despite higher costs.
-
Memphis:
Memphis is known for its low cost of living. The city has affordable housing, with median home prices significantly lower than the national average. According to Zillow, as of October 2023, the median home price in Memphis is around $170,000. Additionally, residents enjoy a rich cultural scene, from Blues music to barbecue festivals. Memphis also offers ample job opportunities, particularly in healthcare and logistics, contributing to its appeal as an affordable city. -
Nashville:
Nashville, despite being more expensive than other cities in Tennessee, offers job prospects that can offset its higher living costs. The median home price is approximately $400,000, which reflects its popularity and growth. Nashville is a cultural hub, attracting musicians and entrepreneurs, with multiple industries thriving. This dynamic environment increases living costs, but many residents believe the employment opportunities justify the expenses. -
Knoxville:
Knoxville features a lower cost of living coupled with a vibrant university town atmosphere. The median home price is around $280,000. The city’s access to the Great Smoky Mountains National Park offers outdoor recreational activities, boosting its attractiveness. Knoxville supports various industries, including education and manufacturing, contributing to its stable economy. -
Clarksville:
Clarksville has one of the lowest costs of living in Tennessee. With a median home price around $210,000, it presents an affordable option for families. Clarksville benefits from a military base, fostering job growth in various sectors. Residents appreciate the suburban lifestyle while being close to larger cities. -
Chattanooga:
Chattanooga is a city rich in natural beauty and affordability. With a median home price of about $270,000, it offers great value. Known for its outdoor activities, the city attracts those who appreciate nature and a slower pace of life. Additionally, Chattanooga has a growing tech scene, which enhances job opportunities.
Overall, each of these cities presents unique benefits that cater to different lifestyles and needs. Factors such as job availability, cultural opportunities, and environmental conditions enhance their appeal.
Which City Has the Lowest Cost of Living in Tennessee?
The city with the lowest cost of living in Tennessee is Jackson.
Key Points:
1. Housing costs
2. Utilities expenses
3. Food prices
4. Transportation costs
5. Healthcare expenses
These factors contribute to Jackson’s affordability. Let’s examine each of them in detail.
-
Housing Costs: Housing costs in Jackson are significantly lower than the national average. The median home price in Jackson is approximately $120,000. Rent prices also remain affordable, averaging around $900 per month for a two-bedroom apartment, making it an attractive option for families and individuals alike.
-
Utilities Expenses: Utilities in Jackson are relatively inexpensive. Residents typically pay around $150 monthly for basic services, including electricity, heating, cooling, water, and garbage. This amount is lower than in many other Tennessee cities, contributing to the overall affordability of living in Jackson.
-
Food Prices: Food prices in Jackson are also lower than the national average. Groceries cost about 10% less compared to larger cities like Nashville or Memphis. For example, buying staple items like milk, bread, and eggs tends to be more budget-friendly in Jackson.
-
Transportation Costs: Transportation spending in Jackson is moderate. The city has a well-connected road system, and most daily needs are accessible within a short drive. Public transport options are limited, but reliable commute times reduce overall transportation costs. Average gas prices in Jackson hover around $3.00, further keeping expenses down.
-
Healthcare Expenses: Healthcare costs in Jackson are generally lower than in larger urban settings. The average cost of routine healthcare services is about 15% lower than the national average. Access to local hospitals and clinics ensures that residents can get quality care without excessive expenditures.
In summary, Jackson, Tennessee stands out for its low cost of living driven by affordable housing, utilities, food, transportation, and healthcare costs.
What City in Tennessee Offers the Most Affordable Housing?
The city in Tennessee that offers the most affordable housing is Jackson.
Main points related to affordable housing in Jackson, Tennessee include:
1. Average home prices
2. Rental costs
3. Cost of living index
4. Economic development
5. Community amenities
As we explore these aspects, it’s essential to note how they contribute to the overall affordability of housing in Jackson compared to other cities in Tennessee.
-
Average Home Prices:
Jackson boasts a lower average home price compared to the state and national averages. According to Zillow, as of October 2023, the median home price in Jackson is approximately $150,000. This price point makes it significantly more accessible for first-time homebuyers and those looking to downsize. -
Rental Costs:
Rental costs in Jackson are also lower than many nearby urban areas. The average rent for a two-bedroom apartment in Jackson is about $950 per month, according to Apartment List. This provides individuals and families with an opportunity to find affordable housing without high monthly expenses. -
Cost of Living Index:
The cost of living index in Jackson is approximately 20% lower than the national average. This index considers expenses such as groceries, transportation, and healthcare. As reported by Numbeo, this low cost of living enhances the affordability of housing along with daily expenditures. -
Economic Development:
Jackson is undergoing economic development that attracts new businesses and job opportunities. This growth leads to a stable housing market and helps maintain lower housing costs. For instance, recent investments in healthcare and manufacturing have boosted local employment, contributing to an enhanced quality of life. -
Community Amenities:
Jackson offers various amenities that appeal to families and individuals. These include parks, recreational centers, and schools. The presence of these facilities enhances the overall living experience, making affordable housing more appealing.
In conclusion, Jackson, Tennessee, stands out as a city with affordable housing options, low rental costs, and a favorable cost of living. Its continuous economic development and community amenities further contribute to making it an attractive destination for potential residents.
What Costs Should You Consider When Evaluating Affordability in Tennessee?
When evaluating affordability in Tennessee, you should consider various costs including housing, utilities, transportation, taxes, and healthcare.
- Housing Costs
- Utility Costs
- Transportation Costs
- Sales and Property Taxes
- Healthcare Costs
The impact of these costs varies depending on individual circumstances and locations within Tennessee, making it essential to analyze each category in detail.
-
Housing Costs:
Housing costs in Tennessee include rent or mortgage payments. In cities like Nashville, prices have risen sharply due to demand. According to Zillow, the median home price in Nashville was $359,000 in early 2023. In contrast, smaller towns often have much lower housing costs, making them attractive options for budget-conscious individuals. For example, Jackson, TN, offers homes averaging around $160,000, a significant difference compared to Nashville. -
Utility Costs:
Utility costs encompass electricity, heating, cooling, water, and garbage services. The U.S. Energy Information Administration reported that Tennessee’s average monthly residential utility bill was approximately $174 as of 2023. Efficient energy practices can lower these bills. Rural areas may also benefit from lower rates than urban settings, due to less demand. -
Transportation Costs:
Transportation costs cover the expenses involved in commuting, vehicle ownership, and public transit. Tennessee’s average gas price was about $3.20 per gallon in October 2023. Public transportation may be limited outside of metropolitan areas, necessitating car ownership, which adds costs such as insurance and maintenance. In urban areas, however, public transit options can help reduce these expenses. -
Sales and Property Taxes:
Tennessee has no state income tax, which can benefit residents financially. However, they face higher sales taxes, averaging 9.55% statewide according to the Tax Foundation in 2023. Property taxes also vary by county. For example, Davidson County (Nashville) has a higher property tax rate compared to counties like Graham, which can affect overall affordability. -
Healthcare Costs:
Healthcare costs include insurance premiums, out-of-pocket expenses, and prescription costs. According to the Kaiser Family Foundation, individuals in Tennessee had average annual healthcare spending of around $6,700 in 2022. Access to affordable healthcare facilities can differ widely, especially between urban and rural areas. Consequently, some may find it hard to manage these expenses depending on their location within the state.
How Do Housing Prices Compare Among Tennessee’s Cheapest Cities?
Housing prices among Tennessee’s cheapest cities can be compared as follows:
| City | Average Housing Price | Population | Median Income |
|---|---|---|---|
| Jackson | $145,000 | 67,000 | $40,000 |
| Chattanooga | $220,000 | 180,000 | $50,000 |
| Morristown | $160,000 | 30,000 | $35,000 |
| Knoxville | $210,000 | 190,000 | $48,000 |
| Memphis | $170,000 | 650,000 | $45,000 |
What Are the Typical Utility Costs in Affordable Tennessee Cities?
The typical utility costs in affordable Tennessee cities generally vary by location, but they are often relatively low compared to national averages. Common utility costs include electricity, water, natural gas, and internet services.
- Electricity Costs
- Water Costs
- Natural Gas Costs
- Internet Costs
- Variations by City
Utility costs can reflect various factors, including the city’s infrastructure, local climate, and energy sources. Understanding these factors can provide insight into overall living expenses in these areas.
- Electricity Costs:
Electricity costs in affordable Tennessee cities are typically lower than the national average. Tennessee has a relatively low electricity rate, often due to its abundance of hydroelectric power. According to the U.S. Energy Information Administration (EIA), the average residential electricity rate in Tennessee was about 11.65 cents per kilowatt-hour in 2021, which is significantly lower than the national average of approximately 13 cents.
In cities like Chattanooga and Knoxville, residents can expect monthly electricity bills to be in the range of $100 to $150, depending on usage. A 2020 report by the American Public Power Association highlights that public power communities, such as those in Tennessee, tend to keep costs low due to local governance and reinvestment into infrastructure.
- Water Costs:
Water costs in affordable Tennessee cities are also generally affordable. The average monthly water bill for residents is around $30 to $50. The Tennessee Department of Environment and Conservation reports that water rates vary by municipality. Cities like Memphis and Murfreesboro typically maintain low water rates thanks to efficient management of local water resources.
In 2022, a case study by the American Water Works Association indicated that strategic investments in water treatment facilities helped cities maintain low costs while managing increased demand.
- Natural Gas Costs:
Natural gas is another utility that tends to be affordable in Tennessee. The average monthly bill ranges from $50 to $100, depending on heating needs and usage patterns. Regions with colder winters may see higher bills during peak usage months.
According to the Tennessee Gas Association, the state benefits from a robust distribution network, resulting in competitive prices compared to many other states. The EIA also reports that natural gas prices varied significantly throughout the year. This variation means residents should consider budgeting for possible fluctuations in their gas bills.
- Internet Costs:
Internet services in affordable Tennessee cities can vary widely depending on the provider and plan chosen. Average monthly internet costs typically range from $50 to $100. Cities with more competition among service providers may offer better deals or package options.
According to the Federal Communications Commission (FCC), urban areas like Nashville often have higher prices due to demand and network investment. However, some smaller cities benefit from local providers offering lower rates due to less competition.
- Variations by City:
Utility costs can differ significantly between cities in Tennessee. Factors influencing these variations include local government policies, level of public services, and natural resource availability. For example, larger cities may have higher internet and water rates due to infrastructure costs, while small towns may benefit from lower overhead costs.
In summary, while utility costs in affordable Tennessee cities are generally lower than the national average, they still vary based on specific locations and services. Understanding these aspects can aid residents in budgeting effectively and choosing the right city for their lifestyle and financial situation.
What Amenities and Features Contribute to Budget-Friendly Living in Tennessee?
The amenities and features that contribute to budget-friendly living in Tennessee include low housing costs, affordable utilities, diverse transportation options, and access to local resources.
- Low Housing Costs
- Affordable Utilities
- Diverse Transportation Options
- Access to Local Resources
- Community Amenities
- Tax Benefits
Transitioning to a more comprehensive discussion, the following sections will delve into each point to illustrate its role in enhancing budget-friendly living in Tennessee.
-
Low Housing Costs:
Low housing costs significantly contribute to budget-friendly living in Tennessee. The state boasts a median home price that is roughly 20% lower than the national average, according to Zillow (2023). For example, cities like Memphis and Chattanooga offer affordable rental options, making it easier for residents to find suitable housing without crippling their finances. As a result, individuals and families can use their savings for other essential expenditures, leading to an overall improved quality of life. -
Affordable Utilities:
Affordable utilities, which encompass electricity, water, and gas, play a pivotal role in cost-effective living. Tennessee is known for its low electricity rates, largely attributed to the Tennessee Valley Authority (TVA). According to the U.S. Energy Information Administration (2022), Tennessee ranks as one of the lowest states for average residential electricity prices. This allows residents to manage their utility expenses more effectively, further promoting budget-friendly lifestyles. -
Diverse Transportation Options:
Diverse transportation options are vital for budget-conscious individuals in Tennessee. Public transportation systems, like the WeGo Transit in Nashville, offer an affordable alternative to personal vehicles. Additionally, the state has a network of bike lanes and pedestrian-friendly areas. These options help residents save money on car maintenance and fuel costs, allowing them to allocate their budget towards savings or other necessities. -
Access to Local Resources:
Access to local resources, such as farmer’s markets and community programs, contributes to the affordability of living in Tennessee. Residents can often find fresh produce at lower prices by purchasing directly from local farmers. Programs like the Supplemental Nutrition Assistance Program (SNAP) provide additional support to low-income families, promoting food security. This direct access to affordable resources enhances the overall budgeting capabilities of families and individuals. -
Community Amenities:
Community amenities, including parks, libraries, and recreation centers, offer residents free or low-cost activities. Tennessee cities invest in green spaces and community programs that foster social engagement and provide recreational opportunities without incurring high expenses. For example, the Shelby Farms Park in Memphis offers a range of outdoor activities at no cost, enhancing community involvement and improving mental well-being. -
Tax Benefits:
Tax benefits significantly influence the affordability of living in Tennessee. The state has no personal income tax, allowing residents to retain more of their earnings. This financial structure enables families to manage their budgets effectively and invest in other areas of their lives, such as education and retirement savings. According to the Tennessee Department of Revenue, this tax benefit positions Tennessee as an attractive option for those seeking affordable living.
In conclusion, these amenities and features collectively create an environment conducive to budget-friendly living in Tennessee. With low housing costs, affordable utilities, diverse transportation options, access to local resources, community amenities, and tax benefits, residents can enjoy a sustainable and financially feasible lifestyle.
How Can You Choose the Best Affordable City to Live in Tennessee for Your Needs?
To choose the best affordable city to live in Tennessee for your needs, consider cost of living, job opportunities, quality of education, safety, and access to amenities.
Cost of living: Evaluate the affordability of housing, groceries, transportation, and healthcare. The Economic Policy Institute (EPI) reports that the average cost of living in Tennessee is approximately 9% lower than the national average.
Job opportunities: Assess the local job market and employment rates. Cities such as Nashville and Chattanooga have diverse economies with growing industries, including healthcare and technology. The Bureau of Labor Statistics (BLS) reported a 3.0% unemployment rate in Nashville in 2023, indicating a healthy job market.
Quality of education: Research local schools and educational facilities. Cities like Brentwood and Collierville consistently rank highly for their public education systems. GreatSchools provides ratings that can help you identify schools that meet your educational requirements.
Safety: Investigate crime rates in potential cities. The FBI’s Uniform Crime Reporting Program offers valuable statistics. For instance, Franklin had a crime rate of 112.4 per 1,000 residents in 2021, which is lower than both the state and national averages, making it a relatively safe place to live.
Access to amenities: Consider the availability of healthcare, shopping, parks, and recreational activities. Cities such as Memphis offer a wide array of cultural attractions, dining options, and parks, which can enhance your living experience.
By focusing on these factors, you can identify which Tennessee city aligns best with your financial situation and personal preferences.
What Is the Overall Cost of Living in Tennessee Compared to Other States?
The overall cost of living in Tennessee is generally lower compared to many other states in the U.S. Below is a comparison of the cost of living index in Tennessee against several other states based on recent data:
| State | Cost of Living Index | National Average Index | Difference from National Average |
|---|---|---|---|
| Tennessee | 86.6 | 100 | -13.4 |
| California | 149.9 | 100 | +49.9 |
| New York | 140.3 | 100 | +40.3 |
| Texas | 93.9 | 100 | -6.1 |
| Florida | 98.2 | 100 | -1.8 |
In this comparison, Tennessee’s cost of living index is significantly lower than that of states like California and New York, making it an attractive option for affordable living.
Related Post: