Baltimore vs Memphis: cost of living compared
Memphis is 34% cheaper than Baltimore overall. Memphis (TN) has no state income tax; MD tops out around 4.75%.
Indexes use a US average of 100: below 100 is cheaper than the national average. Housing and transportation are derived from median home prices, rents and commute times; figures come from BLS, Census ACS, Numbeo and the MIT Living Wage Calculator.
The big picture
Moving from Baltimore to Memphis generally means a significant reduction in overall expenses. Memphis offers a noticeably lower cost of living compared to the national average, while Baltimore's costs are higher. This difference is largely driven by housing, which presents a substantial gap between the two cities, making Memphis a much more budget-friendly option across most spending categories.
Housing
Housing costs are dramatically different, with both median home prices and typical rents in Memphis being considerably more affordable than in Baltimore. Baltimore's housing stock often includes historic rowhouses and urban apartments, while Memphis offers a wider range of single-family homes, often with more land. Property taxes and insurance costs will also vary, contributing to the overall ownership expense.
Taxes and everyday costs
Daily expenses for transportation, food, healthcare, and utilities are all notably cheaper in Memphis. A key financial difference is Tennessee's lack of a state income tax, which contrasts with Maryland's income tax. This means more take-home pay for residents in Memphis, further enhancing its affordability for everyday spending compared to Baltimore.
Lifestyle trade-offs
Baltimore, a historic port city, offers a more urban, dense environment with a longer average commute and a temperate climate. Memphis, situated on the Mississippi River, has a warmer, humid subtropical climate and a somewhat more relaxed pace, with a shorter typical commute. Both cities have distinct cultural identities and historical significance, but their daily rhythms differ.
Bottom line
For those prioritizing financial savings, a move to Memphis from Baltimore could lead to substantial improvements in a household budget. The lower housing costs are the most impactful factor, but savings extend across nearly all spending categories, including the absence of a state income tax. Baltimore, while more expensive, offers a different urban experience and climate.
| Measure | Baltimore, MD | Memphis, TN |
|---|---|---|
| Overall cost of living (US avg = 100) | 118 | 78 |
| Housing index | 100 | 54 |
| Transportation index | 118 | 88 |
| Food index | 105 | 85 |
| Healthcare index | 108 | 88 |
| Utilities index | 112 | 92 |
| Misc index | 105 | 78 |
| Median home price | $348,000 | $178,000 |
| Median 1-bedroom rent | $1,550/mo | $900/mo |
| Average commute | 33 min | 25 min |
Compare any two metros with the free cost of living tool, or see the true monthly cost of a specific Memphis home with the True Cost Calculator.