Chicago vs Nashville: cost of living compared
Nashville is 8% cheaper than Chicago overall. Nashville (TN) has no state income tax; IL tops out around 4.95%.
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
Overall, the cost of living is noticeably higher in Chicago compared to Nashville. While housing costs are a significant factor, many other categories also contribute to this difference. Groceries, healthcare, and transportation expenses are generally more affordable in Nashville, creating a broader financial advantage for residents there. This overall difference means a household budget will stretch further in the Tennessee metro.
Housing
Housing costs present an interesting contrast. While the overall housing index is lower in Chicago, the median home price is considerably less expensive there than in Nashville. Rent for a one-bedroom apartment is roughly similar in both cities. Chicago typically offers a mix of older, established housing stock and high-rise living, while Nashville's housing market has seen rapid appreciation, often featuring newer construction and suburban developments.
Taxes and everyday costs
Daily expenses show a clear pattern. Nashville residents benefit from no state income tax, a significant saving compared to Chicago. Beyond taxes, transportation, food, healthcare, and utilities are all generally more affordable in Nashville. This means that everyday spending on essentials will typically be lower in the Tennessee city, impacting a household's disposable income and overall budget significantly.
Lifestyle trade-offs
Lifestyle differences are notable. Chicago experiences distinct seasons with cold winters and snow, while Nashville has a milder climate with hot, humid summers. Getting around Chicago often involves extensive public transit, whereas Nashville is more car-dependent. Commute times are generally longer in Chicago. Nashville offers a more relaxed pace, while Chicago is a dense, bustling metropolis with a vibrant urban character.
Bottom line
For those considering a move, the financial implications are clear. A household budget will generally go further in Nashville due to lower overall costs, especially with no state income tax and more affordable daily expenses. While median home prices are higher in Nashville, other categories like transportation and utilities are noticeably cheaper. Chicago offers a different urban experience, but at a higher price point across most spending categories.
| Measure | Chicago, IL | Nashville, TN |
|---|---|---|
| Overall cost of living (US avg = 100) | 118 | 108 |
| Housing index | 97 | 119 |
| Transportation index | 121 | 104 |
| Food index | 105 | 98 |
| Healthcare index | 108 | 98 |
| Utilities index | 102 | 98 |
| Misc index | 108 | 95 |
| Median home price | $318,000 | $438,000 |
| Median 1-bedroom rent | $1,650/mo | $1,650/mo |
| Average commute | 34 min | 29 min |
Compare any two metros with the free cost of living tool, or see the true monthly cost of a specific Nashville home with the True Cost Calculator.