Memphis vs Nashville: cost of living compared
Nashville is 38% more expensive than Memphis overall. Neither TN nor TN has a state income tax.
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
Comparing Memphis and Nashville reveals a substantial difference in overall cost of living. Memphis is noticeably more affordable across the board, with its overall expenses falling well below the national average. Nashville, conversely, sits above the national average, primarily driven by its significantly higher housing costs. This disparity in housing is the most impactful factor in the overall budget comparison between the two cities.
Housing
Housing costs present the most dramatic contrast. Both buying and renting are considerably more expensive in Nashville compared to Memphis. The median home price in Nashville is substantially higher, and median rent for a one-bedroom unit also shows a much bigger gap. While specific property taxes and insurance vary, the initial investment for homeownership or monthly rental outlays will be much greater in Nashville.
Taxes and everyday costs
Beyond housing, daily expenses also differ. Both metros benefit from no state income tax on wages. However, Memphis offers more affordable costs for transportation, food, healthcare, and utilities. This means that routine spending on groceries, medical care, and getting around will generally be lower in Memphis, contributing to a more budget-friendly daily life compared to Nashville.
Lifestyle trade-offs
Non-price differences include climate, which is generally humid subtropical for both. Memphis typically offers a slightly shorter average commute time, suggesting a potentially less congested daily travel experience. Nashville is often perceived as a more rapidly growing, bustling metro with a higher density, while Memphis maintains a somewhat more relaxed pace, though both are significant regional centers.
Bottom line
For households considering a move between these Tennessee metros, the financial implications are clear. Memphis consistently offers a more budget-friendly environment, largely due to its significantly lower housing costs and more affordable everyday expenses. Nashville, while offering a different urban experience, requires a substantially larger financial commitment for both housing and general living, making it the more expensive option overall.
| Measure | Memphis, TN | Nashville, TN |
|---|---|---|
| Overall cost of living (US avg = 100) | 78 | 108 |
| Housing index | 54 | 119 |
| Transportation index | 88 | 104 |
| Food index | 85 | 98 |
| Healthcare index | 88 | 98 |
| Utilities index | 92 | 98 |
| Misc index | 78 | 95 |
| Median home price | $178,000 | $438,000 |
| Median 1-bedroom rent | $900/mo | $1,650/mo |
| Average commute | 25 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.