Want Tennessee’s lifestyle without Nashville’s high prices? Don’t give up on the dream. You can afford a house in the Volunteer State if you know where to look.
Your perfect home could be a family-friendly house in Rockwood or a starter home in Clarksville, a growing city with a strong job market. If you’re retiring, look at homes for sale in Chattanooga to enjoy urban amenities combined with natural beauty, with median home prices under $305,000.
After assessing many communities, we’ve ranked the 10 cheapest places to live in Tennessee to help you find a home that fits your budget.
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Key Takeaways
- LaFollette is the most affordable city: LaFollette’s cost of living is 21.4% lower than the national average. With a median home price of $207,500, it is the cheapest place to live in Tennessee.
- Chattanooga is the best city for young professionals: Ranked with strong tech/healthcare growth near UTC, Chattanooga is a prime spot to build a career.
- For families, Bartlett is a great choice: With strong Shelby County schools, safe neighborhoods like Stanky Creek trails, and low child-rearing costs, Bartlett is an ideal place to raise a family on a budget.
- Retirees should consider Kingsport: Retirees can enjoy Kingsport Senior Center programs and Holston Valley Medical Center, with homes typically ranging from $240,000 to $280,000.
- Don’t forget Tennessee’s “tornado tax”: Insurance premiums average $1,800–$2,500 a year (wind/hail coverage), and standard policies do not cover flooding from the Cumberland/Tennessee Rivers. So, your $200,000 home could end up costing significantly more.
Cheapest Places to Live in Tennessee in 2026
| City | Median Home Value | Median House Rent | Cost of Living Compared to State Average | Affordability Score (out of 10) |
|---|---|---|---|---|
| 1. LaFollette | $207,500 | $900 | 4% ⬇️ | 7.6 |
| 2. Rockwood | $217,000 | $1,300 | 5% ⬇️ | 6.6 |
| 3. Kingsport | $272,500 | $1,275 | 1% ⬆️ | 5.9 |
| 4. Clarksville | $312,000 | $1,241 | 9% ⬇️ | 5.9 |
| 5. Jackson | $298,000 | $1,373 | 1% ⬇️ | 5.5 |
| 6. Bartlett | $295,000 | $1,602 | 5% ⬇️ | 5 |
| 7. Chattanooga | $350,000 | $1,463 | 3% ⬇️ | 4.8 |
| 8. Johnson City | $365,000 | $1,392 | 8% ⬆️ | 4.5 |
| 9. Murfreesboro | $427,006 | $1,578 | 3% ⬆️ | 3.6 |
| 10. Alcoa | $650,000 | $1,640 | 6% ⬆️ | 1.5 |
How We Ranked the Most Affordable Places to Live in Tennessee
To identify the cheap places to live in Tennessee, we carried out an in-depth analysis using multiple reliable data sources and indicators of affordability.
Data Sources:
- Median Home Prices: We used Houzeo’s Tennessee Housing Market report and double-checked the numbers with the Middle Tennessee State University’s Consumer Research Institute (CRI) Housing Market Report.
- Median Rent: We got the rent data from C2ER, which publishes the national Cost of Living Index. This was verified every few months to make sure it’s accurate.
- Overall Cost of Living: We covered 6 big spending categories— housing, groceries, utilities, transportation, healthcare, and miscellaneous goods— from C2ER and Houzeo’s Cost of Living in Tennessee Calculator. We then compared everything to the U.S. average of 100.
We studied housing data from 2022 to 2025 to identify cities that remained affordable over time, not just during short dips in prices. Furthermore, each city’s data was also cross-checked with HUD and state economic reports.
All our information is up to date as of 2025, ensuring you receive the most current insights.
Affordability Scoring:
We built a simple scoring system that focuses on what really matters:
- Median Home Price (40%)
- Median Rent (35%)
- Cost of Living (25%)
This way, we can clearly show which Tennessee cities give you the best value for your money. You can also check out our score breakdown.
Image credits: All blog images are sourced from Freepik.
10 Cheapest Places to Live in Tennessee
LaFollette delivers affordable mountain living with Norris Lake boating and trails at Buffalo Mountain Park just minutes away. Homes for sale in LaFollette are affordable and appeal to budget-conscious homebuyers. This small Cumberland Plateau city offers quiet accessibility via I-75 for Knoxville commutes.
- LaFollette Heights: Family-friendly suburban neighborhood with single-family homes on spacious lots along Colonial Heights Lane. Near LaFollette Middle School and Norris Lake State Park boating.
- Downtown LaFollette: Historic walkable core with smaller homes near Central Avenue shops and Glen Oaks Victorian landmark. Proximity to Standin’ on the Corner Park events and LaFollette Elementary School .
- The Peninsula on Norris Lake: Gated waterfront community offering luxury lakefront homes with private boat access. Appeals to buyers seeking resort-style security near East LaFollette Learning Academy.
- Job Market: LaFollette’s economy centers on manufacturing, healthcare, and retail sectors. Key employers include local manufacturing plants, Campbell County Health Department, and retail businesses like BrightFarms.
- Recreation: Outdoor enthusiasts enjoy nearby Norris Lake and the Cumberland Trail State Park for boating, fishing, hiking, and camping. Local events and festivals, like Chapman Hill Winery tastings and the Tiki Club bar’s summer live music nights, add to the city’s small-town charm.
- Limited Job Diversity: Economic opportunities are largely concentrated in manufacturing and healthcare. Higher-paying jobs outside these sectors may require commuting to larger cities like Knoxville or Oak Ridge.
- Aging Infrastructure: Some parts of LaFollette, such as South 13th St., North 5th St., and East Central Ave, face challenges with older roads and utilities that may need upgrades, potentially impacting maintenance costs for homeowners.
- Flood Risk: Low-lying zones near Big Creek and areas close to the Cumberland Avenue water corridors have moderate flood risk during heavy rains, so buyers should research property elevations and consider flood insurance where applicable.
Rockwood offers small-town affordability near the Cumberland Plateau with access to Roane County Park trails and Brillo Miller Sports Complex. Healthcare costs run 3.2% below national averages in this city. It is a manufacturing and retail hub. Its proximity to I-40 also serves Knoxville commuters.
- Downtown Rockwood: Compact historic district centered on Main Street with early 20th-century buildings and local diners. Walkable to Rockwood Amphitheater concerts and Rockwood City School.
- Piney Park Area: Quiet residential zone featuring trails and family gatherings at Piney Park. Convenient to Rockwood Municipal Schools and Brillo Miller Sports Complex youth leagues.
- Walnut Hill: Established suburban enclave with single-family homes near I-40. Appeals to commuters accessing Roane Medical Center and Rockwood Golf & Country Club.
- Job Market: Rockwood’s economy leans on manufacturing, healthcare, and retail sectors. Key employers include Toho Tenax America manufactures carbon fiber, and Roane Medical Center. The job market is moderately sized, with some residents commuting to larger nearby cities for expanded employment options.
- Recreation: Residents enjoy access to nearby natural attractions such as the Big South Fork National River and Recreation Area, offering hiking, boating, and fishing. Community events like Rockwood Amphitheater summer concert series and Brillo Miller Sports Complex youth soccer leagues provide recreation.
- Limited Job Opportunities: Rockwood’s economy is small and centered around the Gateway Avenue commercial stretch. Higher-paying or specialized jobs often require commuting to larger cities like Knoxville or Oak Ridge.
- Aging Infrastructure: Neighborhoods around Kingston Ave and Post Oak Rd have aging roads, utility lines, and drainage systems. These areas may require upgrades, which can affect maintenance needs for nearby homes.
- Moderate Flood Risk: Low-lying areas near Watts Bar Lake, local creeks, and valley sections around Rockwood can experience moderate flooding during heavy rain. Buyers should check FEMA maps, property elevation, and potential flood insurance requirements.
Kingsport provides Tri-Cities value[a strong, competitive housing market, a low cost of living, and a strong local economy]. Bays Mountain Park planetarium, the Kingsport Senior Center programs, and Holston River trails provide recreation. The city is easily accessible via the I-81 road network.
- Bays Mountain Area: Nature-oriented residential community surrounding Bays Mountain Park & Planetarium trails. Near Kingsport City Schools and Kingsport Senior Center fitness programs .
- Downtown Kingsport: Urban historic core along Broad Street with early homes and riverfront paths. Walkable to Holston River greenways and Dobyns-Bennett High School.
- Colonial Heights: Mid-century suburban neighborhood with ranch homes off I-81. Proximity to Kingsport Press Building events and Tri-Cities Regional Airport.
- Job Market: Kingsport’s economy relies on healthcare, manufacturing, and education. Major employers include Holston Valley Medical Center, manufacturing plants, including Eastman Chemical Company. Also, there are commute options to nearby Tri-Cities hubs for diverse employment opportunities.
- Recreation: Residents enjoy Bays Mountain Park, the Holston River, and cultural events downtown. Bays Mountain Park & Planetarium offers a 3,000-acre nature preserve with wolf/bobcat exhibits. Kingsport Senior Center runs bingo nights weekly.
- Higher Crime in Certain Areas: Crime is noticeably higher around Lynn Garden, Bloomingdale (East Stone Dr. side), and pockets near West Sullivan St and Industry Dr. These areas report more property crime and nuisance activity.
- Flood-Prone Zones: Low-lying areas near the Holston River, especially along Netherland Inn Rd, Industry Dr, and Cleek Rd, experience recurring flash-flooding during heavy rains.
- Limited Job Diversity: Most local employment centers are clustered around Holston Valley Medical Center, Eastman Chemical, and the Fort Henry Dr. retail corridor, meaning fewer opportunities in technology, finance, or corporate roles without commuting to Johnson City or Bristol.
Clarksville the “Queen City” , blends Fort Campbell military stability with Austin Peay University energy. Located along the Cumberland River, it has several recreation spots, including Liberty Park. It is connected to the I-24 highway, hence, people can travel to Nashville within an hour.
- Liberty Park Vicinity: Active family suburb ringing Liberty Park athletic fields and playgrounds. Near Austin Peay State University and Rossview Elementary School.
- Downtown Clarksville: Riverfront historic district with 19th-century architecture along the Cumberland Riverwalk. Appeals to buyers near Kenwood High School and Fort Campbell commutes via I-24.
- St. Bethlehem: Established residential area with single-family homes near Dunbar Cave State Park trails. Convenient to Sango Elementary and Clarksville-Montgomery County Schools.
- Job Market: Clarksville benefits from a diverse economy with strong sectors including military, healthcare, manufacturing, and retail. Fort Campbell contributes significantly to local employment. Other major employers include Tennova Healthcare, Montgomery County Schools, and Austin Peay State University.
- Recreation: Residents enjoy access to Dunbar Cave State Park, the Cumberland River, and numerous community festivals. Outdoor activities such as boating, hiking, and fishing are popular among locals. Liberty Park hosts summer splash pad events and baseball fields.
- Higher Crime in Certain Areas: Crime is more concentrated in New Providence (around Providence Blvd), Lincoln Homes, and pockets near Riverside Dr / Kraft St, with higher rates of theft and violent incidents.
- Flood-Prone Zones: Areas along the Cumberland River and Red River—especially Riverside Dr, Ashland City Rd (TN-12), N. Spring St, and Wilma Rudolph Blvd, low-lying sections—see recurrent flooding during heavy rain.
- Limited Road Capacity & Congestion: Severe traffic backups occur on Tiny Town Rd, Wilma Rudolph Blvd, Trenton Rd, and Ft. Campbell Blvd, especially during peak hours or military shift changes.
Jackson delivers West Tennessee affordability with urban city vibes. The city hosts Cypress Grove Nature Park and Jackson State Community College, which may appeal to retirees and young adults alike. Transportation costs are generally lower due to public transport options. I-40 links this city from Memphis to Nashville.
- Downtown Jackson: Historic urban core along Main Street with early 20th-century buildings and local diners. Walkable to Jackson State Community College and Cypress Grove Nature Park birdwatching trails .
- North Jackson: Suburban residential area with single-family homes near North Side High School. Proximity to Chickasaw State Park hiking and annual Casey Jones Village train events .
- Highland Heights: Quiet family neighborhood featuring ranch homes off Hollywood Road. Convenient to South Side High School and West Tennessee Veterans Memorial Cemetery visits.
- Job Market: Jackson’s economy includes manufacturing, education, and retail sectors. Regional medical centers, universities, and manufacturing plants are key employers. Delta Faucet manufactures plumbing fixtures. Pinnacle Foods leads job creation in food processing. Jackson State Community College adds education roles.
- Recreation: Residents enjoy attractions such as the Casey Jones Village, Cypress Grove Nature Park, and the annual Jackson Symphony Orchestra performances. Outdoor activities like fishing and boating on the Tennessee River add to the local lifestyle.
- Aging & Blighted Neighborhoods: Parts of East Jackson especially around Harts Bridge Rd, Whitehall St, East Chester St, and Central Ave—have older homes, higher vacancy, and visible blight.
- Railroad Noise & Industrial Traffic: Homes near the North Railroad St / Airways Blvd rail line, and along Highland Ave (US-45) near the industrial park, experience frequent train noise and heavy truck traffic.
- Limited Public Transit: Outside the core areas around Downtown, Highland Ave, and Vann Dr, transit service is sparse. Neighborhoods along Old Medina Rd, Gunn Rd, and North Jackson are car-dependent with limited bus coverage.
Bartlett, one of the cheapest cities to live in TN, delivers the Memphis suburb value. Stanky Creek Mountain Bike Trails and Stoneridge Park family outings make way for recreation. Shelby County schools and TSM manufacturing jobs support stable living. I-40 gives wider access to urban amenities.
- Davies Plantation: Upscale suburban enclave with spacious homes on large lots off Appling Road. Zoned for Bartlett High School and adjacent to Davies Manor Historic Home tours.
- Ellendale: Established residential area with mature oak trees along quiet streets. Walkable to Ellendale Elementary School and annual Bartlett Festival BBQ Contest.
- Country Meadows: Family-oriented subdivision featuring cul-de-sac ranch homes. Proximity to Stanky Creek Mountain Bike Trails and Bartlett Recreation Center summer camps.
- Job Market: Bartlett benefits from proximity to Memphis. The local government and school district provide many jobs. Medtronic manufactures medical devices, and Smith’s Food & Drug distribution center employs people in logistics. Shelby County Schools hires educators.
- Recreation: Residents enjoy access to Bartlett Recreation Center, Treetop Adventure Park, and multiple community festivals. Nearby Shelby Farms Park and the Wolf River Greenway offer extensive outdoor activities.
- Crime: Higher property and violent crime is reported around Kirby-Whitten area, North Germantown Pkwy, and pockets near Memorial Rd / Bartlett Blvd.
- Limited Public Transit: The city is largely car-dependent; neighborhoods like West Bartlett and the South Germantown Pike area have minimal transit options.
- Limited Nightlife & Amenities: Cultural venues and nightlife are sparse; residents often travel to Memphis for entertainment and dining.
Chattanooga combines urban energy with attractions like the Tennessee Aquarium and outdoor access at Lookout Mountain, all enhanced by the vibrancy of the UTC campus. Its growing tech and healthcare sectors thrive, while the I‑24/I‑75 crossroads provide excellent regional connectivity.
- North Chattanooga: Urban hillside neighborhood blending historic bungalows with modern condos along Frazier Avenue. Walkable to the Tennessee Aquarium via the Walnut Street Bridge pedestrian path .
- St. Elmo Historic District: Victorian streetcar suburb with cobblestone streets and 1890s architecture. Near Lookout Mountain Incline Railway and St. Elmo Art Walk.
- East Ridge: Mid-century residential community east of Missionary Ridge with ranch homes. Adjacent to Audubon Acres nature preserve trails and schools like East Ridge High School.
- Job Market: The local economy centers on manufacturing, healthcare, education, and tourism. Major employers include Erlanger Health System, Volkswagen Chattanooga, and the University of Tennessee at Chattanooga.
- Recreation: Outdoor enthusiasts enjoy the Tennessee River, Lookout Mountain, through hiking, and boating. Tennessee Aquarium features river otters and penguin exhibits. Coolidge Park hosts summer splash pad events.
- Limited Transit: Neighborhoods outside Downtown and central Chattanooga have minimal bus coverage, especially the east and south sides, making a car essential.
- Uneven Neighborhood Quality: Safety and amenities vary widely—while Lookout Mountain and Signal Mountain are safe, many central and eastern areas face higher crime and fewer services.
- Traffic & Mobility Issues: Downtown roads and crosswalks are often unsafe for pedestrians and cyclists, and suburban streets generally lack sidewalks or bike lanes.
Johnson City blends the vibrancy of East Tennessee State University with outdoor recreation at Buffalo Mountain Park and Winged Deer Park. Local healthcare facilities and utilities are affordable in this Tri-Cities hub, and I‑26 provides convenient access to Bristol and Kingsport.
- Lake Ridge: Lakeside suburban neighborhood with newer single-family homes overlooking Boone Lake. Zoned for Lake Ridge Elementary School and adjacent to Willow Springs Park playgrounds.
- Mountcastle Hills: Tree-lined residential area blending historic homes with modern updates. Walkable to Indian Trail Middle School and Founders Park farmers market, which happens on Saturdays.
- Holston View: Quiet family suburb with spacious lots near Holston View Elementary School. Proximity to the Tweetsie Trail bike path and Winged Deer Park boat rentals.
- Job Market: Johnson City benefits from a diversified economy. East Tennessee State University and Johnson City Medical Center are key employers. Other employers include Ballad Health, James H. Quillen VA Medical Center, and American Water Heater Co. manufactures.
- Recreation: Outdoor recreation is abundant with the Watauga River nearby, Buffalo Mountain Park, and various local festivals contributing to the quality of life. The Founders Park farmers market runs every Saturday.
- Crime & Safety: Certain neighborhoods see higher crime rates, particularly downtown Johnson City, East Main St, and areas near Buffalo Mountain Rd. Property crimes such as theft and burglary are the most common, while violent crime remains lower but present.
- Limited Public Transit: Public transit coverage is sparse outside downtown and the ETSU area. Residents in Boones Creek, West Johnson City, and other suburban neighborhoods typically require a car for commuting, shopping, and accessing services.
- Limited Amenities & Nightlife: Cultural and entertainment options are concentrated downtown. Suburban areas like Boones Creek, West Johnson City, and parts of Fall Branch have fewer restaurants, shops, or nightlife options, which may not appeal to young professionals or those used to larger cities.
Murfreesboro offers family-friendly living without big city prices. The city also hosts events like Stones River National Battlefield and Middle Tennessee State University events. Healthcare costs 16% below average, supporting retirees in this suburb. I-24 delivers quick commutes to major hubs from Nashville.
- Blackman: A Growing suburban community with new construction homes off I-24. Zoned near Blackman High School and near Stones River Greenway walking trails.
- Salem: Established residential area featuring ranch homes along family streets. Convenient to schools and parks likevSiegel Middle School and Barfield Crescent Park disc golf course.
- Medical Center Parkway: Professional-residential mix near Saint Thomas Rutherford Hospital. Appeals to families attending Discovery School and Cannonsburg Village pioneer days events.
- Job Market: Murfreesboro benefits from diverse employment sectors, including healthcare, education, manufacturing, and retail. Middle Tennessee State University, Nissan North America headquarters, and Saint Thomas Rutherford Hospital are major employers, contributing to a stable local economy.
- Recreation: The city boasts parks like Barfield Crescent Park and nearby Stones River National Battlefield, offering hiking, picnics, and historical exploration. The Discovery Center features STEM exhibits and planetarium shows. Barfield Crescent Park hosts disc golf tournaments.
- Limited Nightlife & Cultural Amenities: Suburban zones like East Murfreesboro, North Rutherford, and the Brentwood Pike area have few dining, entertainment, or nightlife options; residents often travel to Nashville for variety.
- Weather & Seasonal Discomforts: Summers can be hot and humid, particularly in low-lying areas near Stones River and Barfield Park, with mosquitoes and pests common in summer months.
- School & Neighborhood Variation: While many schools are good, areas near Blackman Rd, Old Fort Parkway, and Sparks Ave have inconsistent school ratings and fewer extracurricular opportunities.
Alcoa is among cheap places to live in Tennessee and provides Smoky Mountain gateway access with Little River trails. McGhie Tyson Airport is nearby, and the Great Smoky Mountains National Park is a tourist spot. US-129 connects to Knoxville’s urban amenities. There are cozy homes for sale in Alcoa that are inexpensive.
- Fountain Head: Quiet suburban enclave with mid-century homes off Hall Road. Zoned near schools like Alcoa Elementary School and adjacent to Springbrook Park fishing pond.
- Eisenhower: Family-oriented neighborhood circling Eisenhower Drive cul-de-sacs. Walkable to Alcoa Middle School and the McGhee Tyson Airport viewing area.
- Oldfield: Historic residential core near Alcoa High School football stadium. Proximity to Pistol Creek greenway and the Blount County Cherry Blossom Festival.
- Job Market: Alcoa benefits from diverse employment opportunities influenced by the Tennessee Valley Authority and the Alcoa Corporation aluminum plant. Many residents commute to Knoxville for additional job options, while local employers include Oak Ridge National Laboratory and Alcoa city services.
- Recreation: Residents enjoy close access to lakes, greenways, parks like Springbrook Park, and family-friendly community events, providing ample outdoor and cultural activities like the Blount County Cherry Blossom Festival on April 12-13.
- Flood & Environmental Risk: Low-lying neighborhoods near Pellissippi Creek, Dobbins Branch, and areas along Sevierville Rd are prone to occasional flooding during heavy rains.
- Limited Nightlife & Amenities: Residents in areas like West Alcoa and Green Meadow may find fewer restaurants, cultural venues, or entertainment options, relying on nearby Maryville or Knoxville for more variety.
- Traffic & Commuting: Congestion can occur on US-129 (Alcoa Hwy), Maryville Pike, and around Alcoa High School during peak hours, particularly for school and shift commuters.
Top 3 Cheapest Cities to Live in Tennessee for Young Adults
When looking for the least expensive city to live in Tennessee, you want more than just cheap rent. You want good jobs, a fun lifestyle, and a city where you can thrive. These Tennessee cities deliver all three, with affordable housing and growing job markets.
| Rank | City | Why It’s Great for Young Adults |
|---|---|---|
| 1. | Chattanooga | Chattanooga offers big-city opportunities in tech, healthcare, and outdoor recreation near the Tennessee Aquarium and Lookout Mountain. Young professionals enjoy UTC’s vibrant scene and networking via groups like Startup Chattanooga amid strong job growth. |
| 2. | Johnson City | Home to East Tennessee State University and a thriving healthcare/biotech scene, the city combines research jobs with trails at Buffalo Mountain Park. Rentals run 15.4% below national averages, boosting homes for sale in Johnson City accessibility. |
| 3. | Clarksville | Clarksville’s logistics, defense at Fort Campbell, and Austin Peay State University create career paths, while groups like Young Professionals of Clarksville foster networking. |
Top 3 Inexpensive Places to Live in Tennessee for Families
Tennessee is a favorite among families for its no state income tax, mild climate, and affordable housing. These three cities offer low living costs and top-notch schools.
| Rank | City | Why It’s Great for Families |
|---|---|---|
| 1. | Bartlett | Families enjoy trails at Stanky Creek Mountain Bike Park and strong Shelby County schools. Outdoor recreation and pocket-friendly homes for sale in Bartlett make this city a great place for families. |
| 2. | Murfreesboro | Murfreesboro offers excellent Rutherford County schools plus free community events at Stones River Greenway. This reduces child-rearing costs while cheap homes for sale in Murfreesboro enhance family appeal. |
| 3. | LaFollette | Home to Norris Lake outings and Campbell County schools, families enjoy year-round water activities. Lakeside parks and playgrounds pair with affordable homes for sale in LaFollette. |
3 Best Affordable Places to Live in Tennessee for Retirees
Tennessee is a retiree’s haven. In these cities, you can find affordable homes, accessible healthcare, and safe communities. There are also plenty of outdoor activities like kayaking, hiking, and picnics to enjoy a comfortable, active lifestyle.
| Rank | City | Why It’s Great for Retirees |
|---|---|---|
| 1. | Kingsport | Retirees in Kingsport enjoy programs at the Kingsport Senior Center like dance nights, bingo, and fitness sessions. Holston Valley Medical Center offers trusted senior care services, and the affordable homes for sale in Kingsport make it easy to maintain a comfortable lifestyle. |
| 2. | Jackson | In Jackson, retirees have access to dependable care at Jackson-Madison County General Hospital. The peaceful trails and picnic spots at Cypress Grove Nature Park make it ideal for nature-loving retirees. With affordable homes for sale in Jackson, it’s easy to enjoy a quiet, low-cost retirement. |
| 3. | Rockwood | Rockwood offers healthcare 3.2% below national averages at Roane Medical Center for reliable medical care. Senior communities host wellness and social programs near Roane County Park. You can find homes for sale in Rockwood and enjoy a relaxed lifestyle close to lakes. |
3 Hidden Costs to Consider in Tennessee
Even in the cheapest Tennessee cities to live in, home prices are only part of the cost. After tornado outbreaks and heavy flooding in East Tennessee, insurance premiums have climbed steadily. Factor in wind/hail coverage, flood insurance, and property taxes when seeking affordable areas.
Tornado/Wind Insurance: Homeowners now average $1,800–$2,500 yearly statewide, with East Tennessee counties like Roane exceeding $3,000 due to hail and storm risks. Inland cities like LaFollette and Rockwood maintain lower rates around $1,500.
Flood Insurance: Standard policies exclude floods from rivers like the Tennessee or Cumberland. Policies from FEMA’s NFIP or private insurers average $900–$1,800 annually, up 15% under Risk Rating 2.0, especially in Clarksville and Chattanooga flood zones.
Property Taxes: Tennessee property taxes average 0.64% effective on home value (25% residential assessment), ranging from 0.5%–0.9% by county. Shelby at $2.92/$100 assessed, Kingsport at $1.67/$100adding $1,500–$3,000 yearly.
Savings Breakdown: Cheapest Cities in Tennessee to Live In
Housing costs vary dramatically across Tennessee. LaFollette residents save $1,850 monthly compared to Nashville and $650 compared to Chattanooga. The following table breaks down these savings by median home price, monthly mortgage, property tax, insurance, and total monthly costs.
| City | Median Home Price | Avg. Monthly Mortgage | Insurance/taxes | Estimated Monthly Cost for a Single Person | Monthly Savings vs. Nashville |
|---|---|---|---|---|---|
| LaFollette | $207,500 | $1,320 | $285 | $3,250 | $1,850 |
| Morristown | $245,000 | $1,560 | $320 | $3,600 | $1,500 |
| Nashville | $475,000 | $3,020 | $650 | $5,100 | – |
Affordable Living Beyond Tennessee
Not sure if the cheapest places in Tennessee to live will fit your budget? Here are a few surrounding states that offer affordable housing, strong job markets, and top-notch education, just like Tennessee.
Affordable Housing
Kentucky’s housing market offers affordable home values around $281,700, with many properties selling below their listing price. This creates strong opportunities for buyers. Here are the top 3 cheapest places to live in Kentucky:
- Mayfield: Homes around $140,000, rent under $900 near community colleges and Graves County schools.
- Somerset: Homes around $195,000, rent from $1,100, with Lake Cumberland recreation and strong Pulaski schools.
- Ashland: Homes near $160,000, rent from $1,200, offering riverfront charm, Boyd County education.
Jobs
North Carolina had around 257,000 job openings in July 2025, according to the U.S. Bureau of Labor Statistics, reflecting strong demand especially in manufacturing, healthcare, and logistics sectors. These are the top three cheapest places to live in North Carolina:
- Laurinburg: Homes around $125,000, rent near $800. Agriculture, healthcare, and logistics jobs via American Job Centers.
- Eden: Homes around $130,000, rent near $750. Manufacturing at Nestlé Purina, Walmart retail opportunities.
- Rocky Mount: Homes from $175,000, rent $850–$1,200. Logistics/healthcare roles averaging $100K.
Top-Notch Education
Georgia serves over 1.7 million students across more than 180 school districts and offers the HOPE Scholarship, a competitive program comparable to Tennessee’s TN Promise. Here are the cheapest places to live in Georgia:
- Albany: Median home price $150,000, rent from $950 near Darton State College, strong Dougherty schools.
- Macon: Median home price around $220,000, rent from $1,300 with Middle Georgia State University programs.
- Valdosta: Homes around $210,000, rent from $1,400, VSU-driven education hub like UT Memphis.
Where Is the Cheapest Place to Live in Tennessee?
LaFollette, Rockwood, and Kingsport are the most affordable cities to live in Tennessee. These areas offer more than low prices; they also provide steady job markets, plenty of recreation, and a cost of living 15% lower than the national norm.
Moving to Tennessee also offers valuable tax advantages, with property taxes averaging at 0.64%. Whether you’re relocating or buying your first home, you can browse listings, compare prices, and make offers online.
Frequently Asked Questions
What is the cheapest place to live in Tennessee?
The cheapest place to live in Tennessee is Rockwood. It offers affordable housing at a median sale price of 190K.
» 10 Cheapest Places to Live in Tennessee: Find out the other cheapest places to live in Tennessee.
Where is the best place to live in Tennessee?
The best place to live in Tennessee is Memphis, followed by Brownsville, Knoxville, Chattanooga, Union City, and Johnson City.
What are the living expenses in Tennessee?
The average cost to live in Tennessee is 10% lower than the national average. Healthcare is 13% lower and Transportation is 12% lower than the national average.
Where is the best place to retire in Tennessee on a budget?
Kingsport,Jackson and Rockwood are among the best places to retire in Tennessee on a budget. They offer affordable housing, small-town comfort, and easy access to medical care.
Which cities have the cheapest cost of living in Tennessee?
Clarksville (81.9) and Rockwood (85) have the cheapest cost of living in Tennessee. Clarksville's cost of living is 9% below the average, while Rockwood's is 5% lower.
