Cost of Living in Knoxville, TN
Knoxville is about 12% cheaper than the national average.
What Things Cost
Compared to the US average (100)
Census ACS 2024
Census ACS 2024
BEA RPP 2023
BEA RPP 2023
Knoxville at a Glance
No state income tax. That saves a typical household thousands per year compared to states like California (13.3%) or New York (10.9%).
Sources: Census ACS 2024, Tax Foundation.
Knoxville is the gateway to the Great Smoky Mountains and the University of Tennessee's home city. The cost of living is about 11.5% below the national average with no state income tax. The median home price of roughly $275,000 puts homeownership within reach. Market Square has been revitalized into a walkable dining and entertainment center. For outdoor enthusiasts who want Appalachian access at an affordable price, Knoxville delivers more than its reputation suggests.
Who Lives Here
Source: Census ACS 2024.
Why People Move to Knoxville
The Smoky Mountains are 30 minutes from downtown. The University of Tennessee provides Big Ten SEC sports, cultural events, and healthcare employment. Market Square and the Old City have become legitimate dining destinations. The World's Fair Park and Sunsphere are quirky landmarks. Ijams Nature Center provides urban outdoor access. The cost of entry is low for a metro of nearly a million people.
Neighborhoods
Market Square and the Old City are the revitalized downtown core. Fourth and Gill is a charming historic neighborhood. Sequoyah Hills is affluent along the Tennessee River. Bearden is the west Knoxville dining strip. Farragut is the affluent western suburb. For affordable options, South Knoxville and Fountain City offer lower prices.
Things to Consider
Knoxville's growth has been slower than Nashville or Chattanooga. The food scene is developing but not yet at peer levels. The university dominance means the city empties during breaks. Traffic on I-40/I-75 through town can be congested. The 9.75% combined sales tax is high. Summer is hot and humid.
Compare Knoxville To...
Frequently Asked Questions About Knoxville
Very. About 11.5% below the national average with no state income tax. The median home price of $294,700 is roughly half of Nashville's $420,000. For Smoky Mountain access at these prices, the value is compelling.
The park entrance at Gatlinburg is about 35 minutes from downtown Knoxville. Cades Cove is 50 minutes. You can hike in the most-visited national park in America and be home for dinner. This daily access to world-class hiking and nature is Knoxville's lifestyle trump card.
Knoxville has the Smoky Mountains, a larger university, and a bigger metro. Chattanooga has the better-revitalized downtown, gigabit fiber internet, and a more outdoors-focused identity. Both have no income tax and are affordable. Knoxville is larger and more established. Chattanooga is trendier and more walkable downtown. They are 100 miles apart on I-75.