Chattanooga, TN, US
Gig City with fastest internet, Lookout Mountain, and no state income tax.
Below Average vs US avg (100)
Affordable
Household income
Job market health
Chattanooga vs US Average
Taxes
- State Income Tax: None
- Sales Tax: 9.2%
Economy & Jobs
- Median Income: $48,000
- Unemployment: 3.2%
- Population: 184,086
Climate
- Sunny Days: 208/year
- Summer High: 90°F
- Winter Low: 30°F
Housing
- Median Home: $265,000
- 1BR Rent: $1150/mo
Cost of Living
Chattanooga's cost of living index is 92.5 (US average = 100).
| Category | Chattanooga | National Average | Difference |
|---|---|---|---|
| Overall | 92.5 | 100 | -7.5% |
| Housing | 82.5 | 100 | -17.5% |
Data source: Council for Community and Economic Research (C2ER), 2026
Housing Market
| Metric | Value |
|---|---|
| Median Home Price | $265,000 |
| Median Rent (1BR) | $1150/mo |
| Median Rent (2BR) | $1,438/mo |
| Price per Sq Ft | $176 |
Data source: Zillow Research, May 2026
True Cost of Home Ownership
Utilities
Estimated monthly utility costs for a typical household in Chattanooga:
| Utility | Estimated Monthly Cost | Notes |
|---|---|---|
| Electricity | $100 | Based on ~900 kWh/month typical US household usage |
| Heating (Gas/Oil) | $244 | Estimated based on local climate. Gas or electric |
| Water | $40 | Includes sewer |
| Internet (100+ Mbps) | $60 | Broadband average |
| Garbage / Trash | $25 | Private service |
| Total Utilities | $469 | Monthly estimate (including heating) |
Data sources: U.S. Energy Information Administration (EIA) 2024, EPA/AWWA water rate surveys, BroadbandNow
Best Neighborhoods
Downtown Chattanooga
The heart of the city with restaurants, shops, and entertainment. Average rent: $1,380/mo.
Chattanooga Heights
Trendy area with local businesses and a mix of historic and modern housing. Average rent: $1,265/mo.
East Chattanooga
Up-and-coming neighborhood with new developments and young professionals. Average rent: $1,035/mo.
West Chattanooga
Family-friendly area with parks and good schools. Average rent: $1,093/mo.
Remote Work Score
Chattanooga scores 123/100 for remote work readiness:
- Internet Speed: Average 200 Mbps (Good)
- Coworking Spaces: 15+ locations (Good)
- Cost of Living: Good
- Climate: 208 year (Good)
- Quality of Life: Good
Climate
Chattanooga has a varied climate with distinct seasons.
| Month | Avg High | Avg Low | Rainfall |
|---|---|---|---|
| January | 50°F | 30°F | 2.5" |
| April | 75°F | 45°F | 2.8" |
| July | 90°F | 65°F | 1.5" |
| October | 70°F | 48°F | 2.2" |
Taxes
- State Income Tax: 0% (None)
- Sales Tax: 9.25%
- Property Tax: ~0.68% of assessed value
Economy & Jobs
Major industries include technology, healthcare, education, and manufacturing. The unemployment rate is 3.2%.
Important Disclaimer: All data on this page is for informational purposes only and does not constitute financial, legal, tax, or real estate advice. URCity and Northshore Press are not financial advisors, tax professionals, or real estate agents. Always consult qualified professionals before making relocation or financial decisions.
Frequently Asked Questions
What is the cost of living in Chattanooga, TN, US?
The cost of living index in Chattanooga is 92.5, which is Lower the US national average of 100.
How much does it cost to buy a home in Chattanooga?
The median home price in Chattanooga is $265,000. The housing index is 82.5.
What is the average rent for a 1-bedroom apartment?
The average rent for a 1-bedroom apartment in Chattanooga is approximately $1150/mo.
Does Chattanooga, TN have income tax?
Chattanooga is in TN, which has no income tax.
What is the climate like in Chattanooga?
Chattanooga enjoys approximately 208 sunny days per year. Summer highs reach around <no value>°F,90°F, while winter lows can drop to around <no value>°F.30°F.
Data Sources
- Cost of Living: Council for Community and Economic Research (C2ER), 2026
- Housing Data: Zillow Research, 2026
- Income & Employment: US Census Bureau American Community Survey, 2024
Data last updated: July 6, 2026. Data may not reflect current market conditions. Always verify with local sources before making relocation decisions.