Overall
Tennessee feels cheaper overall
Tennessee has the lower cost-of-living index, beating North Carolina by 4.4 points on the overall affordability baseline.
View detailed comparison
Cost of Living Comparison
Quality of Life
North Carolina vs Tennessee: Cost of Living
Tennessee is cheaper overall by 4.4 cost-of-living points, but Tennessee has no state income tax, but Tennessee has lower median home values.
North Carolina
NC • South
96.4
Composite cost of living index (100 = national average). Lower = more affordable.
Tennessee
TN • South
92.0
Composite cost of living index (100 = national average). Lower = more affordable.
Visual Comparison
North Carolina
96.4
Tennessee
92.0
Difference: 4.4 points — Tennessee leads.
Overview
A fast-reading view of the tradeoffs behind the raw cost numbers.
Living Costs
Housing
pay about 1.0x more for a home
Tennessee has the lower median home value, while buying in North Carolina costs materially more at the median.
View detailed comparisonRent Pressure
Tennessee puts less pressure on a median paycheck
Median rent takes a smaller share of household income in Tennessee than in North Carolina, which makes monthly budgeting easier.
View detailed comparisonTaxes
Tennessee has no state income tax
Tennessee gives residents a cleaner paycheck-level tax advantage, while North Carolina still taxes income at the state level.
View detailed comparisonCost Stack
North Carolina
Overall Affordability
Cost of living index
96.4
Regional price parity
95.2
Regular gas price
$3.931/gal
Electricity price
13.68 c/kWh
Housing
Median gross rent
$1,142/mo
Median home value
$273,600
Owner costs with mortgage
-
Owner costs without mortgage
-
Taxes
State income tax
4.50%
State sales tax
4.75%
Property tax
0.66%
Income
Median household income
$63,947
Income after median rent
$4,187
Minimum wage
$7.25/hr
Laws
Gun laws
Permissive
Alcohol system
Control State
Marijuana status
Medical
Tennessee
Overall Affordability
Cost of living index
92.0
Regional price parity
92.0
Regular gas price
$3.852/gal
Electricity price
13.10 c/kWh
Housing
Median gross rent
$1,096/mo
Median home value
$269,600
Owner costs with mortgage
-
Owner costs without mortgage
-
Taxes
State income tax
None (0%)
State sales tax
7.00%
Property tax
0.50%
Income
Median household income
$62,166
Income after median rent
$4,084
Minimum wage
$7.25/hr
Laws
Gun laws
Permissive
Alcohol system
License State
Marijuana status
Medical
What Stands Out
- Tennessee has lower median home values.
- Tennessee has no state income tax.
- Tennessee has the lower overall cost index.
- North Carolina has the higher median household income.
Affordability Ratios
Related Pages
What This Means
North Carolina vs Tennessee: Cost of Living in context
Tennessee has a cost of living of 92.0, compared with 96.4 in North Carolina. Composite cost of living index (100 = national average). Lower = more affordable.
North Carolina
96.4
Tennessee
92.0
Difference
4.4 points
People Also Ask
North Carolina vs Tennessee Cost of Living — Common Questions
Q What is North Carolina's cost of living?
North Carolina's cost of living is 96.4.
Q What is Tennessee's cost of living?
Tennessee's cost of living is 92.0.
Q Which state has a lower cost of living — North Carolina or Tennessee?
Tennessee is cheaper overall by 4.4 cost-of-living points, but Tennessee has no state income tax, but Tennessee has lower median home values.
More Comparisons: North Carolina vs Tennessee
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Sources: Core demographic data comes from the 2020 U.S. Census, with land area from U.S. Census Bureau TIGER files. Income, housing, affordability, and tax fields are maintained in our comparison dataset, with minimum wage data from the U.S. Department of Labor, gas prices from AAA, and electricity rates from the U.S. Energy Information Administration. Political control and election fields use 2024 presidential results together with National Conference of State Legislatures data. Gun-law labels use the Giffords scorecard, alcohol system data comes from NABCA, and marijuana status uses NCSL's state cannabis laws tracker.