Our guide to the best neighborhoods in Knoxville touched on home prices running well below the national median, and that affordability extends across nearly every category of Knoxville’s cost of living. Let’s break it down category by category, starting with the full monthly snapshot.
| Category | Typical Monthly Cost (Single Person) | Vs. National Average |
|---|---|---|
| Rent (1BR) | $1,761 to $1,777 | -20% to -23% (housing category) |
| Groceries | $374 | -2% to -17% (sources vary) |
| Utilities | $238 | -12% |
| Transportation | $30 (transit pass) to $350+ (with a car) | -13% |
| Healthcare | Well below national average | -24% |
| Total (single person) | $2,607/month | -10% to -14% |
Major Expenses in Knoxville: A Breakdown
Housing: Knoxville’s Clearest Advantage
Housing runs 20% to 23% below the national average, and it’s the primary reason Knoxville’s overall cost of living lands 10% to 14% below the national average. A one-bedroom apartment averages $1,761 to $1,777 a month citywide, and the median home price sits around $369,000 to $416,000, though our neighborhood guide shows real variation, Sequoyah Hills and Bearden both push above the citywide median, while Fountain City and West Hills offer meaningful value.
Groceries
Sources show some spread on groceries specifically, Redfin and RentCafe both put the discount around 2% below the national average, while another local source estimates savings closer to 15% to 17%. Budget around $374 a month for a single adult, and treat any additional savings beyond that as a bonus rather than a guarantee.
Utilities
Utilities run about 12% below the national average, a consistent finding across sources, and one of Knoxville’s more reliable everyday cost advantages. Basic utilities for a typical apartment run around $238 a month.
Transportation
Transportation runs about 13% below the national average, reflecting Knoxville’s relatively low gas prices, around $2.75 a gallon, and manageable commute times, with a mean one-way commute of just 21.2 minutes. A monthly transit pass runs around $30, though the reality is that fewer than 2% of residents rely on Knoxville Area Transit, meaning most people should budget for a car as a genuine necessity.
Healthcare
Healthcare is Knoxville’s single strongest cost advantage, running 24% below the national average, a large and consistent discount across every source that tracks it. Routine doctor visits, dental checkups, and prescriptions all cost meaningfully less here than the national norm.
How Much Income You Actually Need
Knoxville’s overall cost of living runs 10% to 14% below the national average depending on the source. Salary.com puts the baseline monthly cost around $2,607 for a single person, or roughly $31,300 annually, before savings or discretionary spending. Given the local median household income sits around $54,039, well below the national figure, it’s worth noting that Knoxville’s affordability is genuinely tied to a modest local wage base rather than an unusually high cost of living relative to what residents actually earn. Tennessee’s lack of a state income tax adds a further, real advantage on top of these baseline figures.
Final Thoughts on the Cost of Living in Knoxville
Knoxville’s affordability holds up across every category covered here, housing, groceries, utilities, transportation, and especially healthcare all run below the national average, with no real exception the way some cities in this series show. The genuine caveat worth keeping in mind is local wages, Knoxville is affordable in absolute terms, but that affordability is also priced against a below-average local paycheck, so budget with your actual income in mind rather than the national comparison alone.