Median one-bedroom rent across the cities we track is $870 in Iowa versus $1,142 in Tennessee. Overall, Iowa runs roughly 24% cheaper on rent than Tennessee, its main day-to-day cost driver.
Median household income across tracked cities is $63,966 in Iowa and $63,204 in Tennessee — about 1% higher in Iowa. Iowa has a top state income tax rate of 3.80% and a 6% state sales tax; Tennessee has no state income tax and a 7% state sales tax.
State Taxes
Sales Tax
6%
7%
+1.0 pp in Tennessee
Income Tax (top rate)
3.80%
None
+3.8 pp in Iowa
Housing (median across tracked cities)
Median 1BR Rent
$870
$1,142
+31% in Tennessee
Median Home Value
$183,700
$270,100
+47% in Tennessee
Income (median across tracked cities)
Median Household Income
$63,966
$63,204
+1% in Iowa
Climate (median across tracked cities)
Avg Annual Temperature
50.9°F
61.3°F
+10.4°F in Tennessee
Iowa vs Tennessee — FAQ
- Is it cheaper to live in Iowa or Tennessee?
- Iowa is cheaper on rent — its median one-bedroom of $870 runs about 24% below Tennessee's $1,142, based on the cities we track in each state.
- How much more do you need to earn to live in Iowa than in Tennessee?
- To keep rent near the recommended 30% of gross income, based on median rent across tracked cities, you'd want to earn roughly $35,000 a year in Iowa versus $46,000 in Tennessee.
- Which has lower taxes, Iowa or Tennessee?
- Iowa has a top state income tax rate of 3.80% and a 6% state sales tax. Tennessee has no state income tax and a 7% state sales tax.
Housing, income, and climate are medians across the 1/2 cities we track in Iowa/Tennessee — not population-weighted statewide figures. Taxes are exact state-level rates. Sources: US Census Bureau, ACS 5-Year; NOAA Climate Normals 1981–2010; Tax Foundation 2026.