Median one-bedroom rent across the cities we track is $1,192 in Minnesota versus $1,142 in Tennessee. Overall, Tennessee runs roughly 4% cheaper on rent than Minnesota, its main day-to-day cost driver.
Median household income across tracked cities is $80,269 in Minnesota and $63,204 in Tennessee — about 21% higher in Minnesota. Minnesota has a top state income tax rate of 9.85% and a 6.875% state sales tax; Tennessee has no state income tax and a 7% state sales tax.
State Taxes
Sales Tax
6.875%
7%
+0.1 pp in Tennessee
Income Tax (top rate)
9.85%
None
+9.8 pp in Minnesota
Housing (median across tracked cities)
Median 1BR Rent
$1,192
$1,142
+4% in Minnesota
Median Home Value
$345,600
$270,100
+22% in Minnesota
Income (median across tracked cities)
Median Household Income
$80,269
$63,204
+21% in Minnesota
Climate (median across tracked cities)
Avg Annual Temperature
47.4°F
61.3°F
+13.9°F in Tennessee
Minnesota vs Tennessee — FAQ
- Is it cheaper to live in Minnesota or Tennessee?
- Tennessee is cheaper on rent — its median one-bedroom of $1,142 runs about 4% below Minnesota's $1,192, based on the cities we track in each state.
- How much more do you need to earn to live in Minnesota 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 $48,000 a year in Minnesota versus $46,000 in Tennessee.
- Which has lower taxes, Minnesota or Tennessee?
- Minnesota has a top state income tax rate of 9.85% and a 6.875% 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 Minnesota/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.