Median one-bedroom rent across the cities we track is $889 in Montana versus $1,142 in Tennessee. Overall, Montana runs roughly 22% cheaper on rent than Tennessee, its main day-to-day cost driver.
Median household income across tracked cities is $71,855 in Montana and $63,204 in Tennessee — about 12% higher in Montana. Montana has a top state income tax rate of 5.65% and no state sales tax; Tennessee has no state income tax and a 7% state sales tax.
State Taxes
Sales Tax
None
7%
+7.0 pp in Tennessee
Income Tax (top rate)
5.65%
None
+5.7 pp in Montana
Housing (median across tracked cities)
Median 1BR Rent
$889
$1,142
+28% in Tennessee
Median Home Value
$311,800
$270,100
+13% in Montana
Income (median across tracked cities)
Median Household Income
$71,855
$63,204
+12% in Montana
Climate (median across tracked cities)
Avg Annual Temperature
48.2°F
61.3°F
+13.0°F in Tennessee
Montana vs Tennessee — FAQ
- Is it cheaper to live in Montana or Tennessee?
- Montana is cheaper on rent — its median one-bedroom of $889 runs about 22% 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 Montana 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 $36,000 a year in Montana versus $46,000 in Tennessee.
- Which has lower taxes, Montana or Tennessee?
- Montana has a top state income tax rate of 5.65% and no 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 Montana/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.