Is it cheaper to live in Memphis or Santa Fe?

Memphis, TN is cheaper. Its monthly baseline of $1,110 (1BR rent + utilities) runs about 15% below Santa Fe, NM's $1,310, mainly because of rent.

How much more do you need to earn to live in Memphis than in Santa Fe?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $38,000 a year in Memphis versus $47,000 in Santa Fe.

Which has lower taxes, Memphis or Santa Fe?

Memphis is taxed under Tennessee's rules (no state income tax and a 7% state sales tax); Santa Fe under New Mexico's (a top state income tax rate of 5.90% and a 4.875% state sales tax).

Memphis vs Santa Fe Cost of Living 2026

Memphis

Tennessee

$1,110/mo est.

Santa Fe

New Mexico

$1,310/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,110 in Memphis, TN versus $1,310 in Santa Fe, NM. Overall, Memphis, TN is roughly 15% cheaper to live in day-to-day than Santa Fe, NM, driven mainly by rent.

Median household income is $51,211 in Memphis, TN and $70,110 in Santa Fe, NM — about 27% higher in Santa Fe, NM. Tennessee has no state income tax and a 7% state sales tax; New Mexico has a top state income tax rate of 5.90% and a 4.875% state sales tax.

Memphis, TN

Santa Fe, NM

Rent

Studio

$877

$969

+10% in Santa Fe, NM

1 Bedroom

$948

$1,167

+23% in Santa Fe, NM

2 Bedroom

$1,073

$1,559

+45% in Santa Fe, NM

3 Bedroom

$1,281

$1,733

+35% in Santa Fe, NM

Buying a Home

Median Home Value

$157,100

$411,500

+162% in Santa Fe, NM

Income

Median Household Income

$51,211

$70,110

+37% in Santa Fe, NM

Metro Median Wage (annual)

$46,890

$48,710

+4% in Santa Fe, NM

People & Lifestyle

Median Age

34.3 yr

46.4 yr

+12.1 yr in Santa Fe, NM

Homeownership

46.0%

62.8%

+16.8 pp in Santa Fe, NM

Bachelor's+ (25+)

28.2%

45.4%

+17.2 pp in Santa Fe, NM

Avg Commute

21.3 min

20.2 min

+1.1 min in Memphis, TN

Crime (per 100k/yr)

Violent Crime

2,507.6

843.3

+66% in Memphis, TN

Property Crime

6,966.3

5,189

+26% in Memphis, TN

FBI Crime Data Explorer. Offenses per 100,000 residents per year; agency reporting practices vary, so this is approximate.

Climate

Avg Annual Temperature

63.1°F

51.9°F

+11.2°F in Memphis, TN

Annual Precipitation

53.7 in

13.5 in

+40.2 in in Memphis, TN

Gas

Regular Gasoline

$3.94/gal

$3.62/gal

+8% in Memphis, TN

Area: Midwest (PADD 2) vs Gulf Coast (PADD 3).

Public Transit

Base Fare (one-way)

$1.75

—

Adult base one-way fare — MATA vs — (2026).

Utilities

Electricity (¢/kWh)

14.5

14.1

+2% in Memphis, TN

Natural Gas ($/MCF)

$16.83

$11.90

+29% in Memphis, TN

Residential, state-level averages (EIA). MCF = 1,000 cubic feet.

Groceries

Milk (gal)

$4.00

$4.82

+20% in Santa Fe, NM

Bread (lb)

$1.75

$2.04

+17% in Santa Fe, NM

Eggs (doz)

$2.21

$2.19

+1% in Memphis, TN

Ground Beef (lb)

$6.45

$7.36

+14% in Santa Fe, NM

Chicken (lb)

$1.90

$2.01

+6% in Santa Fe, NM

Bananas (lb)

$0.62

$0.70

+14% in Santa Fe, NM

Average prices — South vs West (BLS). Regional where available, otherwise U.S. average.

State Taxes

Sales Tax (TN / NM)

4.875%

+2.1 pp in TN

Income Tax (top rate)

None

5.90%

+5.9 pp in NM

Memphis vs Santa Fe — FAQ

Is it cheaper to live in Memphis or Santa Fe?: Memphis, TN is cheaper. Its monthly baseline of $1,110 (1BR rent + utilities) runs about 15% below Santa Fe, NM's $1,310, mainly because of rent.
How much more do you need to earn to live in Memphis than in Santa Fe?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $38,000 a year in Memphis versus $47,000 in Santa Fe.
Which has lower taxes, Memphis or Santa Fe?: Memphis is taxed under Tennessee's rules (no state income tax and a 7% state sales tax); Santa Fe under New Mexico's (a top state income tax rate of 5.90% and a 4.875% state sales tax).

Sources: US Census Bureau, ACS 5-Year (rent, income, home value, demographics); NOAA Climate Normals 1981–2010 (climate); EIA weekly retail (gas); Tax Foundation 2026 (state taxes).