Cost of Living in Murfreesboro
Murfreesboro's cost-of-living case rests on two real, verifiable pillars: no state income tax, and a median home price that actually declined 4.8% year-over-year in the most recent Redfin read -- a genuine softening, not marketing spin. That's set against one of the highest combined sales tax rates in the country, a real offsetting cost worth weighing honestly.
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Learn moreHousing costs are down, not just 'affordable'
Redfin put Murfreesboro's median home sale price at $405,000 for the three months ending roughly May 2026, DOWN 4.8% year-over-year -- a real, disclosed softening (see the base record and housing-market) rather than a market still running hot. Combined with no state income tax, this is Murfreesboro's clearest cost-of-living advantage relative to Nashville proper or the pricier Williamson County suburbs.
Rent: a real, if not dramatic, spread across trackers
RentCafe cited Murfreesboro's average apartment rent at $1,572/month as of February 2026, up a modest 0.41% year-over-year -- a stable rather than sharply rising rental market. By unit size: studios average $960, one-bedrooms $1,341, two-bedrooms $1,588, and three-bedrooms $1,960 (RentCafe). See renting for the fuller picture.
The state sales tax offset is real and worth budgeting for
Tennessee's lack of a state income tax is a genuine structural advantage, but Murfreesboro's combined sales tax rate of 9.75% (7.0% state + 2.75% local) sits at the state's maximum local add-on -- among the small group of Tennessee cities (also including Memphis, Kingsport, Cleveland, and Johnson City) at that ceiling. Tennessee's statewide average combined rate (9.61%) is itself the second-highest of any state in the country, behind only Louisiana's 10.13% (Tax Foundation, 2026). This is a real, disclosed offset to the no-income-tax advantage, not a minor footnote.
Homeowners insurance runs meaningfully below the Tennessee statewide average
A 2026 city-level analysis put Murfreesboro homeowners insurance at $1,379/year for a $300,000 home ($500 deductible) and $2,602/year for a $600,000 home -- both well below Tennessee's statewide average, cited in the $3,045-$3,757/year range depending on source (one source specifically puts the state average at $3,408/year, calling Tennessee the 7th-most-expensive state for homeowners insurance nationally). See insurance-hazard-costs for the fuller breakdown.
Key takeaways
- Murfreesboro's median home sale price actually fell 4.8% YoY to $405,000 (Redfin, 3 months ending ~May 2026) -- a real softening, not just relative affordability language.
- Average apartment rent is $1,572/month (RentCafe, Feb 2026, up a modest 0.41% YoY) -- studios average $960, one-bedrooms $1,341, two-bedrooms $1,588, three-bedrooms $1,960.
- Tennessee has no state income tax, but Murfreesboro's 9.75% combined sales tax rate sits at the state's maximum local add-on -- and Tennessee's statewide average combined sales tax rate (9.61%) is the second-highest of any US state (Tax Foundation, 2026), a real offsetting cost.
- City-level homeowners insurance figures ($1,379/yr on a $300K home, $2,602/yr on a $600K home) run meaningfully below the $3,045-$3,757/yr Tennessee statewide average cited across sources.
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