When we are considering a retirement destination, the cost of living is one of the first factors many of us think about. Fortunately, Knoxville is one of the more affordable places to live in the United States, and it is a standout in many of the budget categories that matter most to people trying to get the most out of their retirement funds.
As of September 2016, Forbes figures the cost of living in Knoxville is three percent lower than the national average. In addition, Tennessee does not collect an income tax, so you keep more of your earnings. Let’s now take a closer look at some of the main expenses.
Home prices and rents are on a slow upward trend in Knoxville, and that is likely to continue as a steady stream of new residents and job growth keep housing costs on the rise. As of July 2015, the median home price in Knoxville is $141,900. And, the average rents costs are $734 per month for a one-bedroom apartment and $895 for a two-bedroom unit as of July 2016.
According to Sperling’s Best Places, Knoxville residents’ spending on food is well below the nationwide average. The site reports that Knoxvillians spend 13.2 percent less than the rest of the country for groceries. At the supermarket, Knoxville-area grocery shoppers pay an average of $2.07 for a dozen eggs, $3.67 for a gallon of milk, and $4.08 for a pound of boneless, skinless chicken breasts as of September 2016.
The overall transportation prices in Knoxville are among the lowest in the country. In fact, residents spend fifteen percent less than the national average on transportation expenses. You will likely spend even less if you are retired and do not have a workday commute. As of September 2016, gas prices in Knoxville range from $1.48 per gallon to $2.39. Car insurance rates are typically higher in Knoxville than the nationwide average – about $1,248 per year compared to $1,099 in the rest of the US – but rates vary by habits, vehicle, and driver history.
For the most part, senior care costs are lower in Knoxville. The cost for home health care is about $5,000 per year cheaper in Knoxville than the national average. Adult day health care costs about $15,600 per year in Knoxville versus the US median rate of $17,680. Nursing home care is also less expensive in Knoxville at $81,030 and $72,635 per year for private and semi-private rooms respectively. This compares to the national averages of $92,378 and $82,125. Assisted living is more expensive though at $46,800 in Knoxville versus $43,539 nationally.
Look for the best deals on utilities and comparison shop for housing based on walkability, affordable transportation alternatives, and price to make the most of your nest egg in Knoxville.
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