Buy vs Rent in Nashville, TN (2026)
Median home price $420K · 1BR rent $1,800/mo · Price-to-rent ratio 19.4x.
Median home price
$420K
1BR rent
$1,800/mo
Price-to-rent ratio
19.4x
Verdict
Neutral
Monthly cost of buying — 3 scenarios
30-year mortgage at 7% · Includes property tax, insurance, and maintenance estimates
| 3.5% down (FHA) | 10% down | 20% down (conventional) | |
|---|---|---|---|
| Down payment | $14,700 | $42,000 | $84,000 |
| Mortgage (P&I) | $2,696/mo | $2,515/mo | $2,235/mo |
| Property tax (est.) | $385/mo | $385/mo | $385/mo |
| Insurance (est.) | $175/mo | $175/mo | $175/mo |
| Maintenance (est.) | $350/mo | $350/mo | $350/mo |
| Total monthly cost | $3,606vs rent: +$1,806/mo | $3,425vs rent: +$1,625/mo | $3,145vs rent: +$1,345/mo |
| Income to qualify | $115,543/yr | $107,786/yr | $95,786/yr |
| Break-even (approx.) | ~1 yrs | ~2 yrs | ~5 yrs |
Nashville housing context
$65K
Median HH income
per year
$95,786
Income needed (20% down)
per year
+$31K
Affordability gap
vs median income
Frequently asked questions
Is it better to buy or rent in Nashville?
Nashville's price-to-rent ratio of 19.4x is in the neutral zone (15-20x). Whether to buy or rent depends on how long you plan to stay, your down payment, and your personal finances.
How much do I need to earn to buy a home in Nashville?
With a median home price of $420K in Nashville, you'd need an annual income of roughly $95,786 to qualify with 20% down (at 7% rate, 28% housing ratio). With 10% down, you'd need about $107,786/year.
Nashville full cost of living breakdownCheaper cities near NashvilleHow much to retire in NashvilleCompare mortgage rates
Mortgage at 7% 30-yr fixed · Property tax 1.1% est. · Maintenance 1% est. · Zillow, BLS · Q1 2026 · For general guidance only