Memphis vs Sacramento for Families (2026)
Scroll down for childcare estimates, home price-to-income ratios, and FAQ.
Full family cost breakdown
| Metric | Memphis Tennessee | Sacramento California |
|---|---|---|
| Studio rent / month | $900Better | $1,600 |
| 2BR rent / month | $1,400Better | $2,600 |
| Median home price | $200KBetter | $480K |
| Median household income | $42K | $68KBetter |
| Est. childcare / month | $1,079Better | $1,651 |
| State income tax | NoneBetter | 9.3% |
| Sales tax (combined) | 9.8% | 8.8%Better |
| Monthly utilities | $170 | $150Better |
| Groceries index (US = 100) | 94Better | 106 |
Frequently asked questions
Which city is better for raising a family — Memphis or Sacramento?
Based on housing costs, income, taxes, and overall affordability, Memphis scores better for families. 2-bedroom rent is $1,400/mo in Memphis vs $2,600/mo. Memphis is approximately 35% cheaper overall. That said, both cities have strong family communities — the right choice depends on your career, lifestyle, and proximity to family.
What is the average 2-bedroom rent in Memphis vs Sacramento?
As of Q1 2026, median 2BR rent is $1,400/month in Memphis and $2,600/month in Sacramento. Memphis is 46% cheaper for a family-sized apartment.
Can a family afford to buy a home in Memphis or Sacramento?
The price-to-income ratio in Memphis is 4.8× ($200K median home, $42K median income). In Sacramento it's 7.1× ($480K home, $68K income). A ratio below 3× is generally considered affordable — Memphis is more achievable for first-time family homebuyers.
How much does childcare cost in Memphis vs Sacramento?
Estimated infant/toddler childcare runs approximately $1,079/month in Memphis and $1,651/month in Sacramento, based on national averages scaled by each city's cost-of-living index. Annual childcare cost difference: ~$6,864/year.
Which city has lower taxes for families?
Memphis (Tennessee) has no state income tax vs Sacramento's 9.3% rate. For a dual-income family earning $120K combined, that difference is roughly $930/month in take-home pay.
$100K in Memphis has the same purchasing power as $153K in Sacramento
Childcare estimates based on national avg scaled by COL index · Data: Zillow, BLS, Numbeo, Tax Foundation · Q1 2026