Alcoa, TN

Very Low · 71

Tennessee · Population 11,635 · Updated March 2026

$1,057
Median Rent / Month
$60,049
Median Income
$232,300
Median Home Value
$893
Owner Costs / Month

Affordability

How far your income goes in Alcoa

21.1%
Rent-to-Income Ratio
Affordable
Rent takes less than 25% of median income — considered affordable by HUD standards.

Tax Burden in Tennessee

State-level tax rates that affect your costs

0%
Income Tax (Top Rate)
7.0%
Sales Tax
0.64%
Property Tax Rate

Estimated Annual Costs

$12,684
Annual Rent
$0
State Income Tax
$1,487
Property Tax (est.)

Cost of Living Overview

Alcoa is significantly cheaper than the national average, making it an attractive option for budget-conscious individuals and families. With a cost index of 71 (where 100 equals the national median), Alcoa residents can expect to pay median rent of $1,057/month while earning a median household income of $60,049/year.

The median home value in Alcoa, TN is $232,300, with typical monthly owner costs around $893 including mortgage, insurance, and taxes. The median rent-to-income ratio of 21.1% means housing is relatively affordable here — well below the 30% threshold that HUD considers cost-burdened.

Tennessee has no state income tax, which can represent significant savings compared to high-tax states. Combined with a 7.0% sales tax rate and 0.64% effective property tax rate, the overall tax environment helps keep costs manageable in Alcoa.

Frequently Asked Questions

Common questions about living costs in Alcoa

What is the cost of living in Alcoa, TN?
The cost of living index in Alcoa, TN is 71 (US average = 100). Median monthly rent is $1,057, median household income is $60,049/year, and the median home value is $232,300.
Is Alcoa, TN affordable?
Yes, Alcoa is more affordable than the national average with a cost index of 71. The rent-to-income ratio is 21.1%—below the 30%% threshold considered affordable by HUD.
What is the average rent in Alcoa, TN?
The median gross rent in Alcoa, TN is $1,057 per month according to the US Census Bureau ACS 2023 data. Annual rent costs approximately $12,684.
What is the median household income in Alcoa?
The median household income in Alcoa, TN is $60,049 per year. This compares to the national median of approximately $80,000.
What are the taxes like in Tennessee?
Tennessee has a top income tax rate of 0%, a sales tax of 7.0%, and an effective property tax rate of 0.64%. Notably, there is no state income tax.