Cost of Living: Albuquerque, NM vs Knoxville, TN (2026)

Albuquerque

New Mexico
80
VS

Knoxville

Tennessee
74

Albuquerque is 6% more expensive than Knoxville.

$1,085/mo ↓ 3%
Median Rent
$1,116/mo ↑ 3%
$65,604/yr ↑ 29%
Median Income
$50,994/yr ↓ 22%
$266,700 ↑ 25%
Home Value
$214,000 ↓ 20%
$1,149/mo ↑ 7%
Owner Costs
$1,075/mo ↓ 6%
562,488
Population
193,721

Tax Comparison

5.9%
Income Tax
0%
5.0%
Sales Tax
7.0%
0.67%
Property Tax
0.64%

Affordability

19.8%
rent-to-income
Affordability
26.3%
rent-to-income

Detailed Comparison

When comparing Albuquerque, NM and Knoxville, TN, the overall cost of living indices are 80 and 74 respectively (national median = 100). Rent is comparable in both cities, with less than $50/month separating them.

Median household income is $14,610/year higher in Albuquerque. Home values also differ significantly — the median in Albuquerque is $266,700 compared to $214,000 in Knoxville.

Tennessee has no state income tax, giving Knoxville residents a significant tax advantage over New Mexico's 5.9% rate.

Frequently Asked Questions

Albuquerque vs Knoxville — common questions

Is Albuquerque or Knoxville cheaper to live in?
Based on our cost index, Knoxville is cheaper to live in with an index of 74 compared to 80 (US average = 100).
What is the rent difference between Albuquerque and Knoxville?
Median rent in Albuquerque is $1,085/month and in Knoxville it's $1,116/month — a difference of $31/month.
Which city has higher income, Albuquerque or Knoxville?
Median household income is $65,604 in Albuquerque and $50,994 in Knoxville. Median household income is $14,610/year higher in Albuquerque.
How do taxes compare between New Mexico and Tennessee?
New Mexico has 5.9% income tax, 5.0% sales tax, and 0.67% property tax. Tennessee has 0% income tax, 7.0% sales tax, and 0.64% property tax.
Should I move to Albuquerque or Knoxville?
It depends on your priorities. Albuquerque has a cost index of 80 with median rent of $1,085/mo, while Knoxville has a cost index of 74 with rent of $1,116/mo. Consider income potential, tax burden, and lifestyle preferences alongside raw cost data.
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