Nashville, TN vs. Madison, TN: Cost of Living Comparison (2025)
Considering a move to Nashville or Madison, Tennessee? This article provides a detailed cost of living comparison between the two cities. It’s perfect for families relocating, professionals choosing between job offers, or anyone comparing the real-life costs of living in Nashville vs Madison in 2025.
Here’s a quick comparison of key living costs:
- 🏠 Median rent for a 2BR apartment: $1,850 in Nashville vs $1,400 in Madison
- ⚡ Average monthly utility bill: $180 in Nashville vs $165 in Madison
- 🛒 Typical grocery costs for a family of 4: $950/mo in Nashville vs $875/mo in Madison
- 🏡 Median home price: $450,000 in Nashville vs $375,000 in Madison
1. Housing Costs
Housing is often the biggest factor in cost of living. Here’s how typical rents and home prices compare between Nashville and Madison:
| Housing Type | Nashville | Madison |
|---|---|---|
| Median rent for 2BR apartment | $1,850 | $1,400 |
| Median rent for 3BR house | $2,200 | $1,800 |
| Median home price | $450,000 | $375,000 |
🏆 Winner: Madison. Housing costs an average of 20-25% less in Madison compared to Nashville.
2. Utilities and Energy Costs
Utility costs are fairly similar between the two cities, with Madison having a slight edge:
- Average monthly electric, gas, water, and trash for a 2BR apartment: $180 in Nashville vs $165 in Madison
- Nashville and Madison both have hot summers and mild winters, so seasonal swings in energy use are comparable
- Both cities offer “time of use” electric plans to help lower costs by shifting usage to off-peak hours
🏆 Winner: Madison has marginally lower utility costs on average.
3. Groceries and Daily Expenses
Groceries and everyday items cost about 5-10% less in Madison compared to Nashville:
- Monthly grocery costs for a family of 4: around $950 in Nashville vs $875 in Madison
- Eating out: A meal at a mid-range restaurant averages $18 in Nashville vs $16 in Madison
- Gas prices are typically 10-20 cents/gallon cheaper in Madison
🏆 Winner: Madison offers modest savings on groceries and daily expenses.
4. Taxes and Fees
Both Nashville and Madison have relatively low tax rates:
- No state income tax in Tennessee
- Sales tax: 7% in Nashville vs 6.75% in Madison
- Property tax on a $400K home: $3,200/year in Nashville vs $2,800 in Madison
- Vehicle registration fees are about 15% lower in Madison
🏆 Winner: Madison has a slight edge with lower sales tax, property tax, and car registration costs.
5. Cost Summary Table
| Category | Nashville | Madison |
|---|---|---|
| Housing (2BR Rent) | $1,850 | $1,400 |
| Utilities | $180 | $165 |
| Groceries | $950 | $875 |
| Transportation | $75 | $60 |
| Misc | $500 | $450 |
| Estimated Monthly Total | $3,555 | $2,950 |
These estimates are based on typical pre-tax monthly costs for a working couple. Your actual cost of living will depend on your unique lifestyle and spending habits. For a deeper dive, check out these Monthly Budget Examples for Nashville Residents.
6. Lifestyle Fit
While Madison is more affordable overall, each city has its own vibe and tradeoffs to consider:
- Nashville has a vibrant downtown with world-class dining and nightlife, while Madison offers a quieter suburban feel
- Commute times are about 15 minutes shorter on average in Madison due to less traffic congestion
- Nashville has slightly more green space and parks per capita
7. Frequently Asked Questions
Q: Is Nashville more affordable than Madison?
A: No, Madison is about 15-20% cheaper than Nashville overall. Housing and daily expenses are the biggest factors.
Q: Which city has lower rent?
A: Madison. Typical rent for a 2BR apartment is $1,400 in Madison compared to $1,850 in Nashville.
Q: Where is it cheaper to buy a home?
A: Madison. The median home price is around $375,000 in Madison vs $450,000 in Nashville as of 2025.
8. Conclusion
While both great places to live, Madison offers a lower cost of living than Nashville as of 2025. Housing costs an average of 20-25% less in Madison, with additional savings on daily expenses, utilities, and taxes.
Madison may be the better fit for those prioritizing affordability and a quieter suburban lifestyle. Nashville’s higher costs come with perks like world-class entertainment and dining, plus slightly more park space.
Ultimately, the right choice depends on your budget, lifestyle, and personal preferences. For more info, check out our full Cost of Living in Nashville (2025 Guide).