2024 · Tennessee

Rental yield in Tennessee

In 2024, the typical rental in Tennessee produced a gross yield of 4.6% $1,284/mo median rent against a $333K median home value, ranking 29th of 51 states.

4.6%

Gross rental yield

below the 4.9% U.S. median

$1,284/mo

Median gross rent

incl. utilities (ACS)

$333K

Median home value

owner-occupied (ACS)

ProInvestorHubHighest-yield metros in TennesseeAnnual rent ÷ home value, top 10TN statewideJackson, TN6.3%%Memphis, TN-MS-AR5.6%%Clarksville, TN-KY5.2%%Johnson City, TN4.9%%Chattanooga, TN-GA4.7%%Kingsport-Bristol, TN-VA4.6%%Nashville-Davidson--Murfreesboro--Franklin, TN4.3%%Morristown, TN4.2%%Knoxville, TN4.2%%Cleveland, TN3.8%%Source: CFPB HMDA 2025 · proinvestorhub.comProInvestorHub

Tennessee metros by yield

Metropolitan areas in Tennessee with at least 65,000 residents, ranked by gross rental yield.

MetroGross yieldMedian rentMedian value
Jackson, TN6.3%$1,102/mo$209K
Memphis, TN-MS-AR5.6%$1,330/mo$283K
Clarksville, TN-KY5.2%$1,260/mo$292K
Johnson City, TN4.9%$993/mo$245K
Chattanooga, TN-GA4.7%$1,265/mo$325K
Kingsport-Bristol, TN-VA4.6%$917/mo$237K
Nashville-Davidson--Murfreesboro--Franklin, TN4.3%$1,627/mo$449K
Morristown, TN4.2%$876/mo$250K
Knoxville, TN4.2%$1,219/mo$351K
Cleveland, TN3.8%$1,034/mo$322K

Frequently asked questions

What is the gross rental yield in Tennessee?

In 2024, Tennessee had a gross rental yield of 4.6% — $1,284/mo median gross rent against a $333K median home value. That ranks 29th of 51 states (1 = highest yield). Nationally the figure was 4.9%.

Which Tennessee metros have the best rental yield?

Among Tennessee metros covered by the data, gross yield was highest in Jackson, TN (6.3%), Memphis, TN-MS-AR (5.6%), and Clarksville, TN-KY (5.2%).

Does this account for expenses or financing?

No. Gross yield is a top-line market screen — it excludes property taxes, insurance, vacancy, management, and financing. Use it to compare markets, then run a specific deal through a cap-rate or cash-flow calculator.

How investors finance deals in Tennessee

Yield shows where the numbers work; our Investor Financing Report for Tennessee shows the rate premium, denial rate, and DSCR lending investors face there.

Source: U.S. Census Bureau, American Community Survey 2024 1-year estimates. Gross rental yield = (median gross rent × 12) ÷ median home value. A market screen, not a net return.