Buying a home in Tennessee
Property taxes, transfer taxes, home values and first-time buyer help in Tennessee.
For home buyers in Tennessee: the taxes and typical costs of buying, with official sources.
At Tennessee's effective rate of 0.5%, a typical $330,844 home would owe about $1,654/year ($138/month) in property taxes. Actual bills depend on your county, city and exemptions. Run your numbers.
Tennessee Housing Development Agency
Your state housing finance agency offers down payment assistance and low-rate mortgages for eligible buyers. Visit Tennessee Housing Development Agency →
Next steps
Sources: U.S. Census Bureau ACS 2020–2024 5-year (B25103, B25077); Zillow Home Value Index; TallyClose closing-cost dataset (CC BY 4.0), which cites each state statute; NCSHA HFA directory. Last updated 2026-11-01.
Common questions
What is the property tax rate in Tennessee?
The effective property tax rate in Tennessee is 0.5%: the median tax of $1,442 divided by the median home value of $286,700 (U.S. Census Bureau ACS 2020–2024).
What is a typical home value in Tennessee?
$330,844 in September 2026, according to the Zillow Home Value Index.
Does Tennessee have a real estate transfer tax?
Yes. The state transfer tax is 0.37% of the price, usually paid by the buyer.
Who offers first-time homebuyer help in Tennessee?
Tennessee Housing Development Agency, the state housing finance agency, offers down payment assistance and lower-rate loans for eligible buyers.
Updated . Official sources: U.S. Census Bureau ACS, Zillow Research ZHVI.
Mortgage rates, home prices and saving tips, every week.
One short email with this week's rate move, local price trends and a plan to grow your down payment. Unsubscribe anytime.