Chattanooga: The Data Profile (2026)

Chattanooga represents a compelling statistical anomaly for the 2026 relocation market: a city with a 187,023 population that punches above its weight in connectivity but lags in aggregate income. The local median income sits at $62,547, which is 16.1% below the US median of $74,580. However, the educational attainment is surprisingly robust, with 36.3% of the population holding a bachelor's degree or higher, exceeding the national average of 33.1%.

The statistical target demographic is the "High-Earner/Low-Cost" remote worker. This profile fits individuals earning $90,000+ who can leverage the 21.5% discount on housing costs relative to the national average, effectively arbitraging their income to achieve a higher standard of living than their home city would allow.

Cost of Living Analysis

Despite the income deficit, the aggregate Cost of Living Index (COLI) is heavily weighted in the resident's favor. The housing index is the primary driver, sitting at 78.5 (21.5% below average). However, utilities present a unique data point: electricity costs 12.42 cents/kWh, which is 22.4% cheaper than the US average of 16.0 cents/kWh. This is a critical variable for EV owners and home office operators.

Table 1: Cost of Living Breakdown (Monthly Budgets)

Disposable Income Analysis:
A single person earning the median income of $62,547 (approx. $4,000 monthly take-home) faces a 71% cost-to-income ratio based on Table 1 estimates. While manageable, it leaves limited margin for savings. Conversely, a remote worker earning the US average of $74,580 relocating here sees an immediate monthly surplus increase of approximately $600-$800, representing a 15-20% boost in disposable income.

Housing Market Deep Dive

The housing market is the city's strongest asset. The median home price is significantly depressed compared to national medians, creating a high barrier-to-entry advantage for buyers. The rent-to-price ratio favors buying, as rent for a 2-bedroom unit is $1,390, while the buy-side entry point remains accessible.

Table 2: Housing Market Data (Buying vs Renting Analysis)

Buy vs. Rent Verdict:
The data strongly favors buying for those intending to stay 3+ years. The monthly mortgage payment on a median home ($285,000) with 20% down at current rates often rivals the $1,850 cost of renting a comparable 3-bedroom unit. The 32.1% discount on the principal home value allows for immediate equity capture compared to national averages.

Economic & Job Market Outlook

In 2026, the "Post-Remote" landscape solidifies Chattanooga's position. With a low unemployment rate of 3.6% (below the US average of 4.0%), the local economy is stable. The city's gigabit infrastructure (the "Gig City" moniker) supports a thriving freelance and tech sector, insulating it from traditional industrial volatility.

Commute & RTO:
Because the city is geographically compact (population 187,023), the average commute time remains low. Even with a Return-To-Office (RTO) mandate, the maximum commute rarely exceeds 25 minutes. This is a significant quality-of-life differentiator compared to larger metros where 60+ minute commutes are standard.

Quality of Life Audit

While the economic data is positive, the health metrics present a cautionary tale. The city scores a 78.3/100 on the Health Score, but risk factors are elevated. The obesity rate is 36.3% (vs. 31.9% US) and diabetes is 13.9% (vs. 10.9% US). Air quality, however, is pristine with an AQI of 48.

Table 3: Quality of Life Metrics

Safety Analysis:
Safety is the primary statistical downside. Violent crime is 673 per 100k residents, which is 77% higher than the US average of 380 per 100k. Property crime is also elevated at 2,679 per 100k (US avg: 2,000). This requires active neighborhood selection for new residents.

Weather & Schools:
Current weather shows a temperature of 61.0°F with active showers. The climate is generally humid subtropical, offering four distinct seasons. Schools show a mix, with a higher percentage of college-educated parents (36.3%) driving demand for specific charter and private options, though public school ratings vary significantly by zip code.

The Verdict

Pros:

• Housing Value: A 32.1% discount on median home prices creates massive wealth-building potential.
• Infrastructure: World-class internet speeds support high-paying remote work.
• Disposable Income: Low utility costs (12.42 cents/kWh) and rent reduce monthly burn rate by 15-20% vs. national average.
• Unemployment: A tight labor market (3.6%) indicates economic resilience.

Cons:

• Crime Rates: Violent crime is 77% above the national average; security is a mandatory budget line item.
• Health Risks: High rates of obesity (36.3%) and diabetes (13.9%) suggest a challenging environment for health-conscious living without discipline.
• Income Ceiling: Local median income is 16.1% lower; local job offers will likely underpay compared to national averages.

Recommendation:
Chattanooga is a "Buy" for 2026. It is an ideal location for remote workers earning $80,000+ who can leverage the housing arbitrage. The crime statistics require due diligence, but the economic and infrastructure benefits heavily outweigh the risks for the target demographic.

FAQs

1. What salary is needed to live comfortably in Chattanooga in 2026?
To live alone comfortably (saving 20%, including rent), a salary of $75,000 is recommended. For a family of four, the target household income should be $125,000+ to maintain a similar standard of living.

2. How does the value proposition compare to Nashville?
Chattanooga is approximately 40-50% cheaper than Nashville regarding housing. While Nashville's median income is higher, the cost-of-living gap has widened in Chattanooga's favor, offering better "house-for-your-dollar" metrics.

3. Are the safety statistics accurate for the whole city?
Yes, the data (673 violent crime per 100k) is a city-wide average. However, crime is hyper-localized. The suburbs (Lookout Mountain, Signal Mountain) have crime rates comparable to the safest US suburbs, while specific urban zones skew the average upward.

4. When is the best time to move?
The rental market tightens in late summer (July-August) due to university cycles. The optimal window for inventory and pricing is October through February, where negotiation leverage on home purchases is highest.