Home Values in Memphis, Tennessee — 2026 Market Report
Updated March 2026 | Balanced Market | +3.4% YoY
The median home value in Memphis, Tennessee is $155,000 as of March 2026, which is below the national median of $400,000. Home values in Memphis have increased by 3.4% over the past year and 18.2% over the last five years. With a population of 633,104 and a median household income of $41,864, the price-to-income ratio stands at 3.7x, making Memphis affordable for the average household.
Memphis Housing Market Conditions
| Metric | Memphis | National Avg |
|---|---|---|
| Median Home Value | $155,000 | $400,000 |
| YoY Appreciation | +3.4% | +3.8% |
| 5-Year Appreciation | +18.2% | +22.4% |
| Price per Sq Ft | $57 | $222 |
| Days on Market | 45 days | 45 days |
| Months of Supply | 4.9 | 3.5 |
| List-to-Sale Ratio | 96.1% | 98.5% |
| Monthly Homes Sold | 253 | — |
| Foreclosure Rate | 0.7% | 0.3% |
Home Value Trends in Memphis
A homeowner who purchased at the median price of $131,134 five years ago in Memphis would have gained approximately $23,866 in equity, representing a 18.2% return on investment. Over the past year alone, the typical homeowner gained $5,097 in home equity.
Affordability in Memphis, TN
With a median household income of $41,864 and a median home price of $155,000, the price-to-income ratio in Memphis is 3.7x. A ratio below 3x is generally considered affordable, while above 5x indicates significant affordability challenges. The average monthly rent of $822 compared to estimated monthly ownership costs of $822 gives a rent-vs-buy ratio of 1.00. In Memphis, buying is currently competitive with renting when factoring in equity accumulation.
Property Taxes in Memphis
The effective property tax rate in Tennessee is 0.66%. On a home valued at $155,000, the estimated annual property tax bill is $1,023, or approximately $85/month. Property taxes are an important factor in the total cost of homeownership and can significantly impact affordability. The cost of living index in Memphis is 82.4 (100 = national average), indicating living costs are below the national average.
Calculate Your Mortgage Payment in Memphis
Use our free calculator to estimate monthly payments for a $155,000 home
Open Mortgage CalculatorFrequently Asked Questions
What is the median home value in Memphis, TN?
The median home value in Memphis, Tennessee is $155,000 as of March 2026. Home values have changed +3.4% over the past year, with a 5-year appreciation of 18.2%.
Is Memphis a buyer's or seller's market?
Memphis is currently a balanced market with 4.9 months of housing supply. Homes spend an average of 45 days on market, and the list-to-sale price ratio is 96.1%. Supply and demand are relatively balanced.
Are home values going up in Memphis?
Yes, home values in Memphis have increased by 3.4% over the past year. The 5-year appreciation rate is 18.2%, meaning a home worth $131,134 five years ago is now worth $155,000.
Is it better to rent or buy in Memphis?
The average monthly rent in Memphis is $822, while estimated monthly homeownership costs are approximately $822. The price-to-rent ratio is 15.7. Based on current conditions, buying may be more cost-effective than renting in this market.
Home Values in Other Tennessee Cities
Related Resources
Disclaimer: Home value data for Memphis, Tennessee is based on publicly available market data and estimates. Actual home values may vary based on property condition, location within the city, and current market conditions. Data is updated regularly but may not reflect the most recent transactions. Last updated: March 2026.