Cost of Living in Covington, TN

Population 8,612 · Tennessee · Data vintage 2023

60
Cost Index
(100 = US avg)
Page updated: · Data vintage: 2023 ACS 5-Year
Sources: Census ACS·BLS·NOAA·EPA·Zillow · Methodology

Household incomes in Covington run well below national norms — a median of $43,512 versus the $74,580 US figure. Housing costs partially offset that gap (typical home values around $164,000). At 6.5%, the local unemployment rate runs well above the US figure, pointing to structural rather than cyclical labor-market issues.

Geographically, Covington is about 35 miles northeast of Memphis, the nearest large metro. Housing prices track closely with Memphis' $157,000 median.

Cost Overview

Housing 54
Rent 69

Scale: 100 = US national average. Green < 90, Red > 110.

About the Cost of Living in Covington

The median home value in Covington is $163,900 — 46% below the national median of $305,000. Median rent runs $910/month, 31% lower than the national median of $1,314/month. The median household income of $43,512/year is 42% lower than the US median of $74,580. The local unemployment rate is 6.5%, above the national average of 4.8%. Tennessee charges no state income tax, a meaningful advantage for take-home pay. The climate averages highs of 71.0°F and lows of 51.2°F. Overall, Covington has a cost of living index of 60 versus the US average of 100, meaning it is 40% less expensive.

🏠 Housing

Median Home Value
$163,900
46% below avg
Zillow Home Value
$201,447
Zillow ZHVI
Median Rent
$910/mo
31% below avg
Price-to-Rent Ratio
15.0x
Favors buying
Property Tax Rate
0.7%
Effective rate

HUD Fair Market Rents by Bedroom

Studio
$731
1 BR
$809
2 BR
$948
3 BR
$1,265
4 BR
$1,510
Owner-occupied 48.3%
Renter-occupied 51.8%

💰 Estimated Monthly Budget

Rent median rent
$910
Groceries national estimate
$400
Utilities local estimate
$88
Transportation local gas prices
$126
Estimated Total $1,524/mo

Estimates based on median data and national averages. Actual costs vary.

🛒 Food & Groceries

National BLS average prices (2023). Local prices may vary.

🥚
Eggs (dozen)
$0.548
🍞
White Bread (lb)
$1.912
🥩
Ground Beef (lb)
$5.61

🚗 Transportation

Avg Commute
29.4 min
9% above avg
Gas Price
$3.145/gal
0% below avg
Work From Home
6.4%

Commute Mode

Drove alone
79.0%
Carpooled
11.4%
Walked
0.7%
Work from home
6.4%

Utilities

Electricity
$0.176/kWh
0% below avg

📋 Taxes

State Income Tax (flat) None
Total Sales Tax 9.6%
State rate 7.0%
Avg local rate 2.5%
Property Tax 0.7%

💼 Income & Employment

Median Household Income
$43,512
42% below avg
Per Capita Income
$23,808
Unemployment Rate
6.5%
35% above avg
Poverty Rate
25.8%
Labor Force Participation
55.9%

🎓 Education

Bachelor's degree+ 5.7%
Graduate degree 7.5%

👥 Demographics

Median Age 35.1
Male median age 34
Female median age 37.1

🌤 Climate

NOAA 1991–2020 Climate Normals

Avg High
71.0°F
Avg Low
51.2°F
Annual Precip
43"
30° 48° 65° 83° 100° JFMAMJJASOND High Low Precip
Month JanFebMarAprMayJunJulAugSepOctNovDec
High °F 485261728189919084746150
Low °F 313441516169726961504134
Precip" 3.223.264.394.884.853.253.042.702.403.043.834.17

🏫 Schools

NCES CCD 2019 — public school district data

95%
4-Year Graduation Rate
16.3:1
Student-teacher ratio
14
Public schools
10,681
Total enrollment

Frequently Asked Questions

What is the cost of living in Covington, TN?

Covington has a cost index of 60 (100 = national average). It is 40% below the national average.

What is average rent in Covington, TN?

The median gross rent in Covington is $910 per month based on 2023 Census data.

What is the average home price in Covington?

The median home value in Covington is $163,900 according to Zillow and Census data.

What is the median income in Covington?

The median household income in Covington is $43,512 per year (2023 ACS 5-year estimates).

What is the sales tax in Covington, TN?

The combined state and local sales tax rate in Covington is 9.6%. Tennessee has no state income tax.

Is Covington, TN affordable?

Yes, Covington is generally considered affordable, with a cost of living index of 60 — about 40% below the US national average of 100.

What is the weather like in Covington?

Covington has average high temperatures of 71.0°F and average lows of 51.2°F. Annual precipitation is 43". Data from NOAA 1991–2020 Climate Normals.

Covington at a Glance

Population
8,612
Median Income
$43,512
Home Value
$163,900
Median Rent
$910/mo
Unemployment
6.5%
Avg High Temp
71.0°F
Sales Tax
9.6%
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Explore county-level cost of living data

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