Side-by-side comparison of mortgage costs, property taxes, closing costs, and homeowners insurance between Rhode Island and Tennessee. Updated for 2026.
Tennessee wins 5 of 6 cost categories, making it the more affordable state for homebuyers overall. With a median home price of $340K and lower overall costs, Tennessee offers meaningful savings compared to Rhode Island. Both states offer first-time buyer programs — explore the state pages for full details.
Estimated PITI payments assuming 10% down, 6.5% rate, 30-year fixed mortgage with PMI.
Buying in Tennessee saves you approximately $882/month ($10,584/year) compared to Rhode Island, based on median home prices with identical loan terms.
Home prices in Rhode Island and Tennessee are relatively close, with only a 20% difference ($85K). At similar price points, your decision should focus on the other cost factors: property taxes, insurance, closing costs, and the overall quality of life each state offers. Small percentage differences in tax rates compound over decades of homeownership.
Tennessee has a moderate property tax advantage at 0.56% versus Rhode Island's 1.53%. While the rate gap of 0.97% may seem small, it translates to an annual difference of approximately $4,599 when applied to each state's median home price. Over a typical homeownership period of 7-10 years, that adds up to $37K in savings.
Both states offer down payment assistance for first-time buyers. Rhode Island's RIHousing First Homes provides 10K DPA forgivable, while Tennessee's THDA Great Choice Home Loan offers Up to $25,000 DPA. These programs can significantly reduce your upfront costs and make homeownership accessible even if you haven't saved a full 20% down payment. Check eligibility requirements on each state's housing finance agency website — income limits and purchase price caps apply.
The bottom line: Rhode Island and Tennessee are broadly similar in housing costs, with only $882/month separating them in total PITI payments. In cases like this, your decision should be driven by lifestyle preferences — job opportunities, climate, proximity to family, and quality of life — rather than pure cost savings. Either state offers a reasonable path to homeownership.