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Market MapChattanooga, TN
Metropolitan Area

Chattanooga, TN

Tennessee07 counties
53
/100
Hold
#663 of 894 metros
Top 74% nationally for investing

Market Snapshot

$316,247
Median Home Price
29% above national median
$1,484/mo
Median Rent
7% above national median
5.63%
Rent-to-Price Ratio
Top 60% nationally
-$693
Est. Monthly Cash Flow
With 20% down at 6.9% rate

Price History

Trend based on YoY growth rate. Source: Zillow ZHVI/ZORI

Quick Investment Calculator

20%
5%50%100%

Purchase

Purchase Price$316,247
Down Payment (20%)$63,249
Loan Amount$252,998
Interest Rate6.85%

Monthly Cash Flow

Gross Rent+$1,484
Monthly P&I-$1,658
Est. Expenses (35%)-$520
Net Cash Flow-$693/mo
3.7%
Cap Rate (all cash)
-11.4%
Cash-on-Cash Return
5.63%
Rent-to-Price Ratio
Negative leverage: At 6.85% rates, borrowing costs exceed the 3.7% cap rate. All-cash buyers may see better returns.

* Based on metro-wide median values. 35% expenses include taxes, insurance, maintenance, vacancy, and property management. Individual counties and properties vary significantly.

Run Full AnalysisTry House Hack Strategy

Score Breakdown

Overall Investment Score
53/100
53
Cash Flow(30%)
54/100

Based on 5.63% rent-to-price ratio. Higher ratios indicate stronger cash flow potential.

Appreciation(25%)
48/100

Based on 0.0% YoY price growth. Moderate growth (3-8%) scores highest.

Stability(25%)
50/100

Based on 0.0% population growth. Growing areas indicate economic stability.

Affordability(20%)
62/100

Based on price relative to estimated local incomes.

Scores are calculated using real Zillow metro-level home value and rent data, Census population data, and economic indicators. The weighted average produces the overall investment score. This metro score represents area-wide averages; individual counties may vary significantly.

Investment Outlook

Strengths

  • +Low unemployment (0.0%)
  • +Large metro with 7 counties offering diverse opportunities

Challenges

  • -Negative cash flow at typical financing (-$693/mo)
  • -Negative leverage (cap rate 3.7% < mortgage rate 6.9%)

Counties in Chattanooga, TN

Best Overall
Marion
TN - Score: 66
Most Affordable
Walker
GA - Score: 60
Verdict
MarionTN
28,85266$250,222$1,5507.43%BuyView
WalkerGA
68,06560$231,326$1,3617.06%BuyView
CatoosaGA
68,05258$287,445$1,5006.26%HoldView
RheaTN
33,03156$252,280Est.HoldView
DadeGA
16,23952$246,904Est.HoldView
SequatchieTN
16,06552$276,009Est.HoldView
HamiltonTN
367,19350$344,796$1,5175.28%HoldView

Click any county to see detailed investment analysis

Compare to Similar Metros

Metro AreaVerdict
Charleston, WV
Charleston, WV
73$145,739$1,0788.87%BuyView
Champaign, IL
Champaign, IL
73$225,664$1,3977.43%BuyView
Flint, MI
Flint, MI
73$185,184$1,0776.98%BuyView
Beaumont, TX
Beaumont, TX
73$178,189$1,2798.62%BuyView
Terre Haute, IN
Terre Haute, IN
73$160,847$9236.89%BuyView
Current
Chattanooga, TN
53$316,247$1,4845.63%Hold

The Bottom Line

HoldChattanooga, TN is a neutral market. Consider house hacking or targeting below-market deals in specific counties.

The Chattanooga, TN metro area scores 53/100, ranking #663 of 894 US metros (top 74%). The 5.63% rent-to-price ratio may require targeting specific counties or creative strategies for positive cash flow. Among 7 counties, Marion shows the strongest investment potential (score: 66). Current metro-wide averages make traditional buy-and-hold investing challenging. Consider house hacking, value-add strategies, or drilling down to specific counties.

Monthly Cash Flow
$-693/mo
Cap Rate
3.7%
Cash-on-Cash
-13.1%

Ready to Invest in Chattanooga, TN?

Use our investment calculators to run detailed numbers on specific properties, or explore individual counties for more targeted opportunities.

Single Family1-4 unit rentalsHouse HackOwner-occupiedMultifamily5+ unit propertiesBest CountyMarion
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