Chattanooga sees higher monthly bills than national average, when adjusted for income
This article was originally posted by Chattanooga Times Free Press
At $1,900, the average monthly cost of household bills in Chattanooga is below that of the nation’s at over $2,100, but when adjusted for the area’s income, the city’s is 10% above the national average.
Aside from Memphis, Chattanooga household expenses are higher than every other major metro area in Tennessee, according to a recent study from Doxo, a company that publishes data to help people pay their monthly bills.
Cost of monthly household bills in Tennessee
— Chattanooga: $1,900; 10% above national average, adjusted for income
— Knoxville: $2,009; 4% above
— Nashville: $2,457; 9% above
— Memphis: $1,912; 27% above
— Clarksville: $1,949; same as national average
Source: Doxo’s cost of bills index
The highest cost for Chattanooga households is mortgage and rent at an average of $1,189 and $1,053, respectively.
In 2022, Hamilton County saw its largest annual rent increase over the decade prior, outpacing the national average.
Breakdown of average monthly bills in Chattanooga
— Mortgage: $1,189
— Rent: $1,053
— Auto loan: $540
— Utilities: $333
— Auto insurance: $108
— Health insurance: $89
— Mobile phone: $114
— Cable and internet: $109
— Life insurance: $70
— Alarm and security: $82
Source: Doxo’s cost of bills index
Michael Gilliland, a community organizer for the advocacy group CALEB, said in a phone interview many people can’t afford a large emergency expense.
“There are a lot of people that are on a cusp,” Gilliland said. “What you see in the rising homelessness is people that are being pushed off that cusp through medical bills, through increased rent, through really just the cost of everything.”
Historically, Gilliland said, homeownership was the pathway for many to build wealth and a safety net for themselves. With rising home prices, however, that has changed.
“That opportunity is becoming more and more out of reach for people,” Gilliland said.
Housing is only one part of it, Gilliland said.
“It’s a conversation about affordable housing, but it’s also a conversation about wages,” Gilliland said. “These pressures on everyday Chattanoogans are really going to continue to put these pressures on employers to increase wages that they’re offering because the current rate of growth is just unsustainable for people at their income levels.”