Memphis, TN Rental Market
Memphis is one of the most affordable major rental markets in the South, anchored by FedEx's global headquarters, AutoZone, and a significant healthcare sector. The city's blues music heritage and rich cultural identity draw tourism and creative economy workers. Low home values relative to rents create some of the highest gross yields in Tennessee, making Memphis a compelling cash-flow market for investors.
Get a rent estimate for an address in MemphisAverage Rent in Memphis, TN
$1,070
per month · 2026-06
Market Score
Key Facts — Memphis, TN Rental Market
- Average rent in Memphis, TN:$1,070/mo
- Median rent:$985/mo
- Rent range:$525 – $2,350/mo
- Most common rental (2 bedrooms):$950/mo
- Active listings:1,800
- Avg days to lease:33 days
- Year-over-year change:+2.5%
- Median home value:$170,000
- Est. gross annual yield:7.6%
- Data as of:2026-06
Rent by Bedroom in Memphis, TN
Average monthly rent for each bedroom type based on current active listings in Memphis.
| Bedroom Type | Avg Rent/mo |
|---|---|
1 Bedroom | $775/mo |
2 Bedrooms | $950/mo |
3 Bedrooms | $1,200/mo |
4 Bedrooms | $1,475/mo |
5 Bedrooms | $1,700/mo |
Memphis Rental Market Statistics
Key indicators from the current Memphis, TN rental market.
1,800
Available now in Memphis
33
From list to lease
$0.86
Average across listings
1,250 sq ft
Typical rental size
$525 – $2,350
Min to max active listings
+2.5%
Avg rent vs. prior year
Investing in Memphis, TN Rental Properties
Estimated returns based on current market rents and median home values. Perform full due diligence before investing.
Median Home Value
$170,000
Typical purchase price in Memphis
Est. Gross Annual Yield
7.6%
Before expenses & vacancy
Avg Monthly Income
$1,070
At average market rent
Gross yield = (avg rent × 12) ÷ median home value. Does not include expenses, financing, vacancies, or management fees. Analyze a specific property in Memphis for a full cash-flow breakdown including all costs.
Memphis, TN Rental Market FAQ
Common questions about renting and investing in Memphis, TN.
What is the average rent in Memphis, TN?
The average rent in Memphis, TN is $1,070 per month as of 2026. One-bedroom apartments average $775/mo, two-bedrooms average $950/mo, and three-bedroom homes average $1,200/mo. Memphis consistently ranks among the most affordable large rental markets in the South.
Is Memphis, TN a good place to invest in rental property?
Memphis offers an estimated 7.6% gross annual yield — among the highest in Tennessee — due to its very low median home values (~$170,000). FedEx, AutoZone, and a large healthcare sector provide a stable, diverse employer base. Investors should focus on neighborhood selection carefully, as quality varies significantly across zip codes.
What drives rental demand in Memphis, TN?
Memphis rental demand is anchored by FedEx's world hub, which employs tens of thousands locally, along with AutoZone's corporate headquarters, Baptist Memorial Health Care, and the University of Memphis. The city's logistics infrastructure also attracts a large blue-collar workforce, supporting consistent demand for affordable rentals.
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