A new study shows the percentage of Tennessee homeowners that have paid off their mortgages is above the national average by 2.4 percent.
Constructive Coverage, which specializes in researching construction software, insurance, and related services, recently released a report analyzing U.S. locations with the most working-age residents who have paid off their homes.
The national average of working-age individuals who have paid off their homes is 27.7 percent.
Tennessee’s average, according to the study, is higher than the national average at 30.1 percent.
In addition, among Tennessee households with a mortgage, the median income is $99,000, while the median income for the households without a mortgage is $69,600.
The study also notes that monthly housing costs, such as mortgage payments, insurance, utilities, and others, differ between homeowners with and without mortgages. Housing costs total a median $451 per month for homeowners under 65 without a mortgage in Tennessee while the same costs total a median of $1,500 for those without a mortgage.
“Mortgage payoff rates vary substantially across the country. While at the national level, the share of homeowners under age 65 who have paid off their homes is 27.7%, not all areas have equal rates of free-and-clear homeownership,” Constructive Coverage said in its report. “Americans who own their homes outright are less vulnerable during recessions compared to those households with large mortgages.”
Chattanooga was cited in the study for having one of the highest percentages of working-age homeowners who have paid off their homes in the top mid-size metro areas in the nation at 31.7 percent.
Three Tennessee cities – Johnson City (41 percent), Morristown (40.5 percent), and Cleveland (38.5 percent) – were also cited in the study for having notably high percentages of working-age homeowners who have paid off their homes in the top small-size metro areas in the nation.
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Kaitlin Housler is a reporter at The Tennessee Star and The Star News Network. Follow Kaitlin on X / Twitter.
