We study the impact of traffic noise and how it is systematically capitalized into the house value discount. By using the speed and volume values of traffic flows as inputs to the noise prediction model, we created noise nuisance rings using a geographic information system (GIS) for the entire road and rail road transportation system in Shelby County, Tennessee. We found that traffic nuisance, in general, has a significantly negative impact on housing values. The discount on housing values increases in the noise nuisance levels. In addition, the increased intensity of traffic volume within the Memphis Aerotropolis boundary leads to a further decrease in housing values.