Indiana Has Four of the Best Small Cities in America, Including the #1 Spot!

Why Small City Living Wins for So Many People

Living in a big city definitely has its perks, but let’s be honest, big-city life isn’t for everyone. For many, the charm of a smaller city wins every time. Lower costs, friendlier vibes, and a little more breathing room make “small city living” the sweet spot. In fact, nearly half of Americans say they’d rather live in the suburbs than in a major metro or out in the sticks.

That’s why WalletHub’s annual report on The Best Small Cities in America is always fun to check out. They studied more than 1,300 cities with populations between 25,000 and 100,000, ranking them on affordability, economic health, education and health, quality of life, and safety. And guess what? Indiana is shining bright on this year’s list!

Carmel Tops the List for the Second Year in a Row

For the second year in a row, Carmel, Indiana, snagged the #1 spot as the very best small city in America. What makes Carmel so special? A super low unemployment rate (just 3%), affordable rent, and outstanding health and safety stats. It’s also one of the safest places you could live, with low crime rates and excellent community health.

ALSO READ: Indiana's Shortest and Longest Town Names Will Surprise You

More Hoosier Cities in the Spotlight

Carmel wasn’t the only Indiana city to earn bragging rights:

• Westfield came in at #5, scoring high for affordability, education, and safety.
• Fishers followed right behind at #6.
• Noblesville rounded things out at #19.

That means four Indiana cities landed in the top 1% of all small cities in America!

Not-So-Great News for a Couple of Hoosier Towns

Of course, not every Indiana city came out looking great. Gary landed near the bottom at #1,310 out of 1,318, while West Lafayette also struggled with high housing costs, poverty levels, and slow income growth.

ALSO READ: Indiana Leads U.S. in Water Quality Improvements for 2025

Still, the big takeaway? Indiana is home to some of the best small cities in the country, proving you don’t have to live in a massive metro to enjoy a thriving, safe, and affordable community.

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You can scroll over this interactive map to see the rest of the results, but your eyes might go crossed looking at all those dots. The results are a little bit easier to see HERE, along with any other information you might want about the study.