Smaller suburban cities with strong job markets, lower crime and relatively affordable living costs are dominating America’s latest livability rankings, with Carmel, Indiana, named the best place to live in the United States in a new consumer rankings report.
The U.S. News & World Report’s real estate division recently published its list of the best places to live in America for 2026-2027 based on a score taking into account housing affordability, the cost of living, quality of life indicators, such as health care and education, and desirability influences like crime rates and the weather.
Why Smaller Cities Are Dominating
Many of the cities at the top of the rankings are mid-sized suburban communities rather than large urban hubs. U.S. News said the highest-ranked places generally combined strong local economies with lower unemployment, good schools, manageable commutes and access to amenities.
Recent Census Bureau data also point to continued population growth on the outer edges of major metro areas, particularly in the South and Midwest, as Americans move toward suburban and exurban communities offering more affordable housing and room for expansion.
The rankings, which evaluated 250 cities suggest many Americans are prioritizing space, shorter commutes and economic stability over life in major metropolitan centers.
Top 10 in the US
- Carmel, Indiana (Overall Score: 7.2)
- Fishers, Indiana (Overall Score: 7.2)
- Flower Mound, Texas (Overall Score: 7.1)
- Ankeny, Iowa (Overall Score: 7.1)
- Johns Creek, Georgia (Overall Score: 7.1)
- Hoover, Alabama (Overall Score: 7.0)
- Rochester Hills, Michigan (Overall Score: 7.0)
- Leander, Texas (Overall Score: 7.0)
- Frisco, Texas (Overall Score: 6.9)
- Sugar Land, Texas (Overall Score: 6.9)
Carmel, Indiana
Located just north of Indianapolis, Carmel topped the rankings with an overall score of 7.2 out of 10. The city has a population of about 103,768 and a median household income of $144,615, according to U.S. News.
Researchers said Carmel “offers a higher value of living compared to similarly sized cities.” While the median home value in Carmel is $477,625—above the national median of $359,870—the city also benefits from a relatively strong labor market and short commute times.
About 73.6 percent of residents drive to work, while the average commute is roughly 20.85 minutes, slightly below the national average. The city’s unemployment rate of 3.3 percent is also lower than the national average of 4.5 percent.
Carmel also has developed a growing downtown area with restaurants, retail and cultural attractions, including the Center for the Performing Arts, helping it appeal to families and professionals seeking suburban living with urban-style amenities.
Texas and Indiana’s Strong Showing
Texas and Indiana performed especially well in the rankings, with multiple cities appearing in the top 10.
Texas placed Pearland, League City and Leander among the highest-ranked cities, while Indiana had both Carmel and Fishers in the top five.
The Census Bureau said many of the fastest-growing communities in recent years have been located on the outer edges of large metro areas, particularly in Sun Belt states where housing development and population growth continue to outpace older urban cores.
Which Cities Ranked Lowest
At the other end of the rankings were several larger cities facing economic and infrastructure challenges.
The 10 lowest-ranked cities were:
- San Bernardino, California
- Detroit
- Brownsville, Texas
- Shreveport, Louisiana
- Mobile, Alabama
- Jackson, Mississippi
- Augusta, Georgia
- Baton Rouge, Louisiana
- Beaumont, Texas
- Memphis, Tennessee
What the Rankings Suggest About U.S. Migration Trends
The rankings reflect broader migration patterns reshaping the U.S., with many Americans continuing to move toward smaller cities and suburban communities offering lower costs and more space.
The Census Bureau said suburban and outer-ring communities around major metropolitan areas recorded some of the country’s strongest population gains between 2024 and 2025.
This shift would likely have a lot to do with remote and hybrid work, housing affordability pressures and quality-of-life concerns that accelerated during and after the COVID-19 pandemic.
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