Kentucky is ranked in the top 13 states in the country with the best economic opportunities. The rankings are based on affordability, professional equality, and overall social structure.
Apart from affordable living, the Bluegrass State offers excellent job opportunities. Kentucky has the 8th best job market in the country. Moreover, the cost of living in the state is 8% lower than the national average.
3 Reasons to Live in Kentucky 🏇🏿
- Flourishing Job Market: By 2028, the job markets in Kentucky will rise by 6.2%. Transportation, finance, and healthcare are the growing sectors.
- Affordable Healthcare: The cost of healthcare services such as body check-ups and dentistry in Kentucky is 12% less than the national average.
- Enormous Tax Benefits: In Kentucky, there is no tax on social security income. Also, homeowners over 65 are exempt from paying property taxes.
7 Best Places to Live in Kentucky
| # | City | Population | Median Home Price | Monthly Expenses | Unemployment Rate | Community Well-Being Score |
|---|---|---|---|---|---|---|
| 1. | Fayetteville | 95,022 | $338,200 | $7,499 | 2.4% | 55/100 |
| 2. | Bentonville | 54,513 | $508,000 | $7,699 | 2.2% | 57/100 |
| 3. | Cave Springs | 5,521 | $535,000 | $7,699 | 3.4% | 57/100 |
| 4. | Bella Vista | 30,297 | $322,500 | $7,699 | 4.8% | 57/100 |
| 5. | Centerton | 18,655 | $362,366 | $7,699 | 3.4% | 57/100 |
| 6. | Hillcrest | 5,911 | $375,000 | $7,337 | 3.4% | 64/100 |
| 7. | Rogers | 69,961 | $390,000 | $7,337 | 2.4% | 55/100 |
1. Hopkinsville
| Home Value | ⬆️ 7.7% |
| Median Income | $25,240 |
| Monthly Expenses | $6,776 |
| Unemployment Rate | 4.90% |
Hopkinsville is a perfect option for those moving on a budget. The median home price in the city is $168,511, which is quite affordable. Moreover, the cost of living is 19% lower than the national average.
Hopkinsville is ideal for young professionals, as the job market has grown by 9.14% in the last few years. Apart from being one of the best places to live in Kentucky, the city is known for its top-rated education system. The Christian School is the largest school district in Hopkinsville.
» Homes for Sale in Hopkinsville, KY: Find your dream home in Hopkinsville.
2. Owensboro
| Home Value | ⬆️ 5.3% |
| Median Income | $26,103 |
| Monthly Expenses | $7,348 |
| Unemployment Rate | 4.00% |
The median home price in Owensboro is $184,290. The city’s cost of living is 15% less than the national average. Also, Owensboro has a booming job market, with an average annual salary of $51,186.
The City on the Yellow Banks has excellent connectivity, the Owensboro-Daviess Regional Airport (OWB / KOWB) is just 5-10 miles from the city center. Moreover, the city has an 85% score in the air quality metrics.
» Homes for Sale in Owensboro, KY: View the best properties in Owensboro online.
3. Edgewood
| Home Value | ⬆️ 4.4% |
| Median Income | $45,271 |
| Monthly Expenses | $8,034 |
| Unemployment Rate | 1.4% |
The median home price in Edgewood is $329,750.The cost of living in the city is 10% lower than the state average. Moreover, Edgewood has a stable job market with an unemployment rate of 1.4%, less than the national average.
The job market in Edgewood is projected to increase by 25.4% in the next decade. Pace, Hope Bridge, and Ortho Cincy are the major employers. Moreover, the city has an A+ rating in terms of healthcare parameters.
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4. Fort Thomas
| Home Value | ⬆️ 2.4% |
| Median Income | $42,595 |
| Monthly Expenses | $8,165 |
| Unemployment Rate | 4.37% |
The median home price in Fort Thomas is $314,327. The cost of living in the city is 9% lower than the national average. Fort Thomas is cheaper than Lexington when it comes to housing.
Fort Thomas is ideal for job seekers, with over 84,000 employees. The city is home to big corporate giants like Apple, State Farm, Ecolab, Fastenal, and YMCA.
» Homes for Sale in Fort Thomas, KY: Find the best properties in the Fort Thomas neighborhood.
5. Louisville
| Home Value | ⬆️ 4.5% |
| Median Income | $30,874 |
| Monthly Expenses | $7,711 |
| Unemployment Rate | 5.6% |
Louisville is one of the best places to live in Kentucky. The median home price in the city is $228,634. The average rent for a 931 sq. ft. apartment is $1217. Also, the city is home to the prestigious University of Louisville, which is ideal for higher education.
The cost of housing in Louisville is 21% lower than the national average. Moreover, the city’s job market is projected to grow by 38.3% in the next ten years. Thorntons, Capegemini, Kroger, UPS, Churchill Downs, and Pharmaron are some of the major employers in the city.
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6. Covington
| Home Value | ⬆️ 9.5% |
| Median Income | $27,969 |
| Monthly Expenses | $8,034 |
| Unemployment Rate | 3.90% |
The median home price in Covington is $184,325. The cost of living in the city is 13% lower than the national average. Moreover, the city has a great educational setup. It’s home to the prestigious Northern Kentucky University and Thomas More University.
Covington is home to some big corporations like Corporex, BDO-USA, and Blair Technology Group. The city’s unemployment rate is 3.90%, decreasing at a decent pace.
» Homes for Sale in Covington, KY: Find your dream home on Houzeo.
7. Bowling Green
| Home Value | ⬆️ 4.3% |
| Median Income | $20,982 |
| Monthly Expenses | $7,440 |
| Unemployment Rate | 4.00% |
The median home price in Bowling Green is $263,693. The city’s cost of living and housing are 13% and 29% lower than the national average, respectively.
BG has a booming job market. The city has one of the top-ranked job markets, with a projected growth of 33% for the coming decade. Over the years, the city’s economy has flourished in sectors like agriculture, transportation, and retail marketing.
» Homes for Sale in Bowling Green, KY: View thousands of properties for sale in this beautiful city.
Best Places to Live in Kentucky for Young Adults
Here are the best cities in Kentucky for young adults:
- Lexington: The average annual salary in Lexington is $50,717. The job market is projected to increase by 51.22% in the next ten years, higher than the national projection.
- Union: The average salary in the city is $31,478. Union has been adding 180,000 new jobs every month since August 2023.
Bottom Line
Kentucky is one of the best places to live in the US due to its thriving job market and low cost of living. Other factors that contribute are its excellent education system and vibrant city life.
The Bluegrass State’s current population is 4.5 million, and it’s projected to increase by 6% by 2030. Moreover, the state is ranked as the 13th safest state in the country.
In some cities, the median home price is around $168,511, whereas in cities like Edgewood, it can go up to $329,750. So, you must do your research before you move to Kentucky. To start your home search, browse properties online.
» Free Home Value Estimator: Get an estimate of property values with Kentucky’s most accurate home value estimator.
Find Homes For Sale by Type and Style in KY
Research Methodology
We considered different regions to rank the best places in Kentucky. Comparison criteria for the best cities to live in Kentucky and the information sources are as follows:
- Population: Kentucky Demographics Report [1]
- Median Home Price: Zillow[2] and Redfin[3]
- Median Household Income: United States Census Bureau[4]
- Monthly Expenses: Economic Policy Institute[5]
- Unemployment Rate: US Bureau of Labor Statistics[6]
- Community Well-Being Score: Community Well-Being Index by Sharecare[7]
Additionally, we have listed the good cities to live in Kentucky for varying demographics. These include the best places to live for families, young adults, retirees, and working professionals.
Frequently Asked Questions
Which is the best place to live in Kentucky?
Hopkinsville is the best place to live in Kentucky. The city's cost of living is low and has a flourishing job market.
Which is the best place to live in Kentucky for retirees?
Owensboro is the best place to live for retirees. The city is known for its excellent connectivity and favorable climatic conditions.
Which is the cheapest place to live in Kentucky?
Louisville is the cheapest place to live in Kentucky. The home prices and cost of living in the city are the lowest in the state.
