Indianapolis' Artsy Suburb With A High Quality Of Life Was Crowned The Best Place To Live In America For 2026-2027

If you're looking for the best place to live in America, U.S. News & World Report has just revealed where you need to go. The real estate arm of the digital media company released its list of The Best Places to Live in the U.S. in 2026-2027, placing Carmel at the top after the Indianapolis suburb finished runner-up last year. Carmel is already one of America's coolest suburbs and an unexpected artsy biker's paradise, but it's now also getting due recognition for its high livability.

According to U.S. News reporter Erika Giovanetti, Carmel earned its first-place ranking by having "a little bit of something for everyone." U.S. News looked at 859 cities for this year's ranking. It assessed its own internal resources and data from various private and government sources, including the U.S. Census Bureau, the Department of Commerce, and the Federal Reserve. Of the 859 cities, Carmel consistently performed well across the four main indexes used to determine the best places to live: quality of life, value, desirability, and job market.

Carmel's best result was finishing 15th for quality of life, an index that assesses multiple aspects of life, including education, healthcare, air quality, environmental risks (such as natural disasters), and state economy and infrastructure. This high quality of life propelled Carmel to the top spot, but its other scores — 40 for jobs, 90 for desirability, and 114 for value — were also well above average. A big part of this quality of life in Carmel centers around its pedestrian-friendly nature. The suburban city has thoughtful additions, such as its 28.5-mile paved Monon Trail for walkers and cyclists to get into downtown and beyond, and an active arts community. Carmel is also Indiana's "Roundabout Capital," providing over 150 roundabouts to improve traffic flow and help drivers and pedestrians feel safer.

Carmel has a friendly and supportive community that makes everyone feel welcome, whether they're visitors, new residents, or longtime locals. Wendy Stein, a Carmel local who's lived in the city for over 30 years, writes in her blog, Life in Indy, that Carmel "hosts a wide variety of events to bring the community together" each year. Many of these community events center around Carmel's art culture. The annual Carmel International Arts Festival, held on the last weekend of September, exhibits over 100 professional artists to the public. During this weekend, you can browse high-quality jewelry, paintings, sculptures, photography, and other unique pieces available for purchase. The festival also showcases local student artwork and features live music and food trucks.

Art and community also collide within the Carmel Arts & Design District, a walkable collection of over 200 shops, galleries, and other businesses focused on art and design. These shopfronts cluster around Main Street in downtown Carmel, sitting among public sculptures and murals. This is also where you'll find a section of the Indiana Glass Trail, featuring around 15 glass artists from the Carmel area. They create beautiful glass sculptures, mosaic pieces, unique glassware, bespoke glass-beaded jewelry, and other surprising pieces.

The Carmel Arts & Design District is also responsible for many of the suburb's community-focused art events. The Arts in Autumn festival, held annually in mid-October, is a fun, family-friendly afternoon that fosters creativity through hands-on arts and crafts. You can get your face painted, watch balloon artists, and create a special keepsake during one of the workshops. Carmel on Canvas, held in August, is an open-air exhibition of painters spread throughout the city. The event is primarily a judged competition for the painters, but it also has a hands-on zone for kids to paint.

Carmel is technically part of Indianapolis' wider metropolitan sprawl, located about 30 minutes' drive north of downtown Indy. But as it continues to collect more awards and recognitions for its livability, family-friendly nature, schools, art, and career prospects, it feels deserving of its own distinction beyond just an Indianapolis suburb. "Carmel is a community built for big dreams," said Mayor Sue Finkam in a City of Carmel press release. "Whether you are starting a new chapter, looking for a place to raise a family, or enjoying your senior years, our city is ready to welcome you."

You can get a sense of this strong, independent community almost every Saturday at either the Carmel Farmers Market, held from May through September, or the Carmel Winter Market, from October through March. Both markets have numerous stalls with local producers selling farm-fresh and handmade products. You can find handmade chocolate, gourmet bagels, mead, microgreens, Chai tea, Tanzanian samosas, bison, and even French crepes. Live musicians also often play at both markets, from singer-songwriters and cover artists to acoustic and percussion bands. If you miss the market but still want delicious food, head to Bub's Burgers & Ice Cream off Main Street. Known for its friendly service, get your hands on an elk burger with a side of sloppy waffle fries, then finish off with a Bub's Apple Berry Blossom pastry topped with vanilla ice cream.

While Carmel was U.S. News' best place to live, another Indiana city was oh so close to achieving the top ranking. Fishers, America's safest and most affordable family destination, finished second while equaling Carmel's overall score. The two suburban cities are only 15 minutes' drive apart, so you could visit both on your next trip to Indiana.