Posted by: Richie Bernardo

Urbanization might be the trend for much of the population, but not everyone craves the bright lights and crowded spaces of the big metropolis. For those who appreciate more wiggle room, fewer degrees of separation and shorter commutes, small-city life can be tough to beat. And those are just a few of its advantages. Granted, these little urban areas demand some tradeoffs, too, such as fewer restaurant options or shorter business hours.

But one of the best perks of living in a city with a relatively smaller population? Affordability. According to the Economic Policy Institute, the cost of living for a two-parent, two-child family in Hanford, California, for instance, would be nearly 1 percent less than the median U.S. household budget of $5,312, compared with 44 percent more for the same family in San Francisco. Even with a lighter wallet, anyone can enjoy a comparable, or even better, quality of life for much less in a cozy place like Hanford.

No two small cities are made equal, though, so which ones outshine the rest? To find out, WalletHub’s analysts compared more than 1,200 U.S. cities with populations between 25,000 and 100,000 based on 33 key indicators of livability. They range from housing costs to school-system quality to restaurants per capita. Read on for the winners, additional insight from our panel of experts and a full description of our methodology.

1. Main Findings
2. Ask the Experts
3. Methodology

Main Findings

Given the large sample of cities ranked in this study, we grouped cities by percentile. The 99th percentile represents the top 1 percent of small cities in America.

Embed on your website<iframe src="//d2e70e9yced57e.cloudfront.net/wallethub/embed/16581/geochart-small.html" width="556" height="347" frameBorder="0" scrolling="no"></iframe> <div style="width:556px;font-size:12px;color:#888;">Source: <a href="http://ift.tt/2ifBASc;  

 

Ask the Experts

Living in a small city can be fulfilling, but it comes with challenges as well. For additional insight, we asked a panel of experts in fields such as urban development and public safety to share their thoughts on the pros and cons of small-city life and how to make these areas more attractive to prospective dwellers. Click on the experts’ profiles below to read their bios and thoughts on the following key questions:

1. What are the most important financial factors to consider when deciding where to live?
2. What are the benefits and drawbacks of living in a small city versus a large city?
3. In evaluating the best small cities to live in, what are the top five indicators?
4. What can local policymakers do to attract and retain new residents in small cities?

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• Benjamin Y. Clark Assistant Professor of Public Administration in the Department of Planning, Public Policy, and Management at the University of Oregon
• Ezra Haber Glenn Lecturer in the Department of Urban Studies and Planning at Massachusetts Institute of Technology
• Douglas D. Perkins Professor of Human & Organizational Development in the Peabody College at Vanderbilt University
• Shoshanah B.D. Goldberg-Miller Assistant Professor in the Department of Arts Administration, Education and Policy at The Ohio State University
• Siddhartha Sen Professor and Interim Assistant Dean of the School of Architecture and Planning at Morgan State University
• Susan Bradbury Professor in the Department of Community & Regional Planning at Iowa State University, College of Design

Benjamin Y. Clark Assistant Professor of Public Administration in the Department of Planning, Public Policy, and Management at the University of Oregon What are the most important financial factors to consider when deciding where to live? The decision of where to live should be comprehensive. I would never recommend someone move to a location just because it has low taxes, for example. Low taxes frequently means that you have limited services delivered by your local government. It is important to look at the bundle of services provided locally to find the combination that meets your needs, with some eye toward the cost of those services relative to housing costs. It is difficult for the layman to quickly assess the future trajectory of taxes because financial reporting is rather complex and directed toward experts rather than every day citizens. What are the benefits of living in a small city versus a large city? What are the drawbacks? Small city living often provides one with more manageable commutes – assuming you are not commuting to the big city for work. Small city living gives you more and easier access to your local leaders. Small city living frequently means more personalized services from your local government. On the other hand, large cities are afforded economies of scale, making the delivery of services cheaper (per person) relative to small cities. This means that large cities will be able to offer a wider range of services than smaller cities, but often in these circumstances you’ll get less personalized services since the population is much larger. In evaluating the best small cities to live in, what are the top five indicators?

• Quality of infrastructure.
• Quality of schools.
• Quality/Variety of entertainment and arts.
• Economic/Job opportunities.

What can local policymakers do to attract and retain new residents in small cities? Don’t just focus on taxes or tax breaks as a way to lure residents to your town. This is a trap that is not sustainable and only encourages people to shop tax rates, so these folks may move when they get a better offer. For long-term sustainability, policymakers need to think holistically about infrastructure (roads, bridges, parks, water/sewer, etc.), schools, and economic opportunity. Increasingly, walkability and transportation alternatives are becoming very important — particularly for millennials who are demanding walkable and bike friendly living. Shifting zoning regulations towards a scheme that allows for mixed use development will become more important, even in small towns. Ezra Haber Glenn Lecturer in the Department of Urban Studies and Planning at Massachusetts Institute of Technology What are the most important financial factors to consider when deciding where to live? First, I don't think that financial factors are necessarily the most important factors -- far more important for most people (both rich and poor and in between) relate to culture, weather, history, family, and the like. People often live in places that economists (or their idealized "rational actors") would not choose -- we're a perverse, fickle species, which is what makes us charming. That said, to answer your question, the most important financial factors are (1) cost of housing, (2) employment options, and (3) relative incomes in the region. My sense is that far too often, people (including residents, politicians, journalists) have a hard time thinking about how these three factors relate: employment and wages may be high, but that drives up the cost of housing (especially in older cities where housing development is slow or nonexistent), which has the effect of pushing out lower-wage workers. This can then make the area "unlivable" for many, even though in theory the economy is strong. (At the same time, many people -- rich and poor alike) will decide to pay more for housing in order to have access to the other benefits of these areas, leading to a population that may be extremely "rent burdened" (which leads to other problems -- no money to spend on much else). What are the benefits of living in a small city versus a large city? What are the drawbacks? My sense is that for the past generation or two, smaller cities tend to give more of the benefits of urban living (jobs, density, culture) without the perceived drawbacks (congestion, unaffordability, crime, pollution, noise), and they can often be more responsive to the concerns of voters and residents, but they may also have less "ballast" and be susceptible to economic shocks. In addition, the recent trend for wealthy people to move back to larger cities (coupled with the "suburbanization of the poor") may be confusing this trend as well -- it may be that we are concentrating our richest residents into our largest/richest cities, leaving smaller cities further behind without the resources to revitalize when industry leaves. In evaluating the best small cities to live in, what are the top five indicators? It depends entirely on who you are. Schools? Parks? Do you have a steady job, or are you looking for one? Can you afford to buy a house, or will you be a renter? Are you a minority that needs to worry about segregation and racial prejudice against you? Unfortunately, we live in an extremely unequal country, which makes it impossible to talk about what is best without asking, "best for whom?" What can local policymakers do to attract and retain new residents in small cities? Focus on supporting and retaining existing residents and the rest will do itself. Be your own city, don't try to reinvent yourself. Diversify your economic base, and never put all your economic eggs into one industry or company. Focus on the basics – quality education, fill the potholes, deliver fair and just policing, provide clean water and efficient public services; don't be afraid to charge the taxes that it takes to deliver these things -- good government costs money, and taxes pay for it, and smart businesses and residents understand this. Douglas D. Perkins Professor of Human & Organizational Development in the Peabody College at Vanderbilt University What are the most important financial factors to consider when deciding where to live? As anywhere else, compare your salary or wages (which will likely be lower than in a big city) to the local cost of living (which should also be lower). If in a region with rising housing costs, try to buy rather than rent. What are the benefits of living in a small city versus a large city? What are the drawbacks? Benefits are typically lower costs, greater safety, ease and speed of getting around, including parking and no traffic. Drawbacks are that local employment may be limited and schools may not be as strong unless the town/small city is near a larger one and has commuters. Thus, generally, the less isolated the small city, the better. In evaluating the best small cities to live in, what are the top five indicators? Good schools; stable, living-wage employment; vibrant business/civic center; usable, clean, attractive open space; sensible planning and zoning based on strong social capital (sense of community, neighboring, citizen participation, empowered community). A strong anchoring institution, such as a college, is often a benefit to all of the above. What can local policymakers do to attract and retain new residents in small cities? Work to attract employment while planning for affordable housing and keeping environment clean and healthy (i.e., not heavy industry employment, which may not be economically stable anyway). Shoshanah B.D. Goldberg-Miller Assistant Professor in the Department of Arts Administration, Education and Policy at The Ohio State University What are the most important financial factors to consider when deciding where to live? The two key aspects are:

1. Can you make a living there? Are there enough job opportunities so that you can ensure you will be able to find employment?
2. Are there places you will like to spend your money? Things such as affordable housing or rental properties, places to buy groceries, cultural amenities such as arts districts, boutiques, music venues, and entertainment options.

What are the benefits of living in a small city versus a large city? What are the drawbacks? Small cities are wonderful places to navigate, make friends and build community. They are less dense, so it is easier to get around. Since there are fewer people, those living there really want to make connections and keep them. Larger cities have more options, more density and more vibrancy. They also may have better public transportation, which can be one of the drawbacks to living in smaller cities. In evaluating the best small cities to live in, what are the top five indicators?

1. Does it have great creative sector options? Festivals, art galleries, high-end restaurants, small boutiques, live music, great architecture.
2. Are there livable neighborhoods? Green space, walkable communities and places to shop for groceries nearby the home.
3. Does the city have a sense of pride? Is it a place people love to live? Does it "like itself"?
4. Is it known as an economic engine? Is unemployment fairly low? Is the city concerned about the welfare of its poorest, or does it ignore the so-called "wicked problems," such as unemployment, poverty and lack of education?
5. Can you get around the city? Is it walkable, bike-able and does it have a great mass transit system, or busses and light rail? Does it have green spaces, parks and places that can contribute to your health and wellbeing?

What can local policymakers do to attract and retain new residents in small cities?

1. Think about the city as a whole -- not just the wealthiest taxpayers. Be seen as a "city that cares."
2. Ensure that there are places to create and places to consume creativity. Promote your artists and creative workers, Make sure that there are opportunities for the public and creatives to mix; street fairs, cultural districts, gallery hop events. Promote your city as a creative hub.
3. Think about walkability. Make sure that your city is not just a place for people to come to work, and then to commute home. See your city center as the heart of your city, and promote the downtown as a place to live and to play. Draw in all generations to gather, cluster and keep your city vibrant.
4. Be known as a city that listens. Make sure that policymakers really do elicit the thought and opinions of diverse ranges of residents and visitors. Really look into what your brand promise is, and then capitalize on that. Don't let your size get in the way of your success. Smaller can be beautiful if you celebrate your uniqueness.

Dr. Goldberg-Miller writes about creative cities. Her book, Planning for a City of Culture: Creative Urbanism in Toronto and New York will be published by Routledge in March 2017. Siddhartha Sen Professor and Interim Assistant Dean of the School of Architecture and Planning at Morgan State University What are the most important financial factors to consider when deciding where to live? Some the most significant financial factors include overall cost of living, types of jobs available and salaries for such jobs, cost of health care, cost of education, and commuting costs to major metropolises. What are the benefits of living in a small city versus a large city? What are the drawbacks? The benefits of living in a small city include low cost of living and crime free environment. The drawbacks can include lack of jobs, lack of access to health care and cultural amenities, absence of diverse populations, lack of good school systems, and distance from major metropolises. In evaluating the best small cities to live in, what are the top five indicators?

1. Cost of living;
2. Availability of jobs;
3. Presence or proximity to health care facilities;
4. Warm climate;
5. Access to major metropolises.

What can local policymakers do to attract and retain new residents in small cities? Local policy makers can make small cities attractive by creating more job opportunities; improving the housing stock through subsidies, tax incentives, and public private partnerships; reducing crime; improving the school system; and providing health care and cultural amenities or attracting them through tax incentives. Susan Bradbury Professor in the Department of Community & Regional Planning at Iowa State University, College of Design What are the most important financial factors to consider when deciding where to live? The most important financial factor when deciding where to live is often the cost of housing/cost of living. I would like to explain this a little. Often, people choose to live in smaller communities in close proximity to a larger metropolitan city partially because the high cost of housing pushes them there. In other words, they often can get more house in a smaller community than they can get in a larger city. In addition, often the costs associated with that house in the smaller community may be less – specifically (property) taxes and insurance. So, by living in a smaller city located near a larger city, they are able to capitalize on lower housing costs but, at the same time, still have access to the job opportunities that a large city provides. However, I also wish to note that, often, people who select to live in smaller cities do not always do it for financial reasons but rather for personal reasons. They may choose to do so to be close to family, or because they desire a small town lifestyle for themselves or their children. Often, people who select to live in smaller cities know that their wages/incomes will be lower by living there, that there are fewer job opportunities, for instance, but they feel that there are other benefits that compensate them for this – such as more family time, a more relaxed lifestyle, ties to family, less pollution, more space, etc. What are the benefits of living in a small city versus a large city? What are the drawbacks? One of the biggest benefits and drawbacks about living in a small city is that everyone knows who you are and knows your business. There is little anonymity (although this does depend on the size of the city – there is a big difference in living in a city of 20,000 vs. 100,000 in this regard). In many ways this is good, you tend to know your neighbors, people feel connected to each other, and this promotes strong social relationships. However, some smaller communities can be difficult to break into socially. People may be friendly on the surface but it might be hard to become fully included if you are not from the area or have not resided there for a long period of time. A commonly reported benefit, especially for children, is that the schools are smaller, children may get more attention (their teachers know them by name) and there are more opportunities for participation in various school activities (fewer children means that competition is a little less for band, parts in the school play, football team and so on). As previously mentioned, housing is usually more affordable, there are lower crime rates and less traffic congestion is often found in small cities. On the flip side, there is often less to do, fewer amenities/shopping opportunities and you usually need to drive somewhere else to get certain goods and services. Often, smaller schools, while beneficial in some ways, also tend to limit the variety of programs or specialized educational opportunities available. In evaluating the best small cities to live in, what are the top five indicators? The mostly commonly utilized indicators by these types of lists include:

• Cost of living/cost of housing;
• Commute time;
• Crime rate;
• Quality of schools;
• Entertainment options/arts and culture/recreation opportunities.

And another popular one – has to do with overall health or health care options, since many people consider this a basic service. What can local policymakers do to attract and retain new residents in small cities? There is a lot cities can do to make communities more attractive: focus on supporting and providing good basic services, especially promoting a healthy tax base, maintaining property values, quality schools and access to health care. Policymakers should focus on community development, not just economic development. More people today are a lot more flexible and have more options in terms of selecting where they live. They want to live in nice (desirable) communities – places that they feel at “home” (match their values and lifestyle), and where there are things to do. While costs and jobs are important determinants in selecting locations, they are not the only factors that people consider. People are searching for places where they feel like they belong, and places that support the type of lifestyle that they desire. Also, thinking about providing a variety of housing options is important for policymakers. Even small cities can offer vibrant downtown apartment living for young professionals. While attracting young people to your community is important to the future of these smaller cities, policymakers also need to consider housing options for an aging population as well. People desire to age in place and do not want to have to give up their community (and the social relationships they have there) just because they are getting older and cannot look after a single family home. Having a variety of housing options makes it possible for people as they age or as lifestyles change to remain in their community.

Methodology

In order to determine the best small cities in America, WalletHub’s analysts compared 1,268 cities across five key dimensions: 1) Affordability, 2) Economic Health, 3) Education & Health, 4) Quality of Life and 5) Safety. For our sample, we selected cities with population sizes between 25,000 and 100,000 and considered only the “city proper” in each case, excluding cities in the surrounding metro area.

We then evaluated the five dimensions using 33 relevant metrics, which are listed below with their corresponding weights. Each metric was graded on a 100-point scale, with a score of 100 representing the most favorable conditions for small-city residents. For metrics marked with an asterisk (*), we calculated the population size using the square root of the population in order to avoid overcompensating for minor differences across cities.

Finally, we determined each city’s weighted average across all metrics to calculate its total score and used the resulting scores to rank-order the cities in our sample.

 

Sources: Data used to create this ranking were collected from the U.S. Census Bureau, Bureau of Labor Statistics, Federal Bureau of Investigation, Areavibes, TransUnion, TripAdvisor, County Health Rankings, Yelp and WalletHub research.

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