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10 best small cities to live in America [Video]

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For the second year in a row, Carmel, Indiana has been rated the best small city in America.

That’s according to WalletHub, which this month released its annual report on the country’s best small cities. The report graded the nation’s more than 1,300 cities with populations between 25,000 and 100,000 on five categories:

  1. Affordability
  2. Economic Health
  3. Education and health
  4. Quality of life
  5. Safety

Each city was scored from one to 100, based on data from several sources, including the U.S. Census Bureau, Federal Bureau of Investigation and the Bureau of Labor Statistics.

The Indianapolis suburb held onto the No. 1 spot thanks in part to its median annual household income of nearly $133,000 and median credit score of 775. Its 3% unemployment rate is one of the lowest in the country. Residents of Carmel spend only about 14% of their income on rent, the 33rd-lowest in the country.

Carmel, Indiana

Stan Badz | Pga Tour | Getty Images

“As a suburb of …

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