7 Best Places To Live In Alaska In 2025
Alaska is the largest state in the United States of America and is known for its rugged beauty, wide-open landscapes, and strong connection to nature. While its remote location and long winters may seem intimidating at first, many towns across the state offer a livable balance of comfort, opportunity, and community.
From the coastal charm of Homer and Sitka to the resource-rich areas of Kenai and beyond, these seven locations stand out for their affordability, access to healthcare, job markets, and overall quality of life. If you're looking for a family-friendly community, a thriving small town, or a peaceful place to retire, these 7 best places to live in Alaska in 2025 offer more than meets the eye.
Homer
Homer is a scenic coastal town on the Kenai Peninsula. Nicknamed “The Halibut Fishing Capital of the World,” it is known as the friendliest small town in Alaska. Overlooking Kachemak Bay and the iconic Homer Spit, it offers incredible natural views alongside a welcoming residential atmosphere.
Homer’s economy thrives on fishing, tourism, the arts, and small-scale agriculture, with additional job opportunities in oil and gas, mining, and retail. The median home price sits at $538.8K, and the area offers solid educational options through the Kenai Peninsula Borough School District, including Homer High School and West Homer Elementary. The town has a strong sense of community, making it a safe place to raise a family in 2025. In your downtime, you can visit the Pratt Museum to learn about the region’s past, walk Bishop’s Beach, or explore the Bunnell Street Arts Center.
Seward
Seward is a seaside town located on Alaska’s southern coast, with a relaxed pace and striking natural surroundings. As the gateway to Kenai Fjords National Park, it offers easy access to glacier hikes, whale watching, and kayaking, perfect for residents who value the outdoors.
Despite its draw as a cruise port, Seward remains relatively affordable, with a median home price of $462K, making it more accessible than larger Alaskan cities. The local economy is driven by tourism, marine research, fishing, and public service, with a mix of seasonal and year-round job opportunities. Medical needs are met through the Seward Community Health Center. Local events like the Mount Marathon Race and destinations such as the Alaska SeaLife Center and Caines Head hiking trail bring both energy and character to the community. With a balance of nature, opportunity, and small-town charm, Seward offers an active yet manageable lifestyle.
Sitka
If you value culture, nature, and community over big-city bustle, Sitka is worth serious consideration. Located on Baranof Island along Alaska’s southeast coast, Sitka is surrounded by ocean views, forested mountains, abundant wildlife, and deep Indigenous Russian-American roots. Though relatively remote, Sitka ranks high in quality of life thanks to its walkable layout, safety, and strong community ties. Housing is on the higher end, with a median price of $688.8K, but many residents find that the standard of living and natural surroundings make it worthwhile.
Sitka’s economy supports remote workers, educators, healthcare professionals, and small business owners. The Sitka School District is one of the top-performing districts in Alaska, serving around 1,130 students. SEARHC Mt. Edgecumbe Medical Center offers reliable healthcare, along with the community health center that provides urgent care and local support. Popular destinations include Mount Edgecumbe with its scenic volcano rim trail, the Baranof Castle State Historic Site, and the Alaska Raptor Center, which rehabilitates eagles, owls, and hawks. With limited but steady ferry and air service, Sitka offers peaceful island living with enough access to stay connected in 2025.
Ketchikan
As Alaska’s first city and southernmost gateway, Ketchikan blends small-town friendliness with a rich maritime heritage and striking sea views. Its colorful waterfront, totem poles, and thriving salmon industry give the town a unique energy that appeals to outdoor lovers and creative spirits alike. With a median home price of $405K, Ketchikan is moderately affordable by Alaskan standards. While it's accessible only by sea or air, the town stays connected thanks to its popularity as a cruise destination. As the “Salmon Capital of the World,” tourism and fishing, particularly salmon, fuel the local economy, making it ideal for those in hospitality, retail, or marine-related work.
Education is a strong point, with Ketchikan High School and a satellite campus of the University of Alaska Southeast serving local students. PeaceHealth Ketchikan Medical Center provides full medical services for all ages. Recreation and culture go hand in hand here. Residents enjoy hiking trails like Deer Mountain, historic Creek Street, and Totem Bight State Park. Community events such as the Blueberry Arts Festival reflect Ketchikan’s artistic spirit and tight-knit atmosphere, making it a well-rounded place to call home in 2025.
Petersburg
Situated on Mitkof Island between Juneau and Ketchikan, Petersburg is a fishing town known for its deep Norwegian roots and community. Often referred to as “Little Norway” due to its 2,000-year-old petroglyphs and Tlingit fish traps. It features Nordic architecture, local festivals, and cultural landmarks like the Bojer Wikan Fisherman’s Memorial Park, home to a 9-foot bronze statue honoring Bojan Wikan, a local fisherman.
Fishing and seafood processing drive the local economy, while construction and small business services also offer employment. With a median home price of $422.5K, Petersburg is considered moderately affordable by Alaskan standards. It’s a safe, family-friendly town with a strong sense of civic pride, making it attractive for both new families and retirees. Students are served by the Petersburg School District, and healthcare needs are met through the Petersburg Medical Center, which operates 24/7 and includes an emergency department. Residents enjoy tranquil moments at Outlook Park or explore marine life exhibits at the Petersburg Marine Mammal Center.
Kenai
Kenai is known for its world-class salmon fishing and sweeping views of Cook Inlet. This Southcentral Alaska town combines outdoor adventures with modern amenities. With a median home price of $429K, Kenai remains accessible for families and first-time buyers. The local economy is fueled by oil and gas, commercial fishing, tourism, and increasing opportunities for remote work. Kenai Central High School serves area students, and residents rely on Central Peninsula Hospital, just a short drive away in Soldotna, for full medical services. Kenai offers a relaxed yet active lifestyle. Weekends often include fishing along the Kenai River, hiking nearby trails, or watching beluga whales along the inlet. Community events like the Kenai River Festival bring people together in a family-friendly setting. With its affordability and economic diversity, Kenai is one of Alaska’s most well-rounded places to call home.
Wasilla
Wasilla is a place for lovers of mountain views and strong community ties. Located in the heart of the Matanuska-Susitna Valley and just 45 minutes from Anchorage, Alaska’s fourth-largest city gives residents the comforts of suburban living without losing touch with urban convenience.
With a median home price of $449K, housing is notably more affordable than in Anchorage, making Wasilla an appealing choice for families, young professionals, and remote workers. Its economy thrives on construction, retail, logistics, and a growing network of small businesses. The Matanuska-Susitna Borough School District supports the area’s educational needs, while Wasilla Medical Clinic and nearby Mat-Su Regional Medical Center ensure reliable access to healthcare. Recreational life is active and relaxed, with spots like Lake Lucille Dog Park and Iditapark offering afternoon retreats. The Wasilla Museum and Knik Museum preserve the town’s heritage through local artifacts and exhibits. Community events, including the Iditarod Trail Sled Dog Race Restart and farmers’ markets, bring residents together and highlight Wasilla’s warm, down-to-earth vibe.
Choosing where to live in 2025, whether permanently or as part of a retirement plan, depends largely on your lifestyle preferences. If you’re seeking adventure, peace and quiet, or a close-knit neighborhood to raise a family, these Alaskan towns offer something for everyone. With stunning natural landscapes, historic downtowns, and welcoming communities, they’re ideal for remote workers, retirees, and first-time homeowners alike. Life here moves at your pace, with just the right balance of opportunity and serenity. All that’s left is to find the place that fits and make it your own.
