Knoxville, Iowa, one of Investopedia’s best places to retire in America, lies 40 miles southeast of Des Moines. It’s a true small town, with life centering on its square and Main Street, featuring local diners and small shops. Most essentials are a short drive away. Faces are familiar, and friendliness is built through routine, tradition, and simplicity.
Knoxville offers a slower pace for retirees. Think morning coffee in town, a quick stop at the grocer, and evening walks in quiet neighborhoods. It’s an appealing choice for retirees seeking affordability, familiarity, and a close-knit community.
Cost of Living & Housing
Home prices in Knoxville are well below national averages. The average home value in Knoxville is $211,086 compared with the U.S. national average of $368,697.
Rental prices also follow this pattern, with the average rent in Knoxville at $895 a month, compared with $2,000 nationally and $1,058 in Des Moines.
Housing spans established residential streets rather than large developments. Areas just west of the town square and around Knoxville High School include older single-family homes with modest lots and tree-lined blocks, while neighborhoods along Highway 14 and toward the southern edge of town include more recent builds with slightly larger spaces.
The cost of living in Knoxville is 20% lower than the national average, driven by lower housing costs, but utilities and groceries also sit below the national average.
Food shopping at places like Fareway or Walmart keeps costs low and predictable, and local services, such as haircuts and home maintenance, come in below those of larger cities, keeping expenses manageable.
Taxes are an important consideration for any retirement location because they factor into the overall financial profile. Social Security benefits aren’t taxed at the state level, reducing the financial burden. Other income, such as pensions and withdrawals from retirement accounts like 401(k)s, isn’t taxed for those aged 55 and older.
Lower home values in Knoxville can help keep homeowners’ total property tax bills down, even though Iowa’s overall property tax burden is relatively high.
Small-Town Lifestyle, Community & Culture
Community life in Knoxville centers around a few select places rather than a range of options. The town square, specifically around Main Street, is the daily hub of activity, with places like Downtown Diner and Casa Grande bringing in regulars during the week.
The Knoxville Farmers Market occurs from spring through fall, bringing in local vendors selling baked goods, produce, and handmade items. It’s a consistent space where neighbors gather weekly.
A large part of the town’s identity is tied to the Knoxville Raceway, known as the “Sprint Car Capital of the World.” Car races are held regularly from April through September, with Saturday nights being the prime evening for gatherings.
Racing also extends beyond the track to the nearby National Sprint Car Hall of Fame & Museum, which preserves the sport’s history. Residents and visitors can learn about the town’s identity and the source of its local pride.
Outside of racing, local shops, cafes, and places like Manny’s Diner or Rib Shack see a stream of visitors and local faces, acting as foundations for the small-town feel.
Community is concentrated in a handful of locations and events that people return to regularly. For retirees, especially new transplants, this makes it easier to become part of the town.
Climate & Seasonal Living
Knoxville goes through the entire seasonal spectrum. Warm summers, cold winters, and spring and fall are the transitional periods. Temperatures generally range between 18°F and 87°F, but can be a little lower or higher.
Daily life also changes with the seasons, as expected. Summer brings more activity around the raceway and other outdoor events. Winter is when things quiet down, and time is spent indoors.
Walkability & Daily Living
Knoxville is a small town, which makes getting around pretty simple. The town square and surrounding areas have most of the essentials, such as local shops, banks, casual restaurants, and small businesses.
Fareway, the post office, or other places require a drive, but they’re still very close. Most residents need a car, but distances are short. Driving from one end of town to the other takes about 10 minutes, and parking is plentiful.
The streets in Knoxville aren’t humming. There’s a quiet atmosphere, with slow traffic and much less congestion than in larger towns and cities. For retirees, this makes everyday movement less stressful.
Healthcare Access
Healthcare in Knoxville revolves around Knoxville Hospital & Clinics, located just south of the town center. The facility offers primary care, emergency services, and a host of outpatient treatments, allowing residents to have most routine medical needs taken care of.
For specialized care, Des Moines is just a 45-minute drive away and offers much larger hospital systems, including UnityPoint Health and MercyOne.
This layering allows retirees local access for most care and regular visits while still being in proximity to more advanced treatments if needed.
The Bottom Line
Knoxville provides a retirement that is built around familiarity, tradition, and simplicity. For retirees seeking out affordability and a close-knit community, Knoxville checks the boxes. The town doesn’t rely on variety or constant stimulation. It’s where retirees can feel grounded, known, and at home.