8 Best Small Towns to Retire in Minnesota in 2026
Retiring to the South gets all the hype, but Minnesota quietly steals the show. This is the state where retirement can look like a Saturday morning browsing Northfield’s Riverwalk Market Fair, an easy afternoon walk through Hok-Si-La Park in Lake City (hello, Lake Pepin views), and a cozy evening show at Red Wing’s Sheldon Theatre, all without battling big-city chaos.
And the best part? These towns actually give you things to do without feeling exhausting. One day you’re soaking up Lake Superior scenery in Grand Marais, the next you’re in New Ulm splitting schnitzel at Kaiserhoff or touring Schell’s Brewery like a local. If peaceful is the goal, but "bored" isn’t, these small-town Minnesota picks hit the sweet spot.
New Ulm
While New Ulm is only a short distance away from the Twin Cities, it may feel like flying all the way to Germany. Considered "The Most German Town in America'' New Ulm has a rich cultural heritage going back to the nineteenth century. Nowadays, New Ulm is well known for affordable homes, low crime rates, as well as plenty of activities for retirees. In New Ulm, it is possible to spend your time along the Cottonwood River at Flandrau State Park. This wonderful 1,000-acre park can be enjoyed year-round. From hiking to enjoying the beach, it is a wonderful spot to sit back, relax, and enjoy.
There are a number of incredible restaurants to visit whenever the urge for a special treat hits. At Kaiserhoff, enjoy German staples from schnitzel to sausage, and do not forget to enjoy a German beer or wine as well. Enjoy retired life by enjoying a beer at the famous Schell's brewery. Known for its German-style beers, it is the second oldest family-owned brewery in the US. One of the best things to do while living in New Ulm, is just to enjoy the quaint town. Walking around the town and immersing in the history of it is one of the most recommended things to do. View the home of John Lind (Minnesota governor) or enjoy the German-Bohemian Immigrant Monument in the town.
Brainerd
Boasting more than 465 lakes, Brainerd is one of the best towns in the entire state for those wanting to retire to peaceful lake country. With access to a number of hospitals near the city, and a low cost of homes this small town is a dream come true for those wanting to settle down somewhere a bit quieter. There are a number of lake cruises that can be done in the summer and fall. A cruise on Gull Lake Cruises is a great way to sit back, relax, and do some sightseeing while eating some great food. Or for a more unique experience, on the paddle-wheeler Breezy Belle, enjoy a public (or private) cruise and take in the scenic views of Pelican Lake.
If golfing seems more exciting, there are a number of golf courses to enjoy, such as Grand View Lodge, Madden's Resort, Whitefish Golf Club, and many more. If you need to get away for a bit, there are hiking trails that can be done. At Crow Wing State Park, explore over 18 miles of trails that go along the Mississippi River. At Northland Arboretum, there are over 12 miles of trails that can be hiked at any time of the year. It is not really lake country without a bit of boating as well. For those who do not have a boat (yet), there are plenty of locations to rent a boat for the day to really take in some of the local lakes.
Little Falls
The slogan 'Where the Mississippi Pauses' can be found in the peaceful town of Little Falls. With low-cost homes, a low crime rate, and some great amenities, this small town is definitely one that needs to be looked at to retire to. One of the greatest charms of Little Falls is how amazing it is year-round. When winter comes, and much of Minnesota must slow down, Little Falls takes advantage of the cold. With cross-country skiing trails at Charles A. Lindbergh State Park and at Crane Meadows National Wildlife Refuge (both of which are also great in the warmer months) it is truly possible to enjoy all the nature in the parks. There are even ice-skating rinks that can be visited at Pine Tree Park, as well as Lindbergh Lions Recreation Area.
There is also a great hiking opportunity at North Pine Grove Park and Belle Prairie Park. While there, try to spot the many different birds that migrate throughout the year. There are plenty of things to do inside if you want to escape the weather as well. At The Falls Theatre, you can enjoy one of the many Hollywood films that are out. For craft beer lovers, the highly reviewed Starry Eyed Brewing and enjoy a nice beer any time of the year. Take a walk around town and look at the incredible Public Art Murals that are displayed around the town.
Red Wing
Home to the famous Red Wing Shoe Company, the small town of Red Wing is a great option for those looking to retire. With a number of parks, access to housing, and a cheaper cost of living, it is an incredibly luring destination. Although home prices tend to be slightly higher (mostly due to its proximity to the Twin Cities), it more than makes up for it in charm. The town lies alongside the Mississippi River, and is able to use it to add to the town's beauty and rich history. The Sheldon Theatre is a great opportunity to enjoy one of the many plays that are put on, as well as take in the amazing architecture of the theater.
Red Wing also benefits from a number of alluring parks such as Frontenac State or Cannon Valley Trails where there are trails that can be hiked, or biked. Red Wing also is home to some wonderful golf courses, such as Red Wing Golf Course and Mississippi National Golf Links. However, if exploring nature or golfing is not for you, then why not learn about and enjoy some of the history of the area? At the Pottery Museum of Red Wing, one can learn about how pottery put Red Wing on the map. It is even possible to purchase some pottery at this museum for those who want works of art in their home!
Lake City
Voted the second best town to retire to in Minnesota (by Niche), Lake City is a charming and welcoming small town. It's safe, affordable, and full of a variety of activities, which makes it a wonderful place to call home. Nestled next to Lake Pepin and the widest spot of the Mississippi River, it’s easy to see how the town earned its name. One of the best ways to enjoy life here is to embrace the natural beauty around you. At Hok-Si-La Park, you'll find over 250 acres of walking trails, camping spots, and a lovely beach to relax at during the summer. If you’re looking to unwind, consider visiting a local spa like Roots Hair Studio and Spa or refreshing yourself at Rivers Edge Wellness Yoga. Golf enthusiasts will love the multiple courses available, including Lake City Golf and Lake Pepin Golf Course, offering plenty of options for a relaxing day on the links. For a bit of friendly competition, the Chamber of Commerce hosts an annual golf tournament where players of all levels can join in the fun. Throughout the year, Lake City hosts lively events like the 100-mile Garage Sale in May, Water Ski Days in June, and spectacular fireworks on the Fourth of July. No matter when you visit, there’s always something exciting happening that makes this town so special.
Northfield
One thing that sets Northfield apart from many other small towns in Minnesota is how close it is to some of the best healthcare in the state. Being close to the twin cities does have the benefit of being able to go to the city quite easily as it is less than a 50-mile drive away. Home to the famous St. Olaf College, this small town has much to offer those who choose to settle down here. In the summer, enjoy scenic views of the Cannon River, and incredible shopping at the Riverwalk Market Fair. Taking place every Saturday morning from May to mid-October, this is a great way to get to know the local community.
Cross-country skiing is a big activity for many Minnesotans, and that can be enjoyed in Northfield at the Cowling Arboretum. Here, it is possible to explore miles of trails that are fully groomed in the winter and open to the public. For those willing to make the 15-minute drive to Nerstrand Big Woods State Park, explore some of the most beautiful forests in the state. In the summer hike, see how many different types of trees you can spot. In winter, you have the opportunity to snowshoe or cross-country ski and see what winter animals you can find. To get to know more about the community, enjoy bluegrass music, some art exhibits, and dance performances every first Friday of every month!
Grand Marais
If the sound of Lake Superior's waves on the beach or the wind rustling through the trees appeals to you, then Grand Marais is the perfect destination. Situated in northeastern Minnesota, this small town is among the best places to retire in the region. It offers some of the best weather in the state, numerous outdoor activities, and beautiful art, ensuring it won't disappoint. The area boasts vast natural landscapes to explore throughout the year. For those with the time and energy, the over 300-mile-long Superior Hiking Trail is easily accessible from Grand Marais. The town also offers world-class canoeing, being near the Boundary Waters, although a permit is required for paddling there.
To enjoy the sound of waves, you can visit various beaches year-round, such as Old Shore Beach, Cutface Creek Wayside Rest, and Paradise Beach. Additionally, Grand Marais hosts the annual Plein Air Grand Marais festival, attracting hundreds of artists from across the country to showcase their work. You can also learn new skills at North House Folk School, where activities include basket weaving, fiber arts, and even boat-making!
Wayzata
Leaving the hustle and bustle of the Twin Cities can feel necessary at some point, but it can be difficult to leave behind the comforts they offer. Fortunately, Wayzata is just a 15-mile drive away and ranks as one of the nicest small towns for retirement in the state. Its proximity to the Twin Cities provides easy access to excellent healthcare and the ability to stay connected with friends and family still there. Although housing prices are not the lowest, the town is incredibly safe and rich in amenities. Situated on Lake Minnetonka, it offers wonderful opportunities to enjoy the lake, whether sailing, boating, swimming, kayaking, or paddleboarding. Rentals are readily available at Wayzata Beach if you do not own equipment.
Relaxing evenings can be spent walking along Grays Bay Dam Park, a peaceful, lesser-known part of town. With over 13 miles of trails, the Dakota Rail Regional Trail is perfect for hiking or biking enthusiasts. The town also boasts numerous restaurants, making it a delight to explore and find your favorite; among them, COV Wayzata is especially popular for its steak and seafood.
Minnesota offers several small towns that are the perfect combination of peace and excitement for recent retirees. For those who are looking for a vibrant cultural experience, outdoor adventures, or just a place to sit back and relax, Minnesota has something for all. With low crime rates, affordable housing, and a number of activities to participate in, it is an ideal state to spend life in after being able to retire.
