Cost of Living in Elizabethtown, KY

Last updated: February 2026

One of the biggest reasons people relocate to Elizabethtown is the affordability. Whether you're a military family PCSing to Fort Knox, a Louisville commuter tired of paying city prices, or a first-time buyer looking for a market where homeownership is genuinely achievable, E-town delivers. The overall cost of living here runs roughly 15-20% below the national average, with housing being the most dramatic difference.

Housing Costs

Housing is where Elizabethtown truly stands apart. The median home price in E-town is approximately $250,000, compared to the national median of around $390,000. That means you can purchase a well-maintained, three- or four-bedroom home with a yard and a garage for roughly 35% less than what the same property would cost in most American metros.

The range is broad enough to accommodate different budgets. Starter homes in established neighborhoods like Helmwood or Valley Creek can be found in the $180,000-$220,000 range, while newer construction in communities like Windermere or The Reserve at Freeman Lake typically falls between $280,000 and $380,000. Executive homes on acreage outside city limits can push above $450,000, but that kind of property would cost well over $700,000 in Louisville or Lexington.

Rental Costs

Renters also benefit from E-town's lower cost of living. Expect to pay approximately $850 per month for a one-bedroom apartment, $1,050 for a two-bedroom, and around $1,250 for a three-bedroom unit. Single-family rental homes, particularly popular with military families on shorter assignments, run slightly higher at $1,200-$1,500 depending on the neighborhood and condition. Compared to Louisville, where a two-bedroom apartment averages $1,200-$1,400, E-town saves renters $150-$350 per month.

How E-town Compares to Louisville and Lexington

Louisville's median home price sits around $270,000-$290,000, and Lexington's hovers near $300,000-$320,000. On the surface, the gap with Elizabethtown doesn't look enormous, but context matters. In Louisville, $250,000 buys you a modest home in a less desirable neighborhood or a small condo closer to downtown. In Elizabethtown, that same $250,000 gets you a move-in-ready, three-bedroom home in a safe, family-friendly subdivision with strong schools. Dollar for dollar, your purchasing power stretches further in E-town.

Beyond housing, Louisville and Lexington also carry higher costs for dining, entertainment, and childcare. Elizabethtown's smaller footprint means shorter commutes, less fuel expense, and fewer of the incidental costs that come with urban living.

Property Taxes

Kentucky's property tax rates are among the lowest in the nation, and Elizabethtown is no exception. Within city limits, the combined property tax rate is approximately $1.07 per $100 of assessed value. For a home assessed at $250,000, that works out to roughly $2,675 per year in property taxes. Homes outside city limits but within Hardin County pay only the county and state rates, which are even lower. By comparison, property taxes in Indiana (just across the river from Louisville) and many other neighboring states are significantly higher, making Kentucky an attractive state for homeownership from a tax perspective.

Utilities and Everyday Expenses

Monthly utility costs in Elizabethtown average $150-$200 for a standard single-family home. That figure covers electricity, water, sewer, and trash collection. Natural gas for heating adds to winter bills, but Kentucky's moderate climate means you won't run the furnace as many months as you would in the Midwest or Northeast. Air conditioning does drive up summer electric bills, typically peaking in July and August.

Grocery costs in E-town run slightly below the national average. The presence of Walmart, Kroger, Aldi, and Save-A-Lot keeps competition healthy and prices reasonable. A family of four can expect to spend around $800-$1,000 per month on groceries, depending on eating habits. Gasoline prices typically track a few cents below Louisville due to lower local taxes and overhead.

Internet service is available through Spectrum, AT&T, and several smaller providers, with plans ranging from $50-$80 per month for high-speed service. Cell coverage is reliable across all major carriers throughout the city and along the I-65 corridor.

BAH and Military Affordability

For military families stationed at Fort Knox, the Basic Allowance for Housing (BAH) rates make Elizabethtown exceptionally affordable. Fort Knox BAH is calculated based on the local housing market, and for most ranks with dependents, the monthly allowance often covers a full mortgage payment — including principal, interest, taxes, and insurance — on a median-priced home. In many cases, service members can purchase a home using a VA loan with zero down payment and have their entire housing cost covered by BAH, effectively building equity at no out-of-pocket cost.

This is a significant advantage over duty stations in higher-cost areas like Northern Virginia, San Antonio, or the National Capital Region, where BAH rarely covers the full cost of homeownership. It's one of the reasons so many Fort Knox families choose to buy rather than rent during their assignment.

Healthcare and Insurance

Healthcare costs in the Elizabethtown area are competitive with state and national averages. Baptist Health Hardin is the region's primary hospital and provides a full range of services, from emergency care to specialty practices. For military families, Ireland Army Health Clinic on Fort Knox provides TRICARE-covered care, and the Louisville VA Medical Center is less than an hour away. Auto insurance rates in Kentucky tend to be moderate compared to national averages, and homeowners insurance in Hardin County is reasonable given the relatively low risk profile for major natural disasters.

The Bottom Line

A household earning $60,000-$70,000 per year can live comfortably in Elizabethtown and own a home. That same income in Louisville would require significant compromises on housing quality or neighborhood, and in Lexington it would mean renting rather than buying in most cases. For dual-income families, retirees on fixed incomes, and military families with BAH, E-town's cost of living creates financial breathing room that is increasingly hard to find.