Updated September 2026. Written by Rob Bergeron, Owner–Realtor at Winner Realty, a brokerage licensed in both Kentucky and Indiana. This is the Southern Indiana companion to our main Relocating to Louisville guide.

Southern Indiana is the part of the Louisville metro that most relocation guides skip, because most of the agents writing them are not licensed to sell there. We are. Clark, Floyd, and Harrison counties sit directly across the Ohio River from downtown Louisville, five to twenty minutes away over five bridges, and for a lot of households they are the right answer: lower property taxes, newer housing on bigger lots, walkable downtowns in New Albany and Jeffersonville that have quietly become two of the best dining strips in the metro, and one of the largest industrial job engines in the region at River Ridge. This page covers what it costs, how the taxes really compare for someone who works in Louisville, the towns, the commute, the schools, and how the move works on the Indiana side.

Southern Indiana at a glance

• Counties: Clark (Jeffersonville, Clarksville, Sellersburg, Charlestown), Floyd (New Albany, Floyds Knobs, Georgetown), Harrison (Corydon, Lanesville)
• Drive to downtown Louisville: 5 to 10 minutes from Jeffersonville and Clarksville, 10 to 15 from New Albany, 15 to 25 from Floyds Knobs and Sellersburg, 30 to 40 from Corydon
• Indiana income tax (2026): 2.95% flat state rate, plus county rates of 2.0% (Clark), 1.89% (Floyd), and 1.0% (Harrison) for residents (Indiana Department of Revenue, Departmental Notice #1, January 2026)
• Sales tax: 7% statewide, no local add-on
• Property tax: homestead bills capped at 1% of gross assessed value by the Indiana Constitution
• Bridges: Sherman Minton (I-64) and Clark Memorial (US 31) are free; Kennedy and Lincoln (I-65) and Lewis and Clark (east end) are tolled at a little over $2 per crossing with a RiverLink transponder
• Major job centers: River Ridge Commerce Center (Jeffersonville/Charlestown), Amazon, the Meta data-center campus under construction at River Ridge, Clark Memorial Health and Baptist Health Floyd, Indiana University Southeast, plus every Louisville employer across the bridge

Is Southern Indiana cheaper than Louisville?

On property tax, usually yes. On income tax, it depends entirely on where you work, and the folklore that "Indiana is cheaper" is wrong for a lot of Louisville commuters. Here is the honest arithmetic for 2026. A Louisville Metro resident pays Kentucky's 3.5 percent flat income tax plus Louisville's 2.2 percent occupational tax on wages, a combined 5.7 percent. A Clark County resident who works in Louisville pays Indiana's 2.95 percent state tax, Clark County's 2.0 percent, and Louisville's 1.45 percent non-resident occupational tax on the Louisville wages, because the Kentucky–Indiana reciprocity agreement covers state income tax only, not the city's occupational tax. That is roughly 6.4 percent before any credit Indiana allows for local taxes paid to another state, which is a question for your CPA. In Floyd County the same math comes to about 6.3 percent. If both spouses work on the Indiana side, the Louisville tax disappears and Indiana wins outright. Indiana's sales tax is 7 percent against Kentucky's 6.

Property tax is where Indiana has the clear structural advantage. The state constitution caps the tax on a homestead at 1 percent of gross assessed value (2 percent for other residential and farmland, 3 percent for commercial), Indiana's standard homestead deduction reduces the assessed value before the rate is applied, and a new statewide homestead credit from 2025's Senate Enrolled Act 1 begins appearing on bills paid in 2026 and grows in later years. Indiana also does not charge an annual property tax on vehicles the way Kentucky does; you pay an excise tax at registration instead, which is typically less for older cars. Because Winner Realty is licensed in both states, we run this comparison on your actual salary, your actual employer, and your actual target house, and we do it for every relocation client who asks, because the right answer is different for a UPS pilot, a Norton nurse, a remote worker, and a retiree.

The towns

Jeffersonville

Jeffersonville is directly across from downtown Louisville, connected by the Big Four pedestrian bridge into the NoCo Arts and Cultural District, where the restaurant and bar scene along Spring Street has grown fast enough that Red Yeti was a 2026 James Beard semifinalist for Best Chef: Great Lakes. Housing ranges from 1900s homes near the river and the Rose Hill and Old Jeffersonville historic areas to large 1990s–2020s subdivisions north toward Utica and the River Ridge Commerce Center. It is the shortest commute in Southern Indiana to a downtown Louisville job.

New Albany

New Albany is the seat of Floyd County and has the most fully restored downtown on the Indiana side: Main Street and Market Street are lined with 19th-century commercial buildings and the Mansion Row historic district, with restaurants, breweries, and a farmers' market. Housing is a mix of Victorian and early-1900s homes near downtown, mid-century neighborhoods along Grant Line Road, and newer construction north toward Floyds Knobs. Indiana University Southeast and Baptist Health Floyd are here. The Sherman Minton Bridge, which is free, puts downtown Louisville about ten minutes away.

Clarksville

Clarksville sits between Jeffersonville and New Albany and is the retail center of Southern Indiana (Veterans Parkway, Green Tree Mall, and the big-box corridor along Lewis and Clark Parkway). It also has the Falls of the Ohio State Park, a 390-million-year-old fossil bed exposed on the riverbank that is one of the most unusual public parks in the country. Housing is largely 1950s–1990s ranches and two-stories, and it is consistently among the most affordable entry points in the metro on either side of the river.

Floyds Knobs, Georgetown, and Sellersburg

The Knobs are the ridge of hills that rises behind New Albany, and Floyds Knobs and Georgetown are where you go for lot size, views back toward the Louisville skyline, and newer, larger homes. Sellersburg, north of Clarksville along I-65, has its own small downtown and a fast-growing subdivision belt. All three are 15 to 25 minutes from downtown Louisville and are the Indiana counterparts to Louisville's far east end in price and housing style.

Charlestown and Corydon

Charlestown, at the north end of River Ridge, has Charlestown State Park on the river and is the closest town to the region's largest industrial expansion. Corydon, the seat of Harrison County and Indiana's first state capital, is 30 to 40 minutes west of Louisville on I-64, with a preserved town square, the lowest county income tax in the area at 1.0 percent, and a rural setting. Harrison County is also home to the Caesars Southern Indiana casino and to the cave and orchard country along the Ohio.

The commute and the bridges

Five bridges connect Southern Indiana to Louisville. Two are free: the Sherman Minton (I-64, New Albany to the west side of downtown) and the Clark Memorial, also called the Second Street Bridge (US 31, Jeffersonville to downtown). Three are tolled through RiverLink: the Kennedy and the Lincoln (the I-65 pair between Jeffersonville and downtown) and the Lewis and Clark (the east-end bridge on I-265 between Utica and Prospect). With a prepaid RiverLink account and transponder, a passenger-car crossing costs a little over $2 each way; without a transponder it is higher. RiverLink is E-ZPass compatible. Most daily commuters either route around the tolls or budget roughly $100 a month for them, and that number belongs in your housing math. There is no rail transit across the river; TARC runs limited bus routes into Southern Indiana.

Jobs on the Indiana side

River Ridge Commerce Center, a 6,000-acre former Army ammunition plant between Jeffersonville and Charlestown, is one of the largest industrial parks in the Midwest, with Amazon, medical-device and food manufacturers, and logistics operations, and Meta is building a large data-center campus there. Clark Memorial Health in Jeffersonville and Baptist Health Floyd in New Albany anchor healthcare. Indiana University Southeast and Ivy Tech are the higher-education employers. And the entire Louisville job base, from UPS Worldport to Humana to the Ford plants, is a bridge away; many Southern Indiana households have one earner on each side of the river, which is exactly the situation where the tax comparison above matters most.

Schools

We do not rate schools; we tell you how they are organized so you can research them yourself, and we send every client the same official links. Greater Clark County Schools covers Jeffersonville, Charlestown, and Utica; Clarksville has its own Clarksville Community School Corporation. New Albany–Floyd County Consolidated School Corporation covers New Albany, Floyds Knobs, and Georgetown. Silver Creek School Corporation covers the Sellersburg area, Borden-Henryville covers northern Clark County, and South Harrison, North Harrison, and Lanesville cover Harrison County. The Indiana Department of Education publishes report cards for every public school, and Indiana's school-choice and voucher programs are broader than Kentucky's, which is a real factor for some households. Send us the addresses on your shortlist and we will send you the district and report-card links for each.

Buying a home in Indiana: what is different from Kentucky

• Licensing: Indiana has its own real estate license and its own regulator. Winner Realty is licensed in Indiana and in Kentucky, so one agent can represent you on either side of the river.
• Disclosure: Indiana requires a seller's residential disclosure form on most sales; Kentucky requires its own. They are different documents and we walk you through both.
• Closing: Indiana closings are typically handled by a title company rather than an attorney, and property taxes are paid a year in arrears in two installments (May and November), so your closing statement will include a tax proration that looks different from Kentucky's.
• Homestead deduction: file it with the county auditor after closing; it is the single most valuable piece of paperwork for an Indiana homeowner and it is not automatic.
• Driver's license and registration: Indiana gives new residents 60 days to get an Indiana license and title and register vehicles at the BMV.
• Utilities: Duke Energy serves most of Clark and Floyd counties for electric; Indiana American Water, the Jeffersonville, New Albany, and Clarksville municipal utilities, and various sewer districts cover water and sewer depending on the address.

Things to do on the Indiana side

Huber's Orchard, Winery and Vineyards and the Starlight area are the fall destination for the whole metro. Charlestown State Park and the Falls of the Ohio give you river hiking within twenty minutes of downtown. The Big Four Bridge is the metro's best walk and connects Jeffersonville's waterfront and NoCo district to Louisville's Waterfront Park. Corydon's historic square, the Indiana Caverns and Squire Boone Caverns in Harrison County, and Caesars Southern Indiana round it out. And the dining in New Albany and Jeffersonville has reached the point where Louisvillians cross the river for dinner, which was not true fifteen years ago.

Frequently asked questions

Is Southern Indiana a good place to live if I work in Louisville?

For many households, yes: Jeffersonville, Clarksville, and New Albany are 5 to 15 minutes from downtown Louisville, homestead property taxes are capped at 1 percent of assessed value, and housing on the Indiana side is often newer on larger lots for the same price. The trade-offs are tolls on three of the five bridges, Louisville's 1.45 percent non-resident occupational tax on Louisville wages, and Indiana's 7 percent sales tax.

What are the income taxes in Southern Indiana in 2026?

Indiana's state income tax is a flat 2.95 percent for 2026. Residents also pay a county income tax: 2.0 percent in Clark County, 1.89 percent in Floyd County, and 1.0 percent in Harrison County. If you work in Louisville, the city's 1.45 percent non-resident occupational tax also applies to those wages.

Which bridges between Louisville and Southern Indiana are free?

The Sherman Minton Bridge on I-64 and the Clark Memorial (Second Street) Bridge on US 31 are free. The Kennedy and Lincoln bridges on I-65 and the Lewis and Clark Bridge on the east end are tolled through RiverLink, at a little over $2 per crossing for a passenger car with a transponder.

How does Indiana property tax work for a new homeowner?

Indiana caps a homestead's property tax at 1 percent of gross assessed value, and the standard homestead deduction lowers the taxable value further; you must file the homestead deduction with the county auditor after closing. Taxes are paid a year in arrears in May and November installments.

Can Winner Realty represent me in Indiana?

Yes. Winner Realty is licensed in Indiana and Kentucky, so the same agent can show you homes in Jeffersonville, New Albany, Clarksville, Sellersburg, Floyds Knobs, or Corydon and in Louisville, and represent you in either state.

Do I need an Indiana driver's license if I move to Southern Indiana?

Yes. Indiana gives new residents 60 days to obtain an Indiana driver's license and to title and register their vehicles at the BMV.

Two ways to get started

The thirty-second way: email rob@thewinnerrealty.com with your current city, your target month, your budget, and where you will be working, and you will get a custom shortlist of Southern Indiana and Louisville homes, plus the Kentucky-versus-Indiana tax comparison for your situation, within one business day.

The fifteen-minute way: schedule a relocation planning call and we will talk through both sides of the river, the commute, and the numbers.

Related guides: Relocating to Louisville · Relocating to Kentucky · Louisville Housing Market Report · Written in the Rock: A History of Louisville and Southern Indiana

Winner Realty is an Equal Housing Opportunity brokerage licensed in Kentucky and Indiana. Rob Bergeron is a licensed Kentucky Realtor (License #219325). Lisa Tucker, Principal Broker. Tax figures from the Indiana Department of Revenue (Departmental Notice #1, effective January 1, 2026), the Kentucky Department of Revenue, and the Louisville Metro Revenue Commission; bridge and toll information from RiverLink. Rates and prices change; verify current figures and consult a CPA on your specific tax situation.