Pros and Cons of Living in Ottumwa

Ottumwa's honest tradeoff is genuinely affordable housing and a real, current, diversified economy, set against disclosed crime data and an above-median property tax rate.

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Real advantages

Ottumwa offers genuinely affordable housing among the lowest in Iowa's Tier A stack, Iowa's low flat 3.8% state income tax, a real, current, diversified employer base (JBS USA, Cargill, John Deere, Keurig Dr Pepper, Plastipak), and Indian Hills Community College's real higher-education presence.

Real tradeoffs

Ottumwa's effective property tax rate (~1.85%) runs above both national and Iowa statewide medians; crime data carries a real, disclosed, substantial cross-source spread; a real, dated (2023) rent figure reflects a data-recency gap; and real, direct Des Moines River flood exposure applies to riverside properties.

The net read

For buyers prioritizing affordability, a real, diversified current economy, or ties to Indian Hills Community College, Ottumwa's advantages are real and well-documented. For buyers prioritizing the lowest, most consistently-sourced crime rate, other Iowa markets in this project may fit better.

Key takeaways

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Last reviewed: 2026-08-27. Independent research; not financial, tax, or legal advice -- confirm current figures with a local professional before making a decision.