The No. 1 best U.S. city to live in is Cambridge, Massachusetts—see which other cities made the list

This month, Niche released its ranking of the best cities to live in America in 2023.

The list ranked 228 cities by using data from the U.S. Census, FBI, Bureau of Labor Statistics and CDC in combination with millions of resident reviews.

For Niche's report, cities were defined as urbanized areas with a population of 100,000 or more. They were ranked based on the following factors:

For the first time ever, Cambridge, Massachusetts, topped the list.

Niche data analyst Cortland Reed tells CNBC Make It that because Cambridge is home to some of the best colleges and universities in the world, including MIT and Harvard, "the city provides a boost when it comes to employment opportunities and access to university amenities."

The average home value in Cambridge is $899,567, down 3.3% over the past year, according to Zillow. That explains why the city's weakest ratings were in important factors like housing, affordability and weather.

Like Cambridge, the second city on the list, Arlington, Virginia, is home to top-class universities like Georgetown and George Washington University.

Arlington's strongest factors include its higher education system, public schools, and diversity. The city is also included on Niche's ratings as one of the best cities to raise a family, the best city for young professionals and the best city to retire.

The median listing home price in Arlington was $739,000, up 18.3% year-over-year. The median home sold price was $610,000, according to Realtor.com.

The Woodlands, Texas rounds out the top three. The Texas city, which is about 45 miles north of Houston, also ranked No. 2 for the best cities to raise a family.

The average home value in The Woodlands is $508,239, up 7.1% over the past year, according to Zillow.

The Woodlands is an emerging real estate hot spot, taking the top spot on Niche's list of best cities to buy a house, Reed added.

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