While the sprawling metropolises of the United States often boast iconic Christmas experiences – think ice skating under the towering Christmas tree at New York City’s Rockefeller Center or marveling at the elaborate, festive window displays along Chicago’s Magnificent Mile – it’s the smaller towns that truly capture the heartwarming spirit of the season. These often-overlooked gems offer a unique blend of charm, tradition, and holiday cheer, creating a magical atmosphere that larger cities simply can’t replicate. Here, the holiday fun snowballs into delightful festivals, traditions reminiscent of a Hallmark movie, and an abundance of twinkling Christmas lights that often outnumber the local residents. Some of the 15 Best Christmas Towns in the US transform into wintery snow globes, blanketed in pristine white snow, while others embrace the warmth of the season with festive boat parades and palm trees adorned with shimmering lights. Prepare to be enchanted as we explore 15 U.S. towns that may be small in size but are overflowing with holiday spirit.
1. Breckenridge, Colorado
For movie buffs, the picturesque mountain town of Breckenridge might spark a sense of déjà vu. This classic Colorado destination served as a backdrop for scenes in "National Lampoon’s Christmas Vacation," most notably the hilarious sledding mishap featuring Clark Griswold on Peak 8. Beyond its cinematic claim to fame, Breckenridge offers a treasure trove of delightful traditions leading up to Christmas. Imagine a whimsical holiday dog parade, where adorable pets trot through the town decked out in festive reindeer, elf, and Santa costumes. Or picture hundreds of jolly runners, clad in bright red velour suits, dashing down Main Street in the uproarious "Race of the Santas." Beyond the purely Christmas-themed celebrations, Breckenridge also hosts Ullr Fest every December. This unique festival sees eager skiers and snowboarders donning Viking helmets, partaking in a "shot ski" (a ski with shot glasses attached), and offering their praise to Ullr, the Norse god of snow, in hopes of a powder-filled winter season.
2. Bethlehem, Pennsylvania
The city of Bethlehem, Pennsylvania, owes its name to a pivotal Christmas Eve in 1741. A religious group, seeking a new home in the Lehigh Valley, found themselves gathered in a humble two-room log cabin alongside both people and animals. During a visit from a bishop, the settlement was christened Bethlehem. Today, the city lives up to its moniker, "The Christmas City," with a vibrant German-style Christkindlmarkt, a festive marketplace brimming with handcrafted gifts, traditional treats, and the aroma of spiced wine. Beer enthusiasts can sample the "Rude Elf," a Belgian-style beer brewed specifically for the winter season. And for a dose of outdoor fun, the SteelStacks, a former steel manufacturing plant transformed into an arts and culture hub, hosts a large outdoor ice skating rink. For those who extend their stay until New Year’s Eve, Bethlehem offers the spectacle of the Peeps Chick Drop. This tradition involves lowering a 400-pound replica of the iconic marshmallow candy from the sky using a crane – a fitting tribute, considering Bethlehem is also the headquarters of Peeps-maker Just Born Confections.
3. Bardstown, Kentucky
Bardstown exemplifies community spirit during the holiday season. The town’s annual Hanging of the Greens culminates in a town-wide "flipping of the switch," transforming Bardstown into a dazzling display of lights and decorations. Visitors can immerse themselves in the festive ambiance with a specially designed driving route that showcases the best of Bardstown’s Christmas décor. For a unique experience, the My Old Kentucky Dinner Train transforms into the North Pole Express, offering passengers a magical journey filled with holiday cheer. An ice skating rink pops up at the Farmer’s Market Pavilion, providing a fun activity for all ages. And, of course, no visit to Bardstown is complete without a taste of Kentucky bourbon, which might even make the town’s fruitcakes (baked by the monks at the Abbey of Gethsemani) appeal to those who typically shun the divisive dessert.
4. Taos, New Mexico
Embrace a Southwestern-style Christmas in Taos, New Mexico, where the adobe buildings surrounding the historic plaza are adorned with candle-lit farolitos, small paper lanterns that cast a warm glow on the holiday season. Savor the local cuisine with a burrito prepared "Christmas-style," featuring both red and green chile, a year-round tradition in Taos. A December itinerary in this enchanting New Mexico destination could include hitting the slopes at the Taos Ski Valley Resort, enjoying the cozy ambiance of an adobe hacienda like the Inn at La Loma Plaza, where select rooms feature wood-burning kiva fireplaces, and indulging in decadent hot sipping chocolates from the award-winning chocolatier, Chokola. A visit to Taos Pueblo, a UNESCO World Heritage Site, is a must. This Native American community, with its multi-story adobe buildings continuously inhabited for over 1,000 years, hosts a Procession of the Virgin Mary, mass, and bonfire on Christmas Eve, followed by traditional dances on Christmas Day. While the gatherings are open to the public, photography is not permitted.
5. West Palm Beach, Florida
Trade snow boots for sandals and experience a warm-weather Christmas in West Palm Beach, Florida. In The Square neighborhood, a magnificent banyan tree is draped with 100,000 colorful LED lights, creating a mesmerizing spectacle. Nightly light shows mimic the illusion of falling snow, adding a touch of winter magic to the tropical setting. In addition to Christmas festivities, the neighborhood also hosts a Hanukkah Celebration with live music and a candle lighting ceremony, as well as an Afrique Ngozi Dance & Drums Kwanzaa Performance. One of the most popular holiday events in the area is the Palm Beach Holiday Boat Parade, a dazzling display featuring a floating fireworks show, 80 boats adorned with lights and decorations, and a toy fleet collecting donations along the parade route.
6. Frankenmuth, Michigan
Step into a slice of Bavaria in Frankenmuth, Michigan, also known as Michigan’s "Little Bavaria." This charming town maintains its German heritage with its distinctive architecture, traditional Christkindl market, and renowned family-style chicken dinners served at rival restaurants Zehnder’s and the Bavarian Inn. Despite its small population of just 5,000 residents, Frankenmuth welcomes over 1 million tourists each year, many of whom flock to the town during the holiday season to experience the sprawling 2.2-acre Bronner’s CHRISTmas Wonderland, which claims the title of the world’s largest Christmas store. During the holiday season, visitors can rock around the musical Christmas tree downtown, enjoy ice skating, and visit a reindeer farm.
7. Fredericksburg, Texas
With its strong German roots, Fredericksburg, Texas, wholeheartedly embraces Weihnachtszeit, or the Christmas season. The Hill Country town features an ice skating rink and illuminates its Christmas Pyramid, a towering 26-foot tall, spinning carousel-like creation. These wooden German decorations date back to the 16th century and are believed by some to have inspired our modern-day Christmas tree traditions. Throughout the holiday season, visitors can gather at the Marktplatz at 6 p.m. to hear an audio presentation about the town’s history and sing along to holiday carols, culminating in a countdown as the marketplace lights up for the night. Afterwards, explore Main Street, which offers a delightful array of boutique shops, wine tasting rooms, and restaurants. The town is truly one of the 15 Best Christmas Towns in the US.
8. Santa Claus, Indiana
Santa Claus, Indiana, embodies the spirit of Christmas year-round, making it a truly unique destination. This town, the U.S. branch of the North Pole, is home to a variety of holiday-themed businesses, including Santa’s Candy Castle, Santa’s Toys, and Frosty’s Fun Center. Visitors can delve into the history of Old Saint Nick and write letters to him at the Santa Claus Museum and Village. Even if you can’t visit Santa Claus, Indiana, during December, you can still send your holiday cards through the town to receive a special postmark.
9. Coronado, California
The Hotel del Coronado in Coronado, California, holds a special place in Christmas history. In 1904, the hotel lit the first outdoor Christmas tree with electric lights, and has been hosting enchanting holiday celebrations ever since. Guests and locals alike can glide across the beachfront "Frosted by The Sea" ice rink. The hotel also hosts holiday movies on the beach, Victorian teas, and gingerbread house workshops, and Elves are available to deliver gifts to children. After sunset, stroll around the peninsula to admire the elaborate holiday light displays that homeowners create.
10. Branson, Missouri
For an over-the-top Christmas experience, head to Branson, Missouri, where Silver Dollar City shines with 6.5 million lights during the holiday season. Park-goers can marvel at an eight-story musical Christmas tree, enjoy live entertainment shows, witness a holiday light parade led by Rudolph the Red-Nosed Reindeer, and indulge in a festive holiday dinner. The holiday spirit extends throughout the rest of Branson, nicknamed "America’s Christmas Tree City" for its impressive display of over 700 trees decorated by local businesses. These trees range from classic evergreen trees strung with lights to unique creations made from unconventional materials like Go-Kart tires and wine bottles.
11. Newport Beach, California
Witness a spectacular display of nautical holiday cheer at the Newport Beach Boat Parade in Newport Beach, California. Elaborately decorated yachts, sailboats, powerboats, and even kayaks take to the water for this multi-night event. Waterfront homes, yacht clubs, and businesses participate in the adjacent "Ring of Lights Competition." While in Newport Beach, explore the Creative Communal open-air holiday market, where local artisans sell unique gifts, or experience the Night of 1000 Lights at the Sherman Library and Gardens.
12. Leavenworth, Washington
Nestled in the Cascade Mountains, Leavenworth, Washington, transforms into a Bavarian-themed winter wonderland during the Christmas season. The town even has its own Christmas song, performed live at the Festhalle. The community center hosts a gingerbread house exhibition, and kids can learn to make Lebkuchenherzen necklaces. Live entertainment fills the gazebo in the heart of town, while the Leavenworth Nutcracker Museum houses over 9,000 nutcrackers from 50 different countries.
13. North Pole, Alaska
Embrace the novelty of celebrating Christmas in North Pole, Alaska. While the town’s name was originally intended to attract a toy manufacturer, North Pole is now home to the Santa Claus House, which sells ornaments, décor, and toys. A 42-foot-tall Santa statue welcomes visitors from the highway. Inside the Santa Claus House, the walls are covered with "Dear Santa" letters from children around the world. North Pole, with its themed street names like Mistletoe Lane and Kris Kringle Drive, is just a short drive from Fairbanks. This is one of the 15 Best Christmas Towns in the US and truly deserves the title.
14. Elizabeth City, North Carolina
Elizabeth City, North Carolina, lives up to its nickname as the "Hot Cocoa Capital of the World" with its wintertime "Hot Cocoa Crawl." Over 30 stops, including coffee shops, restaurants, and bars, offer gourmet hot chocolates and decadent cocoa desserts. Boutiques sell gourmet marshmallows and mini knit sweaters for mugs. Stores compete in a holiday storefront decorating contest. Other holiday events include a Lighted Boat Parade and a "Christmas Around the World" parade.
15. Sevierville, Tennessee
The Great Smoky Mountains provides a stunning backdrop for a festive holiday celebration in Sevierville, Tennessee, and its neighboring cities, Pigeon Forge and Gatlinburg. More than 15 million lights illuminate a 25-mile stretch of the Foothills Parkway. Shadrack’s Christmas Wonderland is a drive-thru attraction with lights that dance in sync with Christmas music. A visit to Dollywood, adorned with 6 million lights, is a must. The theme park offers train rides, fireworks, holiday shows, and festive treats like gingerbread funnel cake. This town is one of the 15 Best Christmas Towns in the US and is guaranteed to give you the festive spirit.
These are just a few of the many small towns across the United States that offer unique and memorable Christmas experiences. From snowy mountain landscapes to warm coastal destinations, there’s a perfect Christmas town waiting to be discovered.
