Bloomington seems to have it all. The town itself is lovely and surrounded by picturesque rolling hills. Downtown is alive and vibrant, a rarity in this day and age. Two absolutely gorgeous state parks within short driving distance and Monroe Lake, located a short drive south, offers boating, swimming, fishing. Although Indiana is a four seasons state, winters seem to be less harsh in southern Indiana where Bloomington is located. Spring and autumn in the area are a photographer's delight.
On the downside, Indiana University is located here and that drives rental prices up. Home prices are also more expensive if you intend to purchase, however cheap compared to other states. And because of the proximity of IU, traffic can be a challenge from August through May. Also, be aware of where you are renting/buying. Although the students are generally well-behaved, kids will be kids. The further away from IU you find a place to live, the more quiet it will be. However, that is a generality, so scope out apartment complexes, neighborhoods etc, before you rent/buy. Nightlife tends to be geared towards the student population, but there are places where adults can enjoy a quiet drink and listen to some good music.
Because of current economic conditions countrywide, jobs can be difficult to find but with due diligence and patience, available.
Excellent public transportation system, good public schools, great restaurants and shopping, friendly locals, diverse population, good medical care all add up to a wonderful place to live.