Homer is located at 59°38′35″ North, 151°31′33″ West (59.643059, -151.525900)GR1. Homer is on the shore of Kachemak Bay on the southwest side of the Kenai Peninsula.

Its most distinguishing feature is the Homer Spit, a narrow 7 km (4.5 mile) long gravel bar that extends into the bay, on which is located the Homer Harbor.

Much of the coastline as well as the Homer Spit sank dramatically during the Good Friday Earthquake in March of 1964. After the earthquake, very little vegetation was able to survive on the Homer Spit.

According to the United States Census Bureau, the town has a total area of 58.1 km² (22.4 mi²). 27.4 km² (10.6 mi²) of it is land and 30.7 km² (11.9 mi²) of it is water. The total area is 52.83% water.
The town’s most interesting geographical feature is Homer Spit, an arm of sand and gravel that reaches several miles into the bay.

Views across the bay and Cook Inlet provide vistas of the Kenai Mountains, glaciers and the volcanoes of the Alaska Peninsula. Reaching Homer can be done by taking the Sterling Highway south from the Seward Highway and Anchorage. Also, the Alaska Marine Highway provides ferry service to Kodiak, Seldovia and southwest Alaska. Homer offers a full service airport with daily flights in and out, as the weather permits.