Millions of people are drawn in by the allure of a bustling city, whether it’s for work, family or a faster pace of life. But many of the world’s cities are densely populated, which puts a strain on available accommodation, both in terms of cost and the physical squeeze of more and more people living in a limited space. We've taken a deep dive into the property situation in 14 cities around the world, including some with the highest populations across the globe according to data from the World Population Review.
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There is a serious lack of housing for some of the 5.3 million people in Australia’s most populous city, which has a housing deficit of around 9,000 new dwellings a year, according to research released by the Property Council of Australia. Things are only set to get worse in Melbourne, as projections from the Victoria state government reveal that the city is expected to see an additional eight million people move in by the 2050s.
Unsurprisingly, space comes at a premium in this packed urban centre. The median house value in Melbourne stands at AU$914,000 ($614k/£471k), while the median weekly rent is around AU$550 ($369/£283).
Melbourne might be in a housing deficit but it also has a huge number of empty properties. One in 20 properties in the city were vacant between 2019 and 2023, according to a vacancy report by the non-profit Prosper Australia.
The organisation said underused housing had "increased significantly" and the volume of vacant homes could house everybody on Victoria's public housing waiting list twice over if properly utilised.
Apartment living has become increasingly popular in Melbourne as more and more people have poured into the city.
Republic Tower was built in 1999 when it was the city’s first high-rise apartment building in the city centre – now there are dozens of residential skyscrapers shaping the city’s silhouette. The tower’s apartments feature industrial-scale bay windows that provide stretching views of the cityscape, while beech and slate interiors bring a contemporary feel to tower block life.
But not all of Melbourne’s apartments are this swish. According to Australian Apartment Advocacy, as many as 60% of new apartments have construction flaws such as cracked foundations, balcony defects and flammable cladding.
As the smallest country by surface area in South East Asia, it’s no surprise that around four-fifths of Singapore’s population of 6.1 million people live in high-rise apartments.
The Housing and Development Board (HDB) is the country’s national public housing authority and it was introduced in February 1960 to address the severe housing shortage. But these subsidised apartments aren’t necessarily what you would imagine when you think of social housing in many countries. For example, this apartment block comes with a pool and children’s playground.
Other social apartment complexes are more modest inside and can feel more industrial than homely. The scheme has adapted over time to suit the nation’s changing demographic around 90% of HDB residents own their apartments. The board subsidises the purchase of the apartments, and there is an additional grant for people who opt to live near their parents.
Singapore has long been one of the countries that best looks after those who are less wealthy, but even with government help it’s a pricey place to live. The median price of an HDB apartment was $461,289 (£353k), according to a 2024 Urban Land Institute study.
Singapore is the fourth-wealthiest city in the world. The city has a total of 30 billionaires and 244,800 millionaires, and those well-off people need somewhere to live.
Many reside in the city’s Good Class Bungalows (GCB), like this one pictured in the Nassim Road area. To qualify as such, a property should be on land exceeding 15,070 square feet (1,400sqm) and needs to be in one of the city state’s 39 specified, exclusive enclaves but isn't necessarily small or built on one level. The median price for the country's private homes is a staggering $1.3 million (£996k), according to the Urban Land Institute.
Home to some 6.3 million people, Johannesburg in South Africa is a city of two economic halves. To help bridge the wide gap between the city's rich and poor, the Reconstruction and Development Programme (RDP) was implemented in 1994 by then-President Nelson Mandela. It included provision for clean running water, electricity and sanitation facilities for swathes of South Africa. Part of that programme was the building of RDP housing. The government promised to build one million houses, but many people still dream of owning their own properties today.
According to South African realtor PropertyTime, the average asking price for houses in the city was just under R1.5 million ($86k/£66k) in 2023.
A newer version of the project brought in under former President Jacob Zuma promised thousands of new homes in Kanana Park, a suburb of Johannesburg, but there were still huge numbers of incomplete houses eight years later. Some homeowners have said they had to finish construction at their own expense, according to reports by South African news outlet GroundUp in 2023.
While the government-sponsored properties house many South Africans, informal settlements have also expanded in the city and its suburbs. For example, Godfrey, shown in this picture in 2010, spent years living in an old ice cream factory in Alexandra on the city's outskirts.
Of course, there are also affluent pockets in Johannesburg, such as Saxonwold, West Cliff and Houghton. Nelson Mandela had a home (pictured) in the latter neighbourhood with his wife, Graça Machel, where he lived from 1998 until he died in 2013.
The wealthier suburbs feature impressive mansions and apartment blocks that are a far cry from the unofficial and unfinished homes occupied by a huge proportion of Johannesburg’s population of 6.3 million.
Accommodation in Toronto has skyrocketed in recent years, with house prices growing more than four times faster than income and rent prices growing even quicker, according to community non-profit the Toronto Foundation.
Luxurious new condos have been built, but these remain out of reach for most residents. In 2019, official statistics showed there had been a 69% increase in sheltered homeless people in the city over the previous five years.
Most people in Toronto live in apartments, but they tend to be slightly more cramped than the spacious living quarters owned by the city’s wealthiest.
This compact studio apartment was on the market in April 2022 for CAD$290,000 ($210k/£161k). Captured here in a YouTube tour filmed by a local realtor, the tiny unit features a single main living space with a kitchenette, dining table, desk and sofa bed, along with a self-contained bathroom.
In leafy neighbourhoods like South Hill, gorgeous mansion properties sell for millions and offer incredible luxury in the city. This house was listed for CAD$11,288,000 in November 2024 and there are plenty of people with the cash to make this kind of investment. Toronto houses more than 100,000 millionaires and 195 centi-millionaires, according to Henley & Partners' World’s Wealthiest Cities Report 2024.
In early 2024, a six-bedroom house in the same neighbourhood as the stately home Casa Loma, sold for an incredible CA$34.5 million ($25m/£19.2m), making it one of the most expensive properties to sell in the city.
Madrid is a hugely popular holiday destination – and that’s pushed prices up for the 6.8 million people living in the city. The number of short-term rentals has become such an issue that in July 2024, the Spanish government announced a crackdown on holiday lettings to try and address the housing crisis. But for those who can afford it, there’s no lack of luxury properties on offer in Madrid.
According to global realtors Coldwell Banker, the average price of homes in the Spanish city is €417 ($455/£349) per square foot or €4,493 ($4.9k/£3.7k) per square metre as of September 2024. Meanwhile, rental platform HousingAnywhere's 2024 Rent Index puts the median rent for an apartment in Madrid is €1,494 ($1.6k/£1.3k).
Following the financial crash in 2008, the housing situation in the city took a turn for the worse. There was a wave of evictions in Madrid, with families being removed from their social housing as the companies that owned them faced foreclosure.
Campaign groups, such as the Platform for People Affected by Mortgages (PAH), tried to stop the evictions. However, many people such as Benigno and his daughter (pictured) were still left in temporary accommodation. Between 2009 and 2016, the PAH prevented more than 1,600 evictions, but the living situation in Madrid is still a challenge for the city’s poorest.
Cañada Real is on the southern edge of Madrid and is one of Europe’s poorest neighbourhoods. In October 2020 electricity was shut off in two sectors of the shanty town, leaving its residents without power to this day. Pictured here is the home of a settlement resident whose family received aid in 2021.
The unofficial settlement started to form in the 1950s and has since stretched across 8.7 miles (14km) due to lack of regulation. It is considered the largest unregulated settlement in any European city and is thought to house around 8,000 people. The makeshift community is indicative of the lack of affordable housing in Madrid.
Hong Kong is one of the wealthiest cities in the world and one of the most expensive. The tiny coastal region has a population of 7.7 million, which means that for some residents, the living arrangements are a tight squeeze. People often live together to cut costs in this space-starved city, with co-living becoming standard practice, while others come up with more inventive solutions.
For example, the 'nano-apartment' is a well-established concept in Hong Kong, particularly among young professionals wanting to live in the city but without endless money to do so. Pictured here, Adrian Law lives in Sai Ying Pun, a gentrified neighbourhood in the region. He bought this apartment in 2020 at a cost of more than HK$5.9 million ($760k/£583k).
However, it's Hong Kong's working class that really bears the brunt of the nation's soaring property prices, which have driven some people into tiny rental units known as cage homes. The spaces are typically 15-square-foot (1.4sqm) cubicles filled with their owner's belongings, leaving a small amount of room for sleeping.
The city's so-called 'coffin' homes' are similarly cramped, comprising small apartments subdivided into tiny cubicles. Despite the claustrophobic conditions and the lack of light and space to move, residents still pay the equivalent of a couple of hundred dollars a month to live here.
Meanwhile, the city's wealthiest opt for the surrounding hills, where there's more space to spread out. But real estate away from the hustle and bustle comes with a staggering price tag, with house prices amounting to HK$2,188 ($282/£215) per square foot or HK$23,554 ($3k/£2.3k) per square metre according to Global Property Guide's 2024 data.
Located in the city's prestigious Victoria Peak neighbourhood, this four-bedroom residence with its 6,200 square feet (576sqm) of living space is a stark contrast to accommodation in the heart of Hong Kong. While reasonably large, it's not quite in the realm of a mega-mansion. Nevertheless, it was for sale in 2024 for an eye-watering $446 million (£342m), making it one of the world's most expensive homes.
The Big Apple is known for its high-rises, many of which are home to swathes of New Yorkers – for a hefty sum. The city's median monthly rent reached $3,700 (£2.8k) in May 2024 according to The New York Times, while Zillow data reveals the median house sale price was just over $714,000 (£547k) in August 2024. Given the steep cost of property in the city, it's no surprise that NYC has a total of 60 billionaires and 349,500 millionaires, more than any other city in the world, according to the World’s Wealthiest Cities Report 2024.
This penthouse on Manhattan’s Eleventh Avenue shows off the luxuries only the most privileged can afford – sprawling living spaces with incredible views of the Hudson River and the glittering cityscape.
In January 2024, a micro-apartment in New York City went viral for its slim square footage and its less-than-tiny rental cost of just under $2,000 (£1.5k) a month. The space includes a sink, fridge and small wardrobe space – but the bathroom is outside in the hallway and is shared with neighbouring units.
TikTok user Omer Labock did not specify where in the city this tiny home was, but it drew plenty of attention for its big price tag, with one user commenting: “Jail cells are bigger!”
If the last apartment was a micro home, this surely must be a nano home. In October 2022, YouTuber Erik Van Conover shared a tour of what he described as Manhattan's cheapest apartment, which cost $650 (£498) a month in rent at the time of filming. The unit measures a minuscule 82 inches (208cm) by 110 inches (279cm), with the owner affectionately referring to the space as their "walk-in closet".
If real estate prices in the space-starved Big Apple continue in their upward trajectory, more and more people will see themselves priced out of the market or crammed into even smaller accommodations in the coming years.
Purchasing a home in the densely populated UK capital of London will set buyers back around $902,000 (£691k) on average, leaving many of its population of 9.7 million unable to get on the property ladder. Meanwhile, the rental market is so overpriced that even high earners find it challenging to afford a place of their own, making shared accommodation commonplace. Property search site Zoopla reported that the average rent in April 2024 was $2,741 (££2.1k) per month.
What's more, the UK was named the work-from-home capital of Europe in 2023, so for many Londoners, their compact living spaces work double-time as makeshift offices too.
Studio apartments are not uncommon in London, keeping everything rather cosy in one living area. One microflat hit the headlines in February 2022 when it was selling for $65,200 (£50k) – and it covered just 75 square feet (7sqm).
Meanwhile, the chic flat pictured has a bit more room to breathe and neatly fits into 358 square feet (33.3sqm) of floor space. The living room, kitchen and dining room are all one space but there is a separate bathroom. This studio flat on the Strand, one of London’s most exclusive postcodes, is currently on the market for $1.1 million (£825k).
Some London families are in shared accommodation to make ends meet, living in sheltered housing built for parents who can’t afford to live alone with their children. Parents will often share a single bedroom with their children in buildings that were only ever meant to be temporary.
The properties were designed to be a stop-gap for families and other vulnerable people before they are placed in permanent social housing, but a lack of suitable homes has left some people living in the homes for much longer than anticipated.
Paris has a big issue with small homes, with thousands of people living in accommodations that don't meet legal standards for minimum size.
In this photo, resident Ivan Lopez sits in his apartment, which stretches fewer than 75 square feet (7sqm), in the capital’s fifth district. The legal requirement in France is that a single-occupancy home must be at least 97 square feet (9sqm) in floor space and with a ceiling height of at least 7.2 feet (2.2m). This tiny space falls short of that, comprising a bed, a modest kitchen area and a storage unit.
These cubby-hole living quarters can be found right across Paris. In this photo taken in September 2018, you can see that the low ceiling sits well below the 7.2-foot (2.2m) minimum. Legally, all spaces rented out for living purposes must also have a window, a separate bathroom, heating, a water system and working drains and gutters.
One of the reasons behind these illegal spaces is the inordinate cost of property in the city. According to 2024 data, homes in Paris cost €882 ($962/£737) per square foot or €9,490 ($10.3k/£7.9k) per square metre. Meanwhile, a family apartment costs a monthly average of €1,862 ($2k/£1.6k) to rent.
The city's more monied residents, who can foot the bill of its sky-high property prices, can afford significantly more square footage.
Situated 328 feet (100m) from the Champs-Élysées, this 2,368-square-foot (220sqm) apartment hit the market beach in the summer of 2022 for €7.2 million ($7.8m/£6m). It's captured here during a video tour with local realtor Romain Perez. The three-bedroom residence features parquet floors, ornate mouldings and a wraparound balcony with views of the Eiffel Tower. The master suite alone includes a dressing room and a spa-style bathroom clad in marble.
While these cities are big, they are tiny compared to the world's most populous. Let's take a deep dive on some of those in the top 10...
Informal settlements make up a lot of the housing options for people who are priced out of the market in Mexico City’s Metropolitan Area (MCMA). Research suggests it’s one of the biggest metropolitan regions globally, and that its population of 22.5 million is at huge risk of energy and transport poverty. Gentrification has hit the city hard, with prices for locals pushed up by foreign buyers and digital nomads who flock to the city.
According to data platform Statista, the average price for a property in Mexico City in the third quarter of 2023 was MEX$3.7 million ($191k/£146k), well above the means of many of the city's residents.
Makeshift housing is common among those struggling to make ends meet in Mexico City, with homes often constructed from scratch with whatever materials residents can get their hands on. This house for example is predominantly made from gathered materials such as cardboard and scrap metal. Despite its small proportions, it accommodates an entire family.
The city's housing shortage is only worsening. Mexico's Federal Mortgage Association estimated that at least 11,000 new properties a year are required to address the issue, yet in 2023, only 1,701 homes were built, reports global newspaper El País. What's more, only 12% of those were classed as affordable.
For those on the other side of the wealth divide, it's a very different story. Dubbed the 'Beverly Hills of Mexico', the neighbourhood of Polanco in the heart of Mexico City is brimming with designer shops, upscale restaurants and high-end homes.
Local realtor Olivier Tomas shared this video tour of a two-bedroom apartment in the exclusive enclave, which was for sale back in April 2023 for MEX$20 million ($1m/£788k). Positioned on the 28th floor of a luxury high-rise, the residence encompasses 1,912 square feet (178sqm) and includes two bathrooms, three parking spaces and access to a pool and gym.
The most populous city in Brazil, São Paulo is the nation's bustling financial hub, steeped in a rich cultural and architectural heritage.
However, homelessness is a widespread issue among its 22.8 million residents. The city has a housing deficit of more than 1.1 million homes, with just under 3.2 million dwellings identified as inadequate. An estimated 9.4% of the population lives in informal settlements, yet there are also lots of vacant homes. This often leads to families moving into empty properties illegally, leaving them in inadequate and dangerous shelters.
This mother and her son are pictured here in 2003 in what looks to be an abandoned property they have made into their home because of a lack of proper, liveable accommodation.
People living in these buildings without permission are typically evicted, often leaving them homeless. Social movements have petitioned tirelessly to try and improve housing for marginalised communities in São Paulo. There are 588,978 homes without residents in São Paulo, while there are 48,261 people living on the streets, according to 2022 census data from the Brazilian Institute of Geography and Statistics.
According to data platform Statista, the average price of real estate in São Paulo in 2024 stands at R$910 ($162/£124) per square foot, the equivalent of R$9,800 ($1.8k/£1.3k) per square metre. The steep cost of property is a barrier to homeownership for many residents.
For the city's wealthiest residents, the skyline is peppered with luxury high-rise homes. Marketed as São Paulo's most expensive penthouse when it went up for sale in September 2023 with local realtor Natanel Duarte, this sprawling residence shows what high-end living looks like in the densely populated metropolis. The apartment includes four suites and 5,683 square feet (528sqm) of accommodation, with a price tag of R$30 million ($5.4m/£4.1m).
China's largest city, Shanghai is home to around 29.8 million people. The global financial hub is a popular spot for international expats, which means some of its property is seriously high-end.
For example, this high-rise home was part of one of the city’s most expensive apartment projects of all time in 2006, with units priced from CN¥38 million ($5.3m/£4m). The decadent décor matches the price tag, with plush crimson upholstery, elaborate light fittings and a majestic cream and gold dining table suitable for the most prestigious of guests.
But not all of Shanghai’s residents can afford to live in the lap of luxury. Many low-income migrants who travel to the city for work have to resort to extreme sharing, often leasing a bed in a room with several others.
The accommodation is often advertised as a hotel for job-seekers. Pictured here, Jiang Ye paid CN¥810 ($114/£87) a month in 2010 to rent this bed and use it to store her belongings.
Space in many of these apartments is leased out illegally, which is something the government has tried to crack down on. But it can be difficult to control the unregulated subletting market, which is used by many people who have nowhere else to stay. Government officials frequently raid properties they suspect are being rented out illegally and go as far as censoring words such as ‘bed space’ on listing sites.
It's no surprise that illegal housing is in demand given the extortionate cost of property in the city. According to the newspaper South China Morning Post, the average price of sold homes as of March 2024 stood at CH¥5,484 per square foot ($771/£589) or CH¥59,030 ($8.3k/£6.3k) per square metre.
The second most populous city in the world with a population of 33.8 million, the vibrant Indian capital of Delhi has a huge housing crisis. The dream of homeownership has become increasingly elusive for the city's lower and even middle classes.
Many residents resort to living in run-down parts of the city where substandard homes like this in the Tehkand Slum are often constructed from materials such as wooden sticks and cardboard. There is little access to basic resources such as clean water and sanitation facilities and the cramped conditions often mean that diseases can run rampant.
Those who do have more substantial homes often share their accommodation with multiple family members. This picture shows Suman and her son in 2011 in a bright but small bedroom, which they share with four other family members.
According to the city government's Economic Survey for 2020-2021, just over 6.7 million people lived in poor housing in low-income settlements in New Delhi, in the south half of the capital. While there are government initiatives to try and house everybody in the city, those same authorities often demolish temporary settlements as part of a beautification drive, leaving residents with nowhere to go.
Delhi has an affordable housing deficit that continues to drive up property prices. According to the data platform Numbeo, the average cost per square foot of real estate in the city is ₹18,303 ($218/£166), the equivalent of ₹197,016 ($2.3k/£1.8k) per square metre.
Meanwhile, the monthly rent for a one-bedroom apartment in the city centre stands at ₹2,114 per square foot ($25/£19) or ₹22,751 ($270/£207) per square metre.
Those with money reside in the new developments of luxury homes in New Delhi. The owner of this modern property in one of the area's affluent communities is from India's merchant class. A dramatic contrast to the conditions millions of residents live in, Delhi is a city of two halves.
Home to 37 million people, Tokyo is the world's most crowded city and has developed a reputation for its efficient tiny living solutions. The average apartment in Tokyo measures approximately 709 square feet (65.9sqm), according to Japan’s House and Land Survey released in 2019. Yet more than 1.4 million apartments are smaller than 212 square feet (19.7sqm).
This type of apartment (pictured) in Adachi ward, which measures 107 square feet (10sqm), is particularly popular with young professionals looking for a home in Tokyo's most expensive neighbourhoods.
Japan is renowned for its quirky living arrangements. Tourists visiting Tokyo often opt for a futuristic pod bed in a capsule hotel to save money on sleeping arrangements. However, for some permanent residents, capsule apartments offer the most affordable long-term accommodation option.
Filmed here by YouTuber Norm Nakamura for his channel Tokyo Lens, this unit is one of many in a capsule apartment building in Tokyo. Costing the equivalent of $200 (£153) a month, the sleeping pod is fitted with hanging rails in the ceiling for storage and plenty of plug sockets. The units on each floor have access to a communal kitchen, living area and bathroom.
It's no wonder residents are resorting to alternative housing options when the average cost of an 800-square-foot (74sqm) apartment in Tokyo is around JP¥70 million ($469k/£358k). The average rent for a similar-sized property is around JP¥235,000 ($1.6k/£1.2k).
For wealthier residents, housing options range from detached family homes to sprawling apartments. For example, this three-bedroom penthouse in Shibuya ward features 1,780 square feet (165sqm) of floor space. Shared on the Tokyo Portfolio YouTube channel, it comes complete with a roof deck, a Jacuzzi and an outdoor swimming pool, plus an asking price of JP¥1.3 billion ($8.7m/£6.7m).
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