10 Countries Where Buying A Home Is Nearly Impossible

Hong Kong: The World’s Most Unaffordable Housing Market

Hong Kong has held the title of the world’s least affordable housing market for over a decade, with a staggering median multiple of 16.7. This means the average home costs nearly seventeen times the median household income. Property prices here soar to astronomical levels, with some areas reaching $100,000 per square meter. The situation has become so dire that many locals are forced into “shoe-box sized” subdivided flats.

Hong Kong has consistently ranked as the world’s most expensive city for expatriates in multiple international surveys, followed by Singapore and other major global cities. The city’s over 100,000 subdivided flats, often linked to health and safety problems, highlight the severity of the crisis, with current wait times for public housing stretching to 5.5 years.

Switzerland: Alpine Luxury Comes at a Price

Switzerland stands as Europe’s most expensive country for property purchases, with average flat prices reaching £766,000, which is over eleven times more expensive than the cheapest European option. The pristine Alpine location, political stability, and strong currency create a perfect storm for sky-high real estate prices. Foreign buyers face additional restrictions and hefty taxes that make homeownership even more challenging.

The Swiss housing market operates on a different level entirely, where even modest apartments in major cities like Zurich and Geneva can cost more than luxury homes in many other countries. Local wages, while high, still struggle to keep pace with the relentless rise in property values, making homeownership a distant dream for many residents.

Luxembourg: Europe’s Financial Hub Demands Premium Prices

Luxembourg ranks as the second most expensive European country for property, with average prices hitting £509,000. This tiny nation’s status as a major financial center attracts wealthy international buyers, creating intense competition for limited housing stock. The country’s housing costs are 86% above the EU average, making it one of the most challenging markets in Europe.

The influx of high-earning financial professionals and EU officials has transformed Luxembourg’s property market into an exclusive playground for the wealthy. Local residents often find themselves priced out of their own neighborhoods, forced to commute from neighboring countries where housing remains somewhat more affordable.

Australia: The Lucky Country’s Housing Crisis

Australia’s housing crisis has reached breaking point, with the average house now costing nearly nine times the average household income, while a record-low 22% of Australians express satisfaction with housing affordability. For many Australians, securing affordable, fit-for-purpose housing has become challenging, if not impossible. The situation is so severe that only Turkey ranks higher for housing dissatisfaction among developed nations.

Home prices rose by 4.9% in 2024, while rents increased by 4.8%, both outpacing household income growth and worsening affordability. With only 177,000 new dwellings completed in 2024 against an estimated demand of 223,000, Australia faces a projected shortfall of 262,000 dwellings by 2029.

Canada: The Great White North’s Affordability Nightmare

Canada ranks among the countries with the highest house price-to-income ratios globally, alongside Portugal and the United States. Toronto area alone is predicted to see a 10% price hike in 2025, with Ontario’s average home price expected to reach $911,150. The situation has become so extreme that basic homeownership appears increasingly out of reach for average Canadian families.

Canada experienced unprecedented population growth of over 1.2 million people in a single year, creating an acute housing shortage that collapsed rental vacancy rates to all-time lows and sent rental inflation to record highs. This massive influx of new residents has overwhelmed housing supply, creating a perfect storm of unaffordable prices.

New Zealand: Paradise Lost to Property Prices

New Zealand consistently ranks as the second least affordable housing market globally, though still significantly more affordable than Hong Kong. Auckland, the country’s largest city, has been classified as significantly unaffordable, representing the nation’s primary housing market challenge. The country’s natural beauty and stable political environment attract international buyers, driving prices beyond local reach.

The housing crisis in New Zealand has become so severe that many young Kiwis are abandoning dreams of homeownership entirely. Even with decent incomes, the deposit requirements and ongoing mortgage payments make property ownership virtually impossible for first-time buyers without substantial family assistance.

Monaco: The Ultimate Playground for the Ultra-Wealthy

Monaco stands unparalleled with property prices soaring to $100,000 per square meter, driven by its minuscule size of just 2.1 square kilometers which severely restricts real estate supply. This Mediterranean principality operates less like a housing market and more like an exclusive members club where only the world’s wealthiest individuals can afford to play.

The combination of tax haven status with no income tax, luxurious lifestyle amenities, and exceptional security creates an irresistible draw for high-net-worth individuals seeking exclusivity and peace of mind. For ordinary mortals, Monaco represents the absolute pinnacle of housing unaffordability.

Singapore: The Lion City’s Roaring Prices

Singapore’s median multiple for resale HDB flats stood at 3.8 in 2024, reflecting government efforts to maintain housing accessibility through subsidies and grants. However, recent data reveals a 2.5% increase in resale prices in the third quarter of 2024, signaling robust demand amid relatively tight supply. While government intervention keeps some housing affordable, private property remains extremely expensive.

Singapore ranks as the world’s second most expensive city for expatriates, following Hong Kong in international cost-of-living surveys. The city-state’s limited land area and strict development controls create artificial scarcity that drives prices ever higher, making homeownership a significant financial challenge even for well-paid professionals.

United Kingdom: Britain’s Broken Housing Ladder

London ranks as the world’s fifth most expensive city for property purchases, with average flat costs of £928,000, up from £863,000 in 2024, while the UK stands as Europe’s eighth most expensive country at £276,000. Across the UK, housing markets show a mix of unaffordable conditions, with 23 markets assessed and none rated as affordable.

The British housing crisis has created a generation locked out of homeownership, forced to rent indefinitely while watching property prices climb ever higher. Government schemes to help first-time buyers have proven largely ineffective against the relentless tide of rising costs and stagnant wages.

Ireland: The Emerald Isle’s Tarnished Housing Dream

Ireland battled the highest housing costs in Europe during 2023, including utilities, which were double the EU average according to Eurostat data. This represents a dramatic transformation from a country once known for affordable living to one where housing has become prohibitively expensive for many residents. The combination of limited supply and strong demand has created a perfect storm of unaffordability.

Young Irish people increasingly face the choice between emigration and permanent renting, as homeownership becomes financially impossible without significant family wealth. The government’s various housing initiatives have struggled to make meaningful dents in the affordability crisis that continues to worsen year after year.

United States: The American Dream Under Siege

The United States ranks among countries with the highest house price-to-income ratios globally, though the situation varies dramatically by location. The US presents the most diverse range of housing markets, with 56 different markets assessed, creating a patchwork of affordability that ranges from impossible to merely difficult.

In major coastal cities like San Francisco, Los Angeles, and New York, median home prices have reached levels that make homeownership virtually impossible for middle-class families. Meanwhile, smaller cities in the heartland still offer relatively affordable options, creating a tale of two Americas where geography increasingly determines housing destiny. The traditional American dream of homeownership has become increasingly elusive, particularly for younger generations facing stagnant wages and soaring property costs.

Conclusion: A Global Crisis Requiring Bold Solutions

The housing affordability crisis spans continents and affects both developed and developing nations, creating a generation potentially locked out of homeownership forever. From Hong Kong’s subdivided flats to Australia’s record dissatisfaction levels, the pattern remains consistent: housing costs are rising far faster than incomes can support. While some governments implement various schemes and interventions, the fundamental supply-demand imbalances persist.

These ten countries represent the most extreme examples of housing unaffordability, where buying a home has transformed from a challenging goal into an nearly impossible dream for ordinary citizens. The crisis demands innovative solutions, from revolutionary building techniques to fundamental policy reforms, before entire generations find themselves permanently excluded from property ownership. Can you imagine a world where renting becomes the only option for the majority?