The Burrow
Apr 3, 2024
Despite the rising mortgage interest rates, and the continuing cost-of-living crisis, a recent survey has shown that millennials are officially the most house-obsessed generation.
Given millennials are confident with technology and avid savers; we can see that affordable housing, start-up jobs with plenty of progression, and accessibility are all important factors when looking to move to a new city.
With that in mind and as home loan experts we wanted to uncover the best cities around the world for millennials to move to. To do this, we analysed several factors, which then fed into one of five overarching themes:
By analysing all of this, we were able to determine the best cities that offer a combination of all of these factors.
Before we delve into the details, it’s clear to see that Europe comes out on top, with nine out of the top 10 cities in Europe. The USA makes its first appearance in position 15, with San Francisco, and Australia in 41st, with Sydney.
The Dutch capital scores top overall as the best city for millennials; and whilst the city has lots of things going for it, the best is that it’s scored third highest for work/life balance.
After all, not only does Amsterdam have the lowest percentage of employees working 50+ hours a week, at 0.3%, but it also has the fourth lowest unemployment rates on our list, at 3.6%; meaning if you choose to live here, it should be relatively easy to find a job, and you won’t be expected to work overtime.
Stockholm comes in second place, with the city having the second highest equality score. Not only does it have a 100% rating against anti-discrimination, but it also has the third highest LGBTQ+ acceptance score and scores the third highest for gender equality, too.
It also does well for work/life balance, with Sweden paving the way for shorter working weeks, with just 0.9% of the capital’s population working 50+ hours a week.
In third place is Prague, which scored top for recreation, and fourth for affordability. If you’re looking for things to do outside of work, you can’t beat it – it has the third highest number of bars per 100,000 people (19.03), alongside the most fitness clubs per 100,000, and the second highest number of attractions per capita.
Pair that with mortgage credit interest rates sitting at 3.07% (the joint fourth lowest on our list), and you’ll have plenty of money left over to spend in your free time.
Dublin comes in fourth place for millennials, with it scoring sixth overall for equality, due to its high gender equality and LGBTQ+ acceptance.
The Irish capital also fares well when it comes to recreation, with 189 walking trails to discover, as well as 167.49 attractions per 100,000 people, with Dublin Castle, Trinity College, and the Guinness Storehouse just a few things you should visit if you move there.
In fifth place is Italy’s fashion capital, Milan, which scored second best for recreation. Not only does the city boast the most bars per 100,000 people, at 27.38, but it also has the second highest number of fitness clubs per 100,000 (3.15), and the third most attractions per 100,000 (244.7), including the iconic Duomo, and the elaborate gallerias that are home to designer flagship stores.
Zurich makes it into a very respectable sixth place, scoring well across the board. The city scores second for work/life balance, with the joint lowest unemployment rates (2.5%), and just 0.4% of employees work 50+ hours a week.
The city also scores second for service access, with 89% of 25-64-year-old-residents having at least a high school degree, alongside the third highest health score, at 82.1.
The Finnish capital is officially the seventh best city in the world for millennials, with the reason being it’s the most equal. Helsinki has the joint top highest anti-discrimination score, at 100%, and the second highest score for gender equality.
Not only that, but work/life balance is good in Helsinki too, with just 3.6% of the working population spending more than 50+ hours at work a week; with healthcare also one of the most accessible on our list, should you need treatment.
If you prefer sunnier climates, then you might want to consider Lyon, which scores third overall for service access, with the second fastest internet speeds on our list, at 267.24Mbps; alongside a high health score, of 80.5.
But service access isn’t the only thing Lyon has going for it – mortgage interest rates are at the lower end of the scale, at 3.36%, and the proportion of gyms and fitness clubs per 100,000 people is relatively high, at 1.15.
Big city lifestyles might not score top for affordability, but London scores well for recreation, in fifth place overall. What might surprise you about the city is it has the second highest number of walking trails, behind Sydney, at 599.
Not only that, but if you’re looking for a fast-paced job, then London could be the answer, with the third highest score for start-ups on our list, just behind San Francisco and New York City.
Rounding off our top 10 cities for millennials is Toronto, which also happens to be the highest scoring non-European city on our list. It’s the fourth highest for equality, with a 100% score for anti-discrimination, as well as coming fourth for LGBTQ+ acceptance.
Plus, residents are educated, with 92% obtaining at least a high-school diploma – the third highest on our list.
When it comes to work/life balance; San Francisco, Zurich, Amsterdam, Copenhagen, and Oslo make up our top five.
If we delve a little deeper into the factors that make this score up, San Francisco and New York City score the best for start-ups, highlighting job opportunities, as well as positive business environments.
When it comes to unemployment rates, Copenhagen and Zurich top the board, with a score of just 2.5% each; and Amsterdam, Zurich, and Stockholm all have less than 1% of the population working 50+ hours a week.
With wanting to get on the housing ladder a dream for many millennials, affordability is understandably a huge factor when it comes to choosing where to live.
Overall, Czechia’s Brno comes out as the most affordable, with Zagreb, Valencia, Prague, and Porto making up the top five. When it comes to cost of living, however, nowhere else can compete with South Africa; with Durban coming out the best, followed by Cape Town, and Johannesburg.
However, if we look at interest rates, Zurich’s is the most affordable, at 2.42%, followed by Amsterdam, Zagreb, Brno, and Prague; with South Africa’s the highest, at 11.75%.
When it comes to things to do in and around the city, Prague tops the leaderboard, with Milan, Cape Town, Rome, and London in the top five.
Australia fares well for walking trails, with Sydney and Melbourne in first and third place, with a total of 667 and 552, respectively. In fact, four out of the five top cities are in Australia, with Canberra and Perth in fourth and fifth, with London the outlier in second.
We already know that Milan has more bars per 100,000 people than anywhere else on the list, but Naples comes a close second, at 21.63. Prague, Lyon, and Brno make up the top five, with Turin and Rome also scoring well.
Attractions-wise, no one can beat Cape Town, with 593.98 attractions per 100,000 people; with a hike up Table Mountain, cocktail drinking at the V&A Waterfront, and seal spotting at Hout Bay all iconic activities to do while you’re there.
Finally, for fitness, Prague, Milan, Rome, Zurich, and Turin score in the top five, with Cape Town in sixth. Leeds is the highest placing UK city in position 7, with 2.15 gyms per 100,000.
Anti-discrimination, gender equality, and LGBTQ+ acceptance were our three factors for equality, with Helsinki in top overall, followed by Stockholm, Oslo, Toronto, and Brussels in the top five.
Nine countries score 100% for anti-discrimination, including cities we haven’t already highlighted, including Brussels, Lisbon, Porto, Cape Town, Durban, and Johannesburg. 10 cities score 97% – all of which are American – including Chicago, LA, and Philadelphia.
Gender equality is top in Oslo, with a score of 0.879, followed by Helsinki, Stockholm, Berlin, Hamburg, and Munich. When it comes to acceptance of LGBTQ+, Amsterdam storms the list, with Oslo, Stockholm, and Toronto not far behind, in addition to the Spanish cities of Barcelona, Madrid, Valencia, and finally, Copenhagen.
Health, internet speeds, and educational levels all form our overall service access score; with Austin, Texas scoring the highest, followed by Zurich, Lyon, Toronto, and Marseille.
Oslo officially has the highest healthcare score, meaning the population are overall very healthy and can access the services they need to stay that way. Stockholm places a close second, at 82.3, followed by Zurich, Amsterdam, and Berlin.
Internet speeds are the fastest in Austin, at 286.87Mbps, with Lyon, Bucharest, Madrid, and Marseille all scoring well.
Czechia’s Brno and Prague score the top for education, with 94% of the adult population high-school degree educated or higher, whereas Warsaw scores 93%, and all US cities on our list at 92%.
General Manager of Money at Compare the Market AUS, Stephen Zeller, states there’s often a key driving force in determining whether it’s time to move somewhere new.
“Often, it can be a new job offer, or it might be that properties are a lot more affordable. However, like this ranking shows, there are so many other things you should consider too,” says Zeller.
“Things like amenities are really important – if you love grabbing a morning coffee, or are an avid pub quizzer, then a nearby high street with cafes, shops, pubs, and restaurants is key. Similarly, if you’re considering starting a family in the future, then it’s definitely worth taking a look at the nearby catchment schools, and their pass rates.
“That being said, if affordable housing is the main reason for your moving, then house prices may be the ultimate deciding factor. Purchasing a house might be the biggest investment we ever make in our lives, and the lower the prices in an area, the less you may need to borrow with a home loan.”
We compare home loans from a range of providers, and our service shows eligible Australians the loans they can actually apply for. This makes it easier to weigh up available loans based on interest rates and fees. Our team of home loan experts is on hand to help guide applicants through the process to help them purchase a property and navigate all the paperwork.
Sources:
Methodology:
This dataset ranks 60 cities, based on how good they are for millennials. To do this, 15 different factors, grouped into 5 subcategories, were used. Once the data for the factors was collected, the factors were then normalised, to provide each factor with a score of between 0 and 1. If data was not available, a score of 0 was given. The normalised values were then summed, to give each location a total score out of 15. The locations were then ranked from highest to lowest, based on their total scores. Factors where country values were used have been indicated below.
The factors used are as follows:
The factors were indexed as follows:
All data is correct as of 15/02/24. The ranking data shown is a compilation of multiple data sources, and may not be representative of real life. All data is accurate with regards to the sources provided.