Here is a rough guide to the types of housing available:
Expat Communities/Villas. They can be expensive, but they can feature gardens,
split-level living, garages, full amenities and a health club somewhere
close by. You will pay handsomely for this luxury, but prices are coming
down. Most of the villa developments are in the Hongqiao and Gubei areas
to the west of the city center. Two big ones, Tomson Golf Villa and Shanghai Links have moved into Pudong.
Old Villas. Much more classy, generally in the old French
concession area. These are residences dating from before the Communist
takeover in 1949. The Shanghailanders sure knew how to live in style.
For old houses which have been properly renovated, with electrical and
plumbing updated, prices can be high, but the location is great and
comfort guaranteed. For those that haven't been renovated ... expect
problems amidst the grandeur.
Expat Apartments. These range from luxurious to nice, and from downtown to Pudong, with prices varying accordingly. The range of choices grows by the day. Check
with our Expat apartments page, or with a real estate agency.
Living with the Chinese. This is the cheapest way to go, although
it involves stepping into the huge twilight zone of potential legality
that covers most activities in China. But more and more foreigners are turning to this option, because it is so economical, and they're find the process relatively painless.