The vast majority of expatriates working in China rent their housing, as they are usually living in China for a relatively short time. In many cases, housing will be provided as part of the employment contract. Within the cities, there are particular residential areas which are popular with expats.

It is very expensive to rent good quality accommodation in China's cities. Houses and apartments tend to be cramped by western standards, and although they often come furnished, the furnishings and equipment provided are likely to be quite basic. The private rental market is very new in China, and it has been reported that many landlords have only a rudimentary understanding of the concept of service and of market value. However, the real estate market in China's main cities has seen rapid growth over the past few years and there is increasingly more choice of rental properties, while landlords are now being forced to maintain and renovate their properties in order to attract tenants. Housing availability is still quite limited, however, and good properties are quickly snapped up.

If you are prepared to live in an older property which may lack some modern facilities, there are some very charming and interesting properties available to rent or buy. These are a legacy of China's very rich colonial past, in which construction was influenced by many different countries and their architectural traditions. These included Britain, France, Germany, America, Japan and Russia.

In the cities, rented houses and apartments are likely to come equipped with water heaters, modern bathrooms, washing machines and other kitchen appliances; in rural areas it may be difficult to find these facilities, and accommodation is likely to be very basic.

In Shanghai, the following types of properties are available for rent (similar properties may be available in Beijing and other cities):

- Luxury apartment blocks, constructed by foreign or join-venture companies particularly to meet the requirements of expatriates. These have a full range of sports and social facilities, shops and even medical clinics, and are very expensive.
- Villas, ranging from newly-constructed full-service villas, which come at a price tag in excess of US$10,000 per month) and have cleaning, gardening and maintenance provided, as well as the use of on-site sports and social facilities, to older villas built in the 1920s-40s, which have more character than the new properties and are very sought after. Still in the top price range, these are popular but often come with the inconvenience of high maintenance requirements.
- Various smaller villas and apartments in the many lanes leading off from Shanghai's main thoroughfares, within the Chinese community. These properties are still expensive to rent by Chinese standards, the least expensive starting at around US$2,000-3,000 per month.
- Standard apartments. A cheaper option, these are increasingly available due to the high level of construction in cities. They vary considerably in terms of attractiveness, space, etc., but it is possible to shop around for a bargain.

Properties are usually rented for a minimum of one year with the option to extend. When a suitable property has been found and the lease terms agreed on, a non-refundable holding deposit, equal to one month's rent, will be payable. A security deposit, usually equal to 2-3 months rent, is also usually required on taking up occupancy. Rent is payable monthly (in advance), and for certain types of accommodation there may be an additional regular management fee to cover the cost of building maintenance, security and the upkeep of facilities. Rent does not usually include utilities or telephone costs. In some cities, landlords are required to pay tax on rental income, which they may try to pass on to the tenant, excluding the cost of this from the rental price quoted.