Sydney is at a turning point. Australia's harbour city is expected to have a population of 8 million by 2055, and the city is becoming increasingly international. Residents are having to adapt to a new way of life.

The Urban Living Index illustrates that Sydney-siders are increasingly valuing higher density living. The suburbs with the highest rankings are consistently clustered around established infrastructure hubs and entertainment, where it's easy to feel part of a local community.

The index has been developed by McCrindle Research and Urban Taskforce Australia, and blends a range of livability factors to arrive at the Urban Living Index.

The index uses five categories: affordability, community, employability, amenity, and accessibility. Each category is measured according to four items, such as house price, dynamic community, shopping facilities, and access to work. The formula gives a number rating for each Sydney suburb.

The suburbs on the immediate outskirts of city centres rate the highest for livability: Crows Nest-Waverton and Surry Hills share the highest rating (85). Pyrmont-Ultimo is close behind (83), with Marrickville a rising star (also 83).

While the data provides a fascinating snapshot of how Sydney residents like to live, the data can also be drilled down to reveal useful insights into each category.

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