Whether you're searching for a quirky flat in the artsy Gracia neighbourhood, a stately home in the Zona Alta or some peace and quiet in the suburb San Cugat, Barcelona can satisfy, as long as you're willing to pay for it.

Traditionally one of the more affordable cities in Europe, property prices have skyrocketed in Barcelona in the past few years, increasing by 17.5 percent from 2002 to 2003 alone. Even so, buying in the Catalan capital is a good investment, as prices show no signs of dropping. Renting is an option too, and is generally much more affordable.

Here's a run-down on the best barrios (neighbourhoods) in the city and surrounds.

Ciutat Vella (Old City)
L'Eixample (The Extension)
Gràcia
Sarrià and the Zona Alta (High Zone)
Sitges
San Cugat

Ciutat Vella (Old City)

The oldest part of Barcelona, Ciutat Vella is also the most lively and without a doubt the most touristy. The neighbourhood is a relatively small area sandwiched between the larger Eixample (Extension, see below) and the Mediterranean Sea.

Home to artisan workshops, unique shops, countless architectural treasures, and some of the city's best museums, it's easy to see why many expats are attracted to this dynamic barrio.

The Ciutat Vella is a unique place to live, but it has problems too. Street noise may be a bother, and getting a car through the narrow (if picturesque) streets is a nightmare. The abundance of awed tourists means that crime is higher here than in other areas of Barcelona, and you'll have to watch your wallet. In general, this area is more popular with students and single professionals than with kids and families.

The Ciutat Vella is actually divided into three areas: La Ribera, to the north; Barri Gótic, the central Gothic Quarter; and El Raval, to the south. Through the centre runs La Rambla, Barcelona's emblematic pedestrian boulevard, a hotbed of activity, ideas and people day and night.

La Ribera

La Ribera, also called El Born, is currently the most chic place in Barcelona. Traditionally the heart of the textile industry, it has reclaimed its roots and is the epicentre for Catalan clothing design. Crowned by the noble Santa Maria del Mar basilica, this is an enchanting neighbourhood that, while increasingly popular with tourists, is still a place where neighbours stop and chat in the street.

Barri Gótic

The Barri Gótic is the original centre of Barcelona, or Barcelo as it was called by the Romans who began building here. A home in this area, among ancient, romantic streets and musicians who play guitars in small stone plazas, is a home like no other. Over the past decade, the Barri Gótic has become increasingly en vogue, and prices can be high.

El Raval

Until recent years, El Raval was a marginalised neighbourhood known for crime and prostitution. It's now one of the most creative areas of the city and draws young artists, musicians and designers. It's the Barcelona's most diverse area, with a high immigrant population. Living here is an adventure and a lesson in diversity. It's possible to find incredible flats, but they may be in need of repair. 

L'Eixample (The Extension)

The grid of L'Eixample neighbourhood was drawn out in 1859 as a deliberate plan to expand the cramped city of Barcelona (which then consisted solely of the Ciutat Vella). The resulting cookie-cutter-perfect city blocks cover nearly half of the modern city.

La Pedrera is only one of the many apartment buildings in l'Eixample

Here you'll find high-end shopping, some of the best-value housing and not least, the vast majority of the city's modernist treasures. Architecture by revered Catalan sons Antoni Gaudí, Josep Puig i Cadafalch and Lluís Doménech i Montaner, among others, dot the tree-lined boulevards of Barcelona's largest district.

L'Exiample is actually divided into two parts, L'Eixample Esquerra (Left Extension), which stretches south of the major thoroughfare Passeig de Gràcia, and L'Eixample Dreta (Right Extension), which stretches to the north. Both have a mixture of high-end and more modest housing, with loads of shops, restaurants, schools and other services filling the first and second floors of early 20th-century buildings dedicated to housing or office space.

Radiating out from the intersection of Carrer Aragó and Carrer Consell de Cent in L'Eixample Esquerra is Barcelona's major gay neighbourhood, commonly referred to as "Gay-xample."

Public transport — buses and metro lines — make moving around a breeze.

L'Eixample is a convenient neighbourhood where both families and young professionals will feel comfortable.

Gràcia

Long the haunt of artists and free-thinkers, Gràcia feels like a whole different town within the hustle and bustle of Barcelona. In fact, it once was an independent village, with the narrow streets and small plazas to prove it, but Barcelona swallowed it up in 1897. These days, it's home to countless sidewalk cafés and bench-lined plazas. Some of the city's best tapas restaurants and low-key nightspots are here, as are alternative theatres and quirky shops. 

Housing ranges from large sunny flats to cramped spaces that have been carved out of one-time private homes, but in generally renting or buying here is more affordable than in other parts of Barcelona.

Public transportation isn't as abundant as in other areas, but a metro line runs through the heart of the neighbourhood.

For those facing a long driving commute or carting kids here and there, Gràcia isn't the most convenient place to live, though its charm is unmatched by other barrios.

Sarrià and the Zona Alta (High Zone)

Recognized as Barcelona's most privileged address, Sarrià and the larger area Zona Alta are home to posh mansions, elegant apartment blocks and the best international schools. You'll need your own transport to get around comfortably, but the neighbourhood offers a tranquil, residential feel impossible to find in other parts of the city.

All housing here is expensive, but it's also newer and generally in better condition than many of the apartments on offer in more historic parts of Barcelona.

Like Gràcia, Sarrià was once an independent town, and its old central square is still the heart of the neighbourhood. For many people, a big plus of the Zona Alta is that it's close to the Ronda, the belt-like highway that circles Barcelona.

Sitges

Just a half-hour south of Barcelona, Sitges is a popular coastal resort for those who need to be close to the city but love the relaxed atmosphere and bohemian air of beachy Sitges. The train connects the town to central Barcelona in less than half an hour, making it an easy home base for commuters.

Property here is by no means cheap, but there are a lot of options to choose from. A small apartment in the centre of town will be convenient, but can get noisy in summer when the town turns into one big open-air party. The residential area of El Vinyet is a quiet area where you'll find mostly apartments, while single-family homes line the slopes above town.

There is an international school in Sitges, though the best international schools outside of Barcelona are in Castelldefels, a coastal town half-way between Sitges and Barcelona.

San Cugat

An ideal place for families, San Cugat is a Barcelona suburb that's well connected to the city centre by the ferrocarril (regional train). The pace here is a good deal slower than that of the city, and while property prices are still high, it's possible to find a larger townhouse or even a small one-family home, something that can be difficult in Barcelona proper.

Forests of the Collserola mountain ridge make for great strolling, and the large park on the grounds of a Romanesque monastery is a good place to play with the kids. San Cugat's small downtown has all the services you need, including an international school.