The harbour city was beaten only by Hong Kong,where house prices are 23 times the household income.
Melbourne came in as the fifth least affordable city,with the median house price now 12 times the average household income.
Other Australian capitals were also considered “severely unaffordable”,as they had house prices more than five times average incomes.
Adelaide,which has a median price eight times the average household income,and Brisbane and Perth,with house prices seven times higher than incomes,were included in the top 20 least affordable cities across the globe.
Overall,the report revealed that the number of markets considered severely unaffordable rose by 60 per cent in 2021,compared with 2019,before the pandemic struck.
At the same time,the number of markets considered affordable or moderately affordable declined by nearly two-thirds.