In Berlin, for example, rents have been notoriously low (something like €500 would get you an appartment: http://berlin.en.craigslist.de/search/apa ), but also in many other cities.
Also in some cities the "city center" or parts of it has low rent because of many immigrants or things like that, and more wealthy people live for other parts/suburbs.
https://upload.wikimedia.org/wikipedia/commons/b/bc/Small_Si...
The next step down is a townhouse:
http://media.point2.com/p2a/htmltext/a2c4/c0e3/62d9/4e6d5930...
These are all but nonexistent outside of cities in the US, though.
In Madrid I'm paying less rent for a studio in the center than what I was paying for a room in a shared flat in London Zone 3.
Of course, this is just the rent, not utilities & etc.
EDIT: Yes, by "house" I mean "apartment".