Living outside tokyo?

Does people who work in tokyo actually live inside tokyo's 23 district? Or do they just live outside of tokyo and commute to work? What is the best place to live if you are living outside tokyo? Right now Saitama and Kanagawa comes to my mind but I'm sure there are still other good options. Let me hear what you think guys !

Does people who work in tokyo actually live inside tokyo's 23 district?

Yes, over 9 million people live within the 23 wards.

Or do they just live outside of tokyo and commute to work?

Another few millions do that.

What is the best place to live if you are living outside tokyo?

It depends on your job's location, your budget and your personal preferences. I personally live two hours outside Tokyo and love it. I am not commuting to Tokyo, am close to nature, but am not too far from Tokyo, either.

The best places to live completely depends on what you need.

For example, a lot of people prefer to choose an area that is convenient for commuting, meaning that you can commute by not changing trains or by obtaining a seat at a terminal station.

If you have kids, you might want to live in an area with better schools and doctors, even if it means having to walk a lot to your nearest station.

Some might perfer the sea, while others prefer the mountains, or theaters or libraries or what not.

Also note that living within the 23 wards may not always be the most convenient choice. For example, there are stations in which faster trains don't stop. When disposing waste, each prefecture has different rules. Taxes are slightly different too.

Within Greater Tokyo, I've lived in Meguro-ku, Musashino-shi and Yokohama, and all have good sides and bad sides, but we just had to live where we can afford and still suit our lifestyle then at the same time.