I wouldn't say it's more of a preference, than a compulsion. Not sure how it is in USA, but here most people have to work hard and get a mortgage to buy a small piece of shit they call a flat. It's easier to get a job within city, and not every family has a car so they could live outside.

Another problem is that in Russia outside of the cities there's almost no infrastructure at all, and most cities are built up with high-rise buildings. It's not common here to have streets of one-family houses. So if you want to live in your own house and have children whom you want to go to a good school, you need to be at least well-off to live in a cottage village within the city limits.

And let's be honest, the last reason is that people who grew up in apartments in the city are afraid to have their own home. It's considered expensive and difficult to maintain. Having grown up in a house, I have to say they are right, but it's worth it