This paper examined the challenges experienced in low-income areas with specific emphasis on Khayelitsha, Cape Town. The paper argues that low-income areas in most cities are faced with enormous challenges, including amongst many others, crime, overcrowding, sanitation, health issues, floods, and shack fires. These challenges are the byproduct of poor/colonial and/or urban planning practices or institutional inertia/neglect from municipalities and skewed service provisions. Moreover, these challenges account for the spread of environmental health diseases like diarrhea, dysentery, pneumonia, and tuberculosis. It is furthermore argued that these areas are also associated with substance abuse, alcoholism, and prostitution. The objective of this paper is to highlight these challenges in Low-Income Areas and their implications. Interestingly, existing scholarship has barely mentioned these problems without intensely explaining their underlying implications. It is these lacunae or gaps in the extant literature that this current study will seek to address as it illuminates these implications. To gain these insights the study utilised ethnographic qualitative research and observations conducted from March 2018 to October 2019 utilising a sample of 28 individuals. The study found that these challenges impacts on the residents culminating in illness, loss of livelihoods, and lives, and also property. This rationalises the study as it seeks to influence policy and ensure a change in attitudes in these areas.