The novel is set in the early years of the twentieth century, in San Francisco, California. The characters live in a quaint neighbourhood on Polk Street. The novel takes place primarily inside the flat that most of the characters share, with some events (such as the argument between McTeague and Marcus) taking place at the local pub. This narrow view of the world in which the characters live serves to shine a bright light on the nature of the characters themselves and on the nature of their daily interactions, without the distraction of outside events.