Global population is ageing and Bangladesh has one of the fastest growing ageing populations in this region. Growth in the elderly population relative to other age groups challenges existing health services, family relationships and social security. Combined with this, depression has become a major mental health problem for elderly people especially for urban elderly for nuclear family norm in urban areas. The study was descriptive type of cross-sectional in nature and was conducted in Rangpur Medical College Hospital, Rangpur & Prime Medical College Hospital, Rangpur, Bangladesh. The objective of this study was to assess the lifestyle and level of depression in urban elderly. Depression was measured by questionnaire of geriatric depression scale among 254 respondents. 87.8% of the respondents were age between 60-70 years. Majorities (63%) of the respondents were male, 54% of the respondents lived in nuclear type family and the rest (46%) in joint type of family. Among respondents near half (47.2%) of the respondents found Mild depressive, around one third (32.7%) were severe depressive, and the rest (20.1%) were normal. There was significant association between occupational status of the respondents and depression (x²= 45.600, df= 14, p= 0.000). Farmers unemployed found severely depressive (52.1%) followed by day-labourer (50%) and businessmen (37.5%). There was significant association between financial self dependency and depression of the respondents (x²= 34.072, df= 4, p= 0.000). Severe depression (43.8%) was found among those who were not financially self dependent. There was also significant association between monthly income and depression of the respondents (x²= 67.327, df= 8, p= 0.000). The study also found that lower income group (< Tk 10000) suffer more from severe depression (42.1% vs. 16.67%) than that of higher income group (Tk 50000-99999). Another significant association found between respondents living with family and depression (x²= 16.025, df= 2, P= 0.000). Respondents those not living with family were suffering more from severe depression (55.55%). Association between social activity and depression (x²= 31.724, df= 4, p= 0.000) revealed that those not involved in social activities were in severe depression (40.55%). The study concluded that lifestyle factors and socio-demographic conditions directly influence the state of depression. Those who lead a healthy social life with friends and family, with a stable income source are less prone to severe depression and vice versa. The study recommended the formulation of strategies for the well being of urban elderly that should include social awareness about positive lifestyle changes, social mobilization, health assurance, and response from the government so that depression and its associated serious diseases can be prevented.