Exactly like in Italy, our houses in general are much smaller than the American/Canadian ones.
Southern Italy has houses much bigger than the Northern ones for a matter of climate.
However, we don’t have the laundry room, only washer in the bathroom - sometimes in the kitchen.
Mine is in the bathroom but I’ll move it to the kitchen as soon as it will be possible to.
Dryer is something still vey unused in Italy, I think that maybe 2 or 3 people got one.
Same thing here, dryers are very uncommon in Portugal, we have a really good climate for drying clothes. My mom had one because we were 2 adults + 1 teenager + 2 children living in a very humid house and in the winter the dryer was very handy. I don't know of anyone else in Portugal who has a dryer. My friends who live in London they all have machines that wash and dry, London homes don't have a clothesline outside.