Affordable Urban Housing

This sub-indicator measures the number of households in urban areas that could afford the cheapest newly built house by a formal developer in the respective country given the lending terms available. Calculated using the ‘price of the cheapest, newly built house by a formal developer or contractor’ indicator against the lending terms’ indicators (mortgage interest rate, term, down payment) for each country where data is available and counted per market income segment for the urban household split. This indicator is a very rough estimate of housing affordability, assuming the availability of mortgage finance and of sufficient housing supply.