Advisory Center for Affordable Settlements & Housing

acash

Advisory Center for Affordable Settlements and Housing
ACASH

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Document TypeGeneral
Publish Date13/04/2020
AuthorRaul Berto, Giovanni Cechet, Carlo Antonio Stival, Paolo Rosato 1
Published By
Edited BySuneela Farooqi
Uncategorized

Affordable Housing vs. Urban Land Rent in Widespread Settlement Areas

Social housing constitutes a partial answer to the demand for low-cost housing. In Europe, there are various forms of social housing. A universal approach in which the State guarantees the right to housing, and Social Housing acts as a calmer of the market. A residual approach in which the State intervenes to compensate for market failures. The latter approach includes national initiatives for social residential building, the financial instrument. Social housing can be traced back to the so-called affordable housing approach. This approach was widespread in Europe, the USA, Canada, and Australia in the 1980s and requires that the satisfaction of housing needs does not affect a person’s ability to meet other basic needs, such as food and health, etc. In all settlement processes, and thus also in those with a social value, the issue of land rents takes on a very important in all cases in which, aside from the objectives of the investment, a minimum economic return for the developer is achieved. In fact, urban land price is playing the most important role in the production costs of a building.

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