The document states that the lack of finance has long been held as an obvious and major reason why the poor cannot afford to house. Despite a number of attempts to find an alternative, housing finance remains tied to the mortgage. Conventional wisdom tells us that for the poor to be able to afford to house, they must be given long-term mortgages, preferably at low or subsidized interest rates. While it is recognized that as many as 80% of the urban populations of most developing countries cannot rely on formal financing mechanisms for their housing, the conclusion that housing is not possible without subsidies is erroneous.