Description

Affordability has always been an important topic within studies of housing markets and policies, but has received renewed impetus in the age of financialization. Whereas “financial solutions” are typically presented as expanding housing affordability to more social groups, the effect is typically one of price inflation. Depending on global, national and local policies and conditions this may either result in reduced affordability or in increased indebtness. Yet the narrative that finance enables homeownership remains strong and is rolled out to informal housing markets. Furthermore, the financialization of rental housing has become an important frontier. While the effect on new construction has been limited, the effect on housing affordability, by and large, has been negative. New corporate landlords are also using new strategies and digital platforms to manage property and tenants, possibly leading to new patterns of inclusion and exclusion.