Executive Summary

Policy Identification And

Analysis Affordable Housing Construction

The Problem • Access to affordable housing is important to the well being and health of the people

which enables the economies to learn smoothly both in developing and develop countries.

• Yet; i. local government are struggling with the problem of housing the poor citizens in

the community ii. The local government also has the challenges of providing housing at a cost which

is reasonable. • There may be political conflict among parties advocating for affordable houses and

those advocating for growth management and smart growth. This is because it may raise the prices of the house and thus making them less affordable

Risks and Challenges

Risk • Low Quality planning • Diversity of government

policies • Traffic congestion surging • Disproportionate economic

profit focus

Challenges • Shortage of finance • Land governance • Building technology • Inadequate housing

policies

Policy Alternative and Solutions

i. Preserving and re-investing on existing affordable housing

ii. Creation of inclusive housing in completer communities iii. Limit on absentee ownership and speculative investment iv. Fair property taxing(Lee, 2016)

Stakeholders and their roles • Private sector; e.g., property developers, and building and construction businesses.

These has the role of constructing the affordable houses upon approval • Agencies; e.g., Local government, and housing authority or corporations. The role

include creation on the policies and planning on construction of housing policies • Community based organization; e.g., interest groups and community association. They

have the role of supporting the construction of affordable houses and giving their views on the different policies which has been put forward

• Housing providers; e.g., nonprofit corporation or local housing authorities. They has the role of determining the housing needs of the community and formulating solutions

• General public; e.g. potential tenants. The are the who will benefit from the construction of the affordable housing(Sousa, 2012)

Funding Opportunities • Funding is critical for adequate financial structures needed in addressing the

affordable housing challenges. They are various funding instrument for construction of affordable housing which includes;

Investors/creditors: These includes pension fund, private equity, wholesale debt, and insurance companies among others

Public sector agencies: These includes banks, guarantors, non-bank financial, and rental housing institutions among others

National or municipal tax bases: Bond markets, stock exchanges and capital markets

Community financing: end-user financing(Menon, Hodkinson, Galal, Reckford , & Charles , 2019).

Supportive and Evaluative Criteria

• Acceptability: This is in form of satisfaction, orientation and building topology, and aesthetics of the affordable housing

• Utility: Energy efficiency, life cycle cost and renewable energy evaluation criteria

• Adaptability: environmental consideration and protection, and appropriate building materials criteria.

• Security: quality of housing, comfort and security of the affordable housing construction

• Technology application: reduction in cost, time and maintenance cost criteria

Incentives, Subsidies, and Potential benefits.

• Incentives Lowering taxation on housing bonds Fast track approval Low –cost building technologies • Subsidies  Housing allowances Low-income mortgages subsidizing Lower income owners grants improvement • Potential benefits  More affordable cost Reduced exposure to environmental hazards Significant drop in traumatic experiences Improvement in mental and physical health

Conclusion • Because of the some of the risk and challenges stated in this

presentation, the proposed policy and solution will lower the cost of housing, allow for supply of affordable housed to much the demand of growing population and more so ensure that economically underserved group become more equitable

• More so, the solutions will promote more efficient resources use, ensure equity and sustainability of the environment.

• In the future, it is important that the price of the land is also reduced to avoid the scarcity that is created by high prices to enable even low and middle income citizens has a chance to owning affordable houses

Reference • Sousa, J. (2012). Stakeholder Analysis for Housing. International Encyclopedia

of Housing and Home, 28-33. doi:10.1016/b978-0-08-047163-1.00684-6 • Menon, A., Hodkinson, G., Galal, H., Reckford, J., & Charles, A. (2019). Making

Affordable Housing a Reality in Cities. Retrieved from http://www3.weforum.org/docs/WEF_Making_Affordable_Housing_A_Reality_In _Cities_report.pdf

• Lee, M. (2016). GETTING SERIOUS ABOUT AFFORDABLE HOUSING: Towards a plan for Metro Vancouver. Retrieved from https://www.policyalternatives.ca/sites/default/files/uploads/publications/BC %20Office/2016/05/CCPA-BC-Affordable-Housing.pdf.