Financial Analytics: Science and Experience

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Financial Analytics: Science and Experience

7(145) - 2013 February

Modern methods of measuring housing affordability

Vol. 6, Iss. 7, FEBRUARY 2013

Available online: 21 February 2013

Subject Heading: HOUSING MARKET

JEL Classification:

Cherepovich A.V. Lecturer, Department «Economy, Finance and Accounting», the Russian State Social University, Togliatti branch, Graduate Student, Department “Finance and Credite”, the Volzhsky University named after V.N. Tatischev (Togliatti)
acherepovich@yandex.ru

One of the priorities of the state policy is to increase availability of comfortable housing for the population. In order to assess the state of the housing problem and the ability to purchase housing population use rate housing affordability. In the article it is shown that approaches used in domestic practice don't give an exact idea of availability of housing. The author suggests using new progressive methods for measurement of availability of housing.

Keywords: housing, affordability of housing, measuring ratio of median home price to median annual household income, housing affordability index, availability of income quintile, average availability of income available to purchase risk curve affordability, integrated housing affordability index

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ISSN 2311-8768 (Online)
ISSN 2073-4484 (Print)

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