Disparity in housing affordability: evidence from a developing city

Figures & data

Table 1. Summary statistics (N = 656).

Criteria	Mean	SD	Min	Max
Household income (USD/month)	952.78	783.29	109	8,210
Household expenditure (USD/month)	499.99	447.65	43	7,821
Age of main income earner (years)	43.62	11.50	18	86
Working experience of main income earner (years)	9.71	8.76	0	53
Household size (persons)	4.54	2.35	1	25
Rate of elders (over 60 years) (%)	10.05	16.19	0	100
Rate of children (under 6 years) (%)	6.65	12.39	0	66.67
Gender of main income earner	Male: 372 (56.7%) Female 284 (43.29%)
Education of main income earner	Elementary school or lower: 99 (15.09%)
	Secondary school: 163 (24.85%)
	Highschool: 189 (28.81%)
	College: 71 (10.82%)
	University or higher: 134 (20.43%)
Occupation of main income earner	Unskilled labor: 152 (23.17%)
	Office workers: 98 (14.94%)
	Workers in transportation and tourism: 73 (11.13%)
	Skilled labor: 167 (25.46%)
	Retired or unemployed: 38 (5.79%)
	Self-employed: 74 (11.28%)
	Others: 54 (8.23%)
Main income earner plans to change job	Yes: 64 (9.65%)
	No: 599 (90.35%)
Marital status	Married: 514 (78.35%)
	Single: 142 (21.65%)
Housing tenure	Owned: 375 (56.73%)
	Owned by relatives: 152 (23%)
	Rent: 134 (20.27%)

Table 2. Measures of housing affordability and their components (US$/month).

Expenditure items	Obs	Mean	SD	Min	Max
Measures of housing affordability
Housing expenditure (USD/month)	656	95.03	258.51	0	3,132
Per capita housing expenditure (USD/person)	656	25.98	73.94	0	783
Percentage of housing expenditure in income (%)	656	12.78	39.62	0	600
Housing consumption (USD/month)	656	389.61	425.70	6.52	4,707
Per capita housing consumption (USD/person)	656	94.51	109.02	3.26	1,176
Percentage of housing consumption in income (%)	656	50.03	57.13	0.67	800
Components of housing consumption/expenditure
Imputed rent	522	385.09	348.02	43.45	2,607
Rent	134	208.16	226.51	6.52	1,303
Mortgage payment	522	14.9	101.72	0	1,521
Maintenance	656	29.22	162.66	0	2,534
Decoration	656	11.43	87.80	0	1,801

Figure 1. Housing tenure by income quintiles.

Table 3. Housing consumption and expenditure by income quintiles.

Income quintile	Household income (USD/month)	Total household expenditure (USD/month)	Household size (persons)	Housing consumption (USD/month)	Housing expenditure (USD/month)	Housing floor area (m^2)
1	322.61	255.07	3.55	241.13	64.14	76.30
2	542.95	346.62	4.20	260.79	93.56	85.76
3	740.58	458.15	4.69	320.66	55.35	99.28
4	1,052.98	573.24	4.67	405.25	90.63	101.35
5	2,252.45	915.54	5.79	755.23	185.50	161.36

Figure 2. Lorenz curve for housing expenditure (panel a and b) and consumption (panel c and d).

Table 4. Regression results for housing consumption and expenditure.

	OLS Regression coefficients			Unconditional marginal effects from tobit regressions
	Model 1	Model 2	Model 3	Model 4	Model 5	Model 6
	Log(Housing consumption)	Per capita housing consumption	Percentage of housing consumption in income	Log(Housing expenditure)	Per capita housing expenditure	Percentage of housing expenditure in income
Log(Household permanent income)	0.536***	64.95***	−43.59***	0.935***	24.646***	0.574
	(0.0795)	(17.97)	(6.739)	(0.176)	(4.384)	(2.355)
Household characteristics
Household size (persons)	0.057***	−12.43***	2.173	−0.011	−2.903***	0.369
	(0.018)	(2.276)	(1.322)	(0.036)	(0.944)	(0.475)
Percentage of children (%)	−0.001	−0.611***	−0.163	0.007	−0.023	0.041
	(0.002)	(0.214)	(0.113)	(0.006)	(0.158)	(0.085)
Percentage of elders (%)	0.002	0.354	0.296*	−0.002	0.052	−0.034
	(0.0016)	(0.333)	(0.152)	(0.005)	(0.13)	(0.071)
Home business at residence (1 = Yes)	0.295***	21.64*	5.718	0.471***	12.254***	4.682*
	(0.0617)	(11.3)	(5.042)	(0.18)	(4.422)	(2.411)
Region (1 = Suburban)	−0.269***	−16.82**	−16.57***	0.207	2.086	0.772
	(0.0633)	(8.309)	(4.338)	(0.199)	(4.928)	(2.661)
Housing tenure (reference = Rent)
Owned	0.544***	29.10***	19.59***	−3.294***	−53.055***	−26.891***
	(0.073)	(10.88)	(6.178)	(0.193)	(5.089)	(2.788)
Owned by relatives	0.643***	37.26***	28.52***	−2.984***	−46.439***	−24.525***
	(0.090)	(12.99)	(7.704)	(0.233)	(5.958)	(3.26)
Characteristics of the main income earner
Occupation (reference = Unskilled labor)
Office worker	0.161	−1.883	12.57**	−0.204	−11.16	−2.361
	(0.105)	(13.82)	(5.796)	(0.287)	(7.133)	(3.861)
Workers in transportation/tourism	0.122	−2.8	5.875	0.387	1.499	2.383
	(0.089)	(10.06)	(4.375)	(0.277)	(6.81)	(3.7)
Skilled labor	0.385***	42.96***	24.53***	−0.029	3.423	−0.464
	(0.099)	(13.08)	(8.413)	(0.245)	(5.997)	(3.27)
Retired and unemployed	0.0773	−0.156	11.71	0.215	−2.144	0.364
	(0.121)	(13.65)	(7.352)	(0.366)	(9.127)	(4.937)
Self-employed	0.336***	13.62	25.89***	0.229	−5.192	0.688
	(0.104)	(14.59)	(7.246)	(0.287)	(7.078)	(3.855)
Others	0.199**	−5.025	18.83**	0.316	−1.275	6.119
	(0.092)	(11.48)	(7.292)	(0.31)	(7.642)	(4.111)
Working experience with current employer (year)	−0.0002	0.294	0.094	0.0002	−0.02	−0.088
	(0.003)	(0.551)	(0.28)	(0.01)	(0.236)	(0.128)
Intention to change job (1= Yes)	−0.0971	5.594	2.744	0.187	4.041	0.856
	(0.104)	(15.48)	(13.2)	(0.256)	(6.24)	(3.399)
Age (year)	0.0117***	1.063***	0.420**	0.025***	0.583***	0.397***
	(0.003)	(0.309)	(0.204)	(0.009)	(0.213)	(0.116)
Educational attainment of the main earner (Reference = Primary school or lower)
Secondary school	0.155*	6.584	10.32*	0.306	−0.269	1.472
	(0.08)	(10.4)	(5.437)	(0.25)	(6.142)	(3.315)
Highschool	0.292***	22.06*	21.08***	0.261	−1.287	2.611
	(0.08)	(12.29)	(7.088)	(0.248)	(6.098)	(3.288)
College	0.307***	11.27	11.10**	0.211	−2.403	0.947
	(0.094)	(13.38)	(5.603)	(0.314)	(7.733)	(4.189)
University or higher	0.545***	56.17***	6.223	0.856***	16.728**	5.139
	(0.096)	(15.65)	(5.093)	(0.284)	(6.968)	(3.787)
Marital status (1 = Married)	−0.171**	−40.40***	−6.309	−0.327	−14.239***	−8.651***
	(0.0806)	(13.74)	(7.289)	(0.217)	(5.308)	(2.899)
Gender (1 =Male)	−0.006	5.891	−8.799*	−0.131	0.776	−1.691
	(0.0698)	(10.67)	(4.738)	(0.185)	(4.522)	(2.47)
Constant	0.742*	−325.3***	252.9***	NA	NA	NA
	(0.435)	(100.2)	(37.04)
R-square/Log-likelihood	0.49	0.25	0.22	−1204.34	−2107.34	−1921.87
N	656	656	656	656	656	656

Note: The number in brackets is standard error; ***, **, *, statistically significant at the 1%, 5%, and 10% levels.

Data availability statement

The dataset is owned by the funder, and its availability is subject to the funder’s discretion.