A study by the Inter American Development Bank (IDB) has found that home ownership is unaffordable for many people in Latin American and the Caribbean.
The IDB study, titled 'Room for Development: Housing Markets in Latin America and the Caribbean', found that many people cannot afford to buy a proper formal dwelling using their own means.
The study offers an in-depth look into urban housing markets in 18 countries in Latin America and the Caribbean, looking at the role that regulations and housing policies play in aggravating or easing the housing gaps that the region faces.
It looks at the ability of urban households to pay for their homes and found that the dream of owning a house is unaffordable for the vast majorities of people.
The study noted that the problem is critical in cities such as Caracas, Santa Cruz, La Paz, Lima, Santo Domingo, Buenos Aires, San Pedro Sula, and Managua, where two-thirds of households cannot afford to buy decent housing.
In most cases, insufficient income is the biggest obstacle to homeownership; in others it is the inability to document income or the scarcity of adequate low-cost housing.