Is the Provision of Water, Sanitation and Hygiene as Part of Adequate Housing Affordable? An Analysis of Indian Housing Markets

Purpose: The Housing for All 2022 initiative by the Indian Government aims to provide every household with a pucca house and access to essential services. Utilizing data from the 76th round of the NSSO, this study calculates the implicit rent for housing attributes needed for a decent standard of living, using two-stage hedonic analysis. It also estimates rent differentials for improvements in housing quality and the minimum budget required to rent a house that meets the standards for adequate living. Findings: The existing definitions of affordability address the financial aspects of housing but do not focus on critical qualitative aspects. This study explores the dynamics of rental housing and affordability, indicating the influence of housing amenities on rental values. Conclusion: The study recommends that while addressing sustainable and affordable housing ownership, it is crucial to address rental housing affordability. Policies should incorporate the quality of housing amenities in their guidelines.