The benefits of living in a social housing dwelling: effects on living standard and accommodation conditions

C. Trevien
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C. Trevien: Insee

Documents de Travail de l'Insee - INSEE Working Papers from Institut National de la Statistique et des Etudes Economiques

Abstract: This article provides evidence about how access to social housing affects living and accommodation conditions of households, using hedonic prices and stratified regression methods. First, I estimate the monthly monetary benefit of social housing tenants, which is the difference between the actual rent of a social housing dwelling and the potential value of a similar dwelling on the private rental market. This monthly implicit benefit amounts in 2006 to 261 euro each month and can be broken down into two parts: a living standard effect of 227 euro, e.g. an increase in household consumption of other goods and savings, and a 34 euro rise in the value of the home. More precisely, I compare the accommodation conditions of social housing tenants to the counterfactual accommodation conditions of the same households in a privately rented home without access to social housing. I obtain that when a household move to a social housing home, it lives in a larger dwelling, but in a poorer neighbourhood. Finally, access to social housing does not generate housing over-consumption.

Keywords: social housing; hedonic prices; evaluation of public policies; stratified regressions (search for similar items in EconPapers)
JEL-codes: C31 H42 R21 (search for similar items in EconPapers)
Date: 2013
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