ABSTRACT
Consider this puzzle: Greek households have an income level that is much lower than the average of the European Community and at the same time enjoy better than average housing conditions as well as one of the highest rates of owner-occupation. Moreover, this tenure structure is mainly based on outright ownership-very few people live in mortgaged properties and even in these cases debt represents but a small share of their dwelling’s value. In fact, mortgage credit, the main avenue to owner-occupation in developed economies, has a limited role in housing finance and is very costly. Thus, in terms of simple economics it appears nearly impossible to achieve respectable owner-occupation by means of saving and borrowing. Nevertheless, most people do manage and, to add to the puzzle, this wide access to home ownership is not differentiated along class lines: the percentage of owner-occupation is essentially similar in the different occupational and income groups.
