ABSTRACT

This article considers how housing location impacts the housing burden of low-income residents. Specifically, it assesses the impact of distance to city centre on: (1) market price of the housing unit, (2) households’ commuting expenses; and (3) households’ access to social networks. It bases its findings on 150 surveys of households living in subsidised housing units in the cities of Goiania, Brazil; Barranquilla, Colombia; and Puebla, Mexico. Distance to centre has a significant impact on all dimensions considered: the average market price for a peripheral housing unit is about 40% less than for a central one. Workers who live in the periphery spend twice the money and three times the time in commuting than those who live in central locations. Three-quarters of centrally located households visit relatives once a month or more, while only a third of peripherally located households do so. In addition, households residing in the periphery expressed their concern about being concentrated in homogeneously low-income areas. These impacts are a concern inasmuch as these housing units are solely built for improving the material conditions of low-income households, who are a captive market with very limited housing options.