Impact of policies on communities housing affordability

To estimate the impact of housing and macroprudential policies on different socioeconomic groups, we offer our Housing Affordability Simulation Model (ASIM).

In ASIM, each household has an affordability limit based on their income levels, household size, wealth, mortgage rates, and the deposit ratio. Accordingly, the stock of housing (as determined based on the supply and demand analyses) will be allocated to the households at the highest price that they can afford to pay in an auction.

All households are classified as renters, first homeowners or investors who compete for the existing housing supply. ASIM captures the changes in price of dwellings and home ownership rates for different household demographic groups.

For more information contact Eilya Torshizian.