1. Ira G. Peppercorn Financial and Private Sector Development/Non Bank Financial Institutions World Bank January 31, 2012

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9. For those that do not have enough income or whose income is informal For those now living in poor conditions Mortgages dangerous if outside prudent underwriting standards Vibrant rental markets are necessary for workers mobility Temporary lodging with dream of returning home Non Bank Financial Institutions World Bank I Peppercorn31 January 20129

10. Cultural biases in favor of home-ownership Negative perceptions of rental housing Legal framework, especially in relation to tenants rights and evictions Low rate of risk adjusted return Lack of incentive for investors Lack of adequate finance Lack of formal property management Non Bank Financial Institutions World Bank I Peppercorn31 January 201210

11. Workers in urban areas Young professionals Students who live in dormitories; Those experiencing transitional events in their life Families who cannot afford or qualify for a mortgage, some of whom might be living in poor housing conditions; People who simply do not want to own People sharing space with relatives Non Bank Financial Institutions World Bank I Peppercorn31 January 201211

12. Individuals who own a single or a small number of rental units House or apartment owners that rent a room in their homes Providers of social housing including governments and NGOs Companies that provide housing for their workers Medium scale owners that own from 10 to 100 units Institutional owners and investors, for whom the ownership of rental housing is a significant line of business Property management companies Builders, contractors, materials suppliers, utility companies, security firms and others who provide services to the owners of rental housing. Non Bank Financial Institutions World Bank I Peppercorn31 January 201212

13. Is there a shortage of housing? Is this in the overall number of units, in the quality of the existing units or both? If there is a shortage, is it primarily in certain urban areas? What is the relationship between rental housing prices and the wages at particular income levels? Is the housing affordable? Who are the potential investors and what incentives do they need? Is the legal framework fair enough? Are there major imbalances in the fiscal system that discourages investors? Is there financing available to develop and/or improve the housing? Are governmental subsidies available and, if so, how and for what income levels? Non Bank Financial Institutions World Bank I Peppercorn31 January 201213

14. Countries Cities AfricaOwnersRentersOthers OwnersRentersOthers Egypt 6931-Cairo3763- South-Africa 77222Johannesburg55423 Asia China 8416-Beijing59401 India 87113Bangalore43552 Thailand 8218-Bangkok56404 Latin-America Bolivia 601822Santa Cruz482725 Brazil 731710Sao Paolo702010 Uruguay 621523Montevideo Developed Countries France 57403Paris48493 Germany 4357-Berlin1288- The Netherlands 5743-Rotterdam264925 Switzerland 3763 Geneva1486 United Kingdom 6931-London5841- U.S.A. 6733-New York3466- Non Bank Financial Institutions World Bank I Peppercorn31 January 201214

15. Eviction process uncertain, cumbersome or tenant biased Return/risk ratio favors other investments Rent control Taxation Lack of cost-effective professional property management Non Bank Financial Institutions World Bank I Peppercorn31 January 201215

16. Tenure insecurity Unfair or no dispute resolution Poor conditions Lack of formal contracts Affordability constraints Non Bank Financial Institutions World Bank I Peppercorn31 January 201216

17. Demand: Targeted but expensive Housing assistance payments Vouchers Housing itself Supply: Not ongoing; not deep enough Construction or up-front subsidies Direct payments to landlords Tax incentives Land and infrastructure Non Bank Financial Institutions World Bank I Peppercorn31 January 201217

18. Illegal rental units Poor and unsafe conditions Lack of registration Property tax avoidance Pressure on public sector for subsidies and units Poor property management systems Non Bank Financial Institutions World Bank I Peppercorn31 January 201218

19. Policies recognize rental is an important sector Fair dispute resolution Tax system favors registration and investment Small owner incentives, such as capital for expansion Medium to long term capital availability, both debt and equity Targeted, effective subsidies Non Bank Financial Institutions World Bank I Peppercorn31 January 201219

20. To establish the building blocks for sustainable, efficient, secure and market based housing finance systems. To create conditions where housing finance can be a driver of economic growth and job creation through investment in housing To expand access to housing finance to moderate and lower income households.

21. Comprehensive housing finance projects Market analyses Legal and regulatory framework Individual building blocks Including registration, underwriting, credit, training Real estate data and information systems Capital markets design and development Rental housing finance Savings and subsidy programs Housing micro-finance Affordable housing development Non Bank Financial Institutions World Bank I Peppercorn31 January 201221

22. Capital markets development Insurance Post-disaster finance Pension funds Investment funds Non Bank Financial Institutions World Bank I Peppercorn31 January 201222

23. Michel Noel (Manager) MNoel@WorldBank.Org Olivier Hassler Ohassler@WorldBank.org Ira Peppercorn Ipeppercorn@WorldBank.org Simon Walley Swalley@WorldBank.Org Andrey Milyutin Amilutin@WorldBank.Org Ashna Mathema Amathema@WorldBank.Org Or find Olivier or Ira at the conference for a discussion on your countrys needs Non Bank Financial Institutions World Bank I Peppercorn31 January 201223

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25. From the Housing Finance Team at the World Bank