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Housing market between choice and chance

Housing market between choice and chance. Housing allocation ‘by lottery’ in the rental market of Eindhoven. M.I.K. Leussink J.J.A.M. Smeets. Content Introduction Structure and use of housing stock Eindhoven Allocation of housing The choice based allocation system with lottery

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Housing market between choice and chance

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  1. Housing market between choice and chance Housing allocation ‘by lottery’ in the rental market of Eindhoven M.I.K. Leussink J.J.A.M. Smeets

  2. Content • Introduction • Structure and use of housing stock Eindhoven • Allocation of housing • The choice based allocation system with lottery • Research method • Advertisements, applications, rejections and acceptations • Conclusions • Discussion

  3. Introduction • Mature housing market • Qualitative mismatch • Starters / movers ratio: 20 / 80% • Adequate allocation system

  4. Figure A: Structure and use of the housing stock in Eindhoven (2007)

  5. Allocation

  6. Allocation in Eindhoven • Since 2003 revisited allocation system • Freedom of choice • Counteracting segregation • Quality of live • Advertising of supply • Selection by lottery

  7. Benefits of a lottery (Boyle, 1994) • Hopefulness • You have not to wait many years, you have a chance soon • Fairness • In the long run the tenant mix reflect the make-up of the waiting list • Convenience • The administrators need only keep a list of those applying

  8. Choice (Brown & King, 2005) • Capability to act • Effective choice (Brown & King, 2005) • Connects choice with access to resources • Three principles for housing processes (King, 1996) • Limitation of regulation • Control by users • Access to resources

  9. Figure B: the choice based allocation system with lottery

  10. Research method • Data-mining process • Existing database: 13,264 active dwelling seekers • Internet survey: 3,780 participants

  11. Active house-hunters • At least one application in the last year = 63,6% ≠ 20% starter = 36,4% ≠ 80% mover

  12. Rent-alerts

  13. Advertisements and applications (1a) • Types of dwelling

  14. Advertisements and applications (1b) • Rental price

  15. Advertisements and applications (1c) • Target groups

  16. Advertisements and rejections (2a) • Types of dwelling

  17. Advertisements and rejections (2b) • Rental price

  18. Advertisements and rejections (2c) • Target groups

  19. Acceptation applicants (3)

  20. Conclusions • Access to scarce resources • Choices are competitive • System more ‘chance-based’ then choice-based • System more effectively for supplier

  21. Discussion • Access to resources is not opened up by choice-based systems • Information between applicants unequal

  22. The full paper will be put into the ERES digital library: http://eres.scix.net/cgi-bin/works/Search?search=year:2011+series:conference Thanks for your attention

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