CHAPTER 2 REVIEW OF RELATED LITERATURE

I. Affordable Housing and Sustainable Architecture

Sharifzai M.S, et al. (2016) stated that the concept of affordable housing is diverse and
complex but can be generally described in economic terms. There are numerous discussions on
definitions related to affordable housing. According to Sivam A. and Karuppannan S. (2008)
defined affordable housing as small housing units that use low-cost materials and built on cheap
land at the edge of the city. Housing affordability has been referred to by a number of researchers
in many different ways. According to Milligan, et al (2004), affordable housing recognizes the
needs of households whose incomes are not sufficient to allow them to access appropriate
housing in the market without assistance. Thus, the term affordable housing describes housing
that assists lower income households in obtaining and paying for appropriate housing without
experiencing undue financial hardship. In recent years, the term affordable housing has been
used as an alternative to terms such as public, social or low-cost housing stated by Gabriel et al
(2005).

Another aspect of affordability is the ability of a person in providing something, which is usually
referred to as his ability in financial terms. To Anirban et.al, (2006) house affordability is a
condition when people have the potential to save certain portion of their income to buy a house,
as well as to pay other expenditures in their working period.

In most studies, housing affordability is measured relative to household income and

expenditures. Bujang, 2006 and United States Department of Housing and Urban Development
(HUD, 2002) noted that, families who pay more than 30 percent of their income for housing are
considered cost-burdened and may have difficulty to meet basic necessities such as food,
clothing, transportation, and medical care. Globally, financial institutions have applied the rule of
not allowing households to take out home loans requiring more than 30 per cent of gross income
for their servicing.

Gabriel, et. al. (2005) provides a rationale for the use of the 30/40 affordability rule
because it provides continuity with traditionally used measures and because it is simple to apply
and easy to understand. A case is also made for providing additional complementary indicators
that are more responsive to household needs and capacity to pay. Housing affordability can also
be viewed in three different ways: purchase affordability, repayment affordability, and income
affordability stated by Quan and Hill (2008). Purchase affordability is relevant in considering
whether a household is able to borrow enough funds to purchase a house. Repayment
affordability is concerned with the burden on the household to pay the mortgage, and income
affordability is referred to the measurement of the ratio of house prices to the income of the
purchaser

Ballesteros, Ramos, and Ancheta (2022, p. 2) studied housing affordability in the Philippines
and traced the widely accepted 30% income standard to Batas Pambansa (BP) 220 (1982).

According to Hwang, B.G., Zhu, L. and Ming, J.T.T. (2017) green building has gradually
been publicized and implemented in numerous countries, and has become the main focus of
development in the building industry. Over the last decade, Darko, A. and Chan, A.P.C. (2016)
stated that scholars have progressively researched on the design of green building, with focus on
the transformation of traditional buildings into green buildings. However, in most developing
countries with the most extensive and fastest-growing building markets coupled with economic
crisis, transformational objectives of traditional buildings into affordable green buildings, are
primarily neglected.

Jani, D.B. (2019) stated that a crucial condition for the construction of green buildings is
the integration and innovation of passive cooling systems. Passive cooling refers to any
technology or design features adopted to reduce buildings' temperature without the need for
power consumption. The passive architecture responds to the local environment and site
conditions to optimize the comfort and health of building users while minimizing the use of
energy. The basics to designing a passive building are to take the local climate's best advantage.
An effective passive cooling system uses free sources of renewable energy, such as the sun,
wind, and natural vegetation to provide ventilation, and lighting needs for a home. This further
reduces the need for mechanical cooling such as air conditioning systems. Applying passive
cooling means reducing differences between outdoor and indoor temperatures, improving indoor
air quality, and building a better and more comfortable environment to live or work in.
Gioregetti, L. (2010) proved that buildings account for about 70% of the electricity load, 40% of
all energy consumption, and 40% of CO2 emissions. Hence, making buildings more energy-
efficient can be one of the fastest and the most cost-effective method of lowering emissions of
greenhouse gases.

Sharifzai M.S., et. al (2016) cited that sustainable housing is also part of sustainable
development. Sharifzai M.S., et. al (2016) and Brundtland G.H. (1987) added that sustainable
development means “meeting the needs of the present without compromising with the ability of
future generations to meet their own need”. Furthermore, Muhammad Z., Johar, F. and Sabri, S.
(2015) stated that applying the concept of sustainable development is vital to achieve a balance
between human activities and nature without jeopardizing social and economic systems for
future generations. Sustainability should be the main principle in designing house in which one
of the important dimensions to be considered is housing quality. Therefore, sustainable housing
should be socially acceptable, economically viable, environmentally friendly and technically
feasible added by Choguill, C.L. (2007).
REFERENCES:

 Anirban M, Francis, K.W. Wong. and Eddie, C. M. Hui. (2004). Relationship between
Housing Affordability and Economic Development in Main China: Case of Shanghai.
Journal of Urban Planning and Development. 132(1), 62-70.
http://www.ipedr.com/vol39/001-ICITE2012-B00001.pdf
 Ballesteros, M., Ramos, T., and Ancheta, J. (2022). Measuring Housing Affordability.
Philippine Institute of Development Studies
 Brundtland, G.H. 1987. Our common future—Call for action. Env Conservation, 14(4),
291- 294.
 Choguill C L 2007. The search for policies to support sustainable housing. Hab Int, 31(1),
143-149.
 The Batas Pambansa (BP) 220 or the Economic and Socialized Housing (1982)
 Gioregetti, L. (2010) Sustainable Building Practices for Low-Cost Housing. Implication
for Climate Change Mitigation and Adaptation in Developing Countries, Draft, 4, 3043-
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 Darko, A. and Chan, A.P.C. (2016) Critical Analysis of Green Building Research Trend in
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https://doi.org/10.1016/j.habitatint.2016.07.001
 Gabriel, M., Jacobs, K., Arthurson K., Burke, .T and Yates, J. (2005). Conceptualising
and Measuring the Housing Affordability Problem, National Research Venture 3:
Housing Affordability for Lower Income Australians Research Paper No. 1, Australian
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 Hwang, B.G., Zhu, L. and Ming, J.T.T. (2017) Factors Affecting Productivity in Green
Building Construction Projects: The Case of Singapore. Journal of Management in
Engineering, 33, 04016052. https://doi.org/10.1061/(ASCE)ME.1943-5479.0000499
 Milligan, V., Phibbs, P., Fagan, K. and Gurran, N. (2004). A Practical Framework for
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Report No. 65, Australian Housing and Urban Research Institute.
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