The 2015-16 State of Housing Microfinance: A Review of the Housing Microfinance Practice Around the Globe

Housing microfinance is a small but growing sector. As such, there is a dearth of research and information on how microfinance-based housing loan products are administered and performing. To build a greater understanding of this practice, Habitat for Humanity International, through its Terwilliger Center for Innovation in Shelter, surveyed 83 financial institutions practicing housing microfinance. This is the second year the survey has been conducted, and the report assesses the current state and challenges of the global housing microfinance sector based on survey results supported by external research.

One of the main findings of the survey was that housing microfinance could be a good business opportunity for microfinance lenders. Institutions overwhelmingly reported that housing microfinance was added to their portfolios in response to client demand (76%), to diversify their portfolios (71%), to retain loyal clients (65%), and to provide social impact to their local communities (75%).