Free Report Example on Improving Living Standards Through Adequate Housing

Introduction

At the United Nations Human Rights Council, the special Rapporteur on the right to adequate housing Leilani Farha presented the statement on the housing issue. Housing is a component of the right to excellent living standards and, thus, of necessity to the United Nations. Poor living standards expose the residents to other social ills that affect their quality of ling and access to rights. Suitable housing is directly related to improved living stand ad and access to different social needs. Lack of proper housing for the poor is an indication of discrimination for the poor, which the United Nations works hard to solve and overcome the problem. Everyone should be guaranteed proper living standards. The Special Rapporteur presented the report on the financialization of the housing issue at the United Nations offices and how it will affect the right to adequate housing. It is critical to note that global financial actors have transformed the housing sector hence the report by the Special Rapporteur Leilani Farha. House and its perception have changed over time (Farha, 2017). In contemporary society, the house is viewed as a sign of wealth and not a place of dwelling as a basic need. They wealthy through the financial markets, have transformed the housing sector with excess capital according to the housing report by the United Nations Rapporteur Leilani Farha (Farha, 2017). I agree with the statement entirely

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High Rate of Homelessness

The increased cost of housing due to the influx of excess capital through the financial market causes homelessness. Governments tend to lose control of the housing sector to the capitalistic investor through the financial market hence making it challenging to regulate the housing sector (Farha, 2017). It also becomes difficult for the governments to control those who own the houses, thus increasing the chances of homelessness for the local people. Investors through the financial markets come from different regions and with resources. They spend most of the funds in the housing sector, making the prices rise, becoming unaffordable for the ordinary natives. Thus it increases the likelihood of homelessness as the residences cannot purchase or put up a place of residence to high cost in their dwelling place. The united nations Rapporteur in the report gave the example of Portugal, where despite the existing laws protecting the right to proper housing for all, the current financial activities make it difficult for the housing sector. It is clear that even with existing laws that protect the right to proper housing, the financial markets can negate the constitution and make it difficult to access quality housing. The influence of rich financial players has increased the Rate of homelessness.

Preference for Hedge Cities

According to the Special Rapporteur report, there is increased attraction to the homeownership through the hedge fund plans. The hedge fund housing plan is a direct product of the financial markets. Through the hedge fund that homeownership plans in the housing sector face financialization, which is not favorable to the poor in the society (Farha, 2017). Banks find it easy and secure to use their resources in funding the housing sector through the hedge fund, thus creating access capital for few people only. The provision of money by the bank is not accessible to all. It is only available to the dominant financial market players. It leads to the commercialization of the housing sector, making it only accessible by the rich. The poor can get bank financing to be able to own such homes, thus rendering them homeless. The poor have to contend living in slums with no basic amenities, thus lowering the living standards. The houses sold through the hedge fund are usually overrated, and only the rich can afford it. If the government takes control of the housing sector and curtail the influence of the financial markets, affordable housing can help the poor have homes. Banks can be compelled to pride resources for affordable housing projects instead of allowing them to determine the cost of housing.

High Capital Influx

The financialization of the housing sector has led to a high capital influx. It disadvantages the poor who cannot raise the required amount of money to purchase the houses. They are only accessible to the rich who benefit from the high influx of capital by the banks (Farha, 2017). The high flow of money makes the housing prices go up, making it entirely impossible for the poor. Only the rich who can access the capital can purchase houses as a sign of wealth. It creates more wealth for the wealthy in society, and then the poor become poorer and lose their communities, which are taken over by the housing developers. The high influx of capital only benefits the rich in society.

Financial Markets Regulation

The functioning of financial markets is such that even foreign investors are allowed after meeting specific standards. Through the financial markets that foreign investors invest in external housing sectors raising the housing demand (Farha, 2017). The need for housing increases the cost of housing and commercialization of the housing sector. The governments are unable to regulate the housing sector from invasion by foreign investors who use companies and the financial markets. There are no international laws that protect local communities from foreigners who invest in the housing sector. It is possible to find foreigners owning beautiful homes where natives have been displaced to live in slums. The local communities cannot afford the houses built on their community lands. The unregulated financialization of the housing sector through the financial markets promotes homelessness through a lack of affordable housing.

Conclusion

The report is extensive in analyzing how the financialization of the housing sector has affected the poor. It has led to unaffordable housing and low living standards. Allowing the financial markets to control the housing sector promotes homelessness. The financial markets are controlled by wealthy local and foreign investors who only see housing as an indication of wealth but not as a basic need. The report by the Special Rapporteur states that the financial markets and, by extension, the housing sector is not under self-regulation. Governments have some level of control that should be implemented to protect the poor in the community. They also deserve better housing and improved living standards. The capitalistic forces through the financial markets make it impossible for the poor to own homes, and only the government can take control and promote affordable housing; hence I support the report by special rapporteur Leilani Farha.

Reference

Farha L. (2017, March 1): The United Nations Special report on the financialization of housing. Retrieved from https://www.ohchr.org/en/NewsEvents/Pages/DisplayNews.aspx?NewsID=21264&LangID=E