This contrasts with mortgage to GDP ratio of over 51 per cent in USA. However, even if one were to benchmark with more comparable counterparts, the ratio ranges between 15 and 20 per cent for South East Asian countries. The penetration level of mortgages is miniscule when compared with the shortage of housing units.
This problem is more acute for low income families seeking affordable houses. Need for long-term debt market Housing constitutes a long term asset for a large segment of population in rural and urban areas. As debt markets are not very deep, access to long-term funding for housing finance institutions is difficult.