Housing in Post-Soviet Russia: Inequality and the Problem of Generations

Abstract

This article offers an examination of housing inequality, especially in relationto the problem of intergenerational transfers. The relevance of this topic is dueto the housing problem faced by young people who, unlike their parents, werenot able participate in the housing privatization processes of in the 1990s. At theheart of this housing problem is a lack of functioning mechanisms to provideaffordable housing to young people today. This study approaches the questionwith reference to the family life cycle approach, which allows us to focus ondemographic aspects. The analysis is based on housing market and householdincome statistics, Rosstat population surveys data, and a representative survey"Person, Family, Society" (2013), which sampled 9500 households. What isrevealed is that during the post-Soviet years the growth of housing was accompaniedby an increase in the differentiation of housing, measured in squaremeters. Inequality and differentiation in the housing property is also very significantin terms of value. Many families with dependent children face theproblem of a housing deficit; as such, intergenerational transfers within theextended household are difficult due to high price differentiation across regionsand localities. For the same reason positive effects of the Maternal capital programis offset in regional centers, and is, to a large extent, more effective atsupporting families with children living in smaller towns.