Capacity, policy and governance weaknesses coupled with a lack of interorganizational collaboration for development solutions are halting progress in urban settings. A majority of housing stock in developing countries are self-built which are often done incrementally.^[1] The disjointed and overlapping nature of development processes from organizations and policy inaction are increasing vulnerabilities for informal settlements and low-income, marginalized groups.

Development processes remain uncollaborative and facilitated by top-down and non-participatory processes. Many microfinance institutions lack the information to determine the best approach in supporting the low-income housing effort. It is imperative that urban areas utilize participatory and collaborative processes when building development and policy solutions, and this capacity-building is far more necessary and pertinent. There is a need to re-examine current processes and policies to enable short-term and long-term solutions to informal urban housing.