Abstract:
Informal settlements in developing countries constitute one of the most intriguing forms of urbanization. However, factors and theories underpinning this rapid and prevalent dynamic of informal settlements are often restricted to the descriptive phase. The purpose of this study is to assess informal settlements and its Socio-economic factors in Hossana town. In order to achieve the study’s objective, this study has employed descriptive survey research design.HHs heads were carried out 319 samples through both simple random sampling and purposive sampling technique has been employed in three Kebeles: Areda, Bethel and Sech duna Kebeles. This study was designed to carefully and adequately gather primary data source making use of questionnaire, key informant interview, and field observation. While the secondary data source was collected through content or document analysis. Major findings of the study indicate that emergence of Informal settlements in the study area is a recent phenomenon that has occurred. In addition, the trends of informal settlements were very fast at Sech-duna by the trend value 0.07 per year than the remaining two Kebeles. Lack of participative performance on national urban land lease policy; insecurity of land tenure to owners; and the gap between demand and supply of land seek as the factors for the expansion of informal settlements in Hossana town. And illegal actors behind informal settlement were networked government bureaucrats and brokers, means of making profit are other factors that have contributed to the emergence and proliferation of informal settlements. Out of 319 the sample respondents of household heads, 77% obtained by fools gift or without legal certification. The problem of informal settlements in Hossana town has been attributed to deficits in housingsupply, high home rent and expensive land tender price.The implementation of good land administration model is appropriate to reduce the major constraints