Resale has real market value. Of course, one needs a place to live so the value is not liquid but it is collateral for business and not having a mortgage payment is interesting. On the other hand, since most of the buildings are multiunit buildings and there are few cooperative arrangements, when the roof leaks there is no association to repair it. When the elevator breaks down, repair happens only when someone takes the initiative to collect from their neighbors and get it fixed. In discussing the various lending programs I have found repeated illustrations of something which is called the tax police.
Few folks pay taxes unless they get involved in the organized system.
Tax collection is irregular and often corrupt. When someone uses a bank or other organized lending program they find themselves in the system and subject to taxation. This does not necessarily mean that they just pay their taxes however. Since the system could well not be consistent some end up paying more than they owe with the consequence that the business they just started or tried to build goes bankrupt because of taxation. I leave it to you to think about the similarities between this situation and the growing second economy in the United States, one which if folks had to pay taxes would result in them being unable to support their family, thus increasing the government's welfare burden.