In my region, you can buy a decent house for 100K.
You couldn't buy it with a 10k deposit, or on the average wage in my city, though.
It is much better to have stable housing and have the ability to save, than be stretched to the limit and become homeless, if you are working.
Had a crisis happened to the family in the OP, whilst they had the savings, they could have dealt with it, rather than needing the full imput of services.
I live in a HA house, i got this after my DH became terminaly ill. I studied and i am now on a good wage. I have savings, but not enough to buy a house.
My circumstances have just changed and i have had to start working part time, to care for my mother (and other reasons). I can still afford my rent on a part time wage.
Had i of been in a private rent, or have a mortgage, my mother would need carers, or i would need to be on benefits.
Either way the country would have to pick up the cost.
Unless we can drastically raise the wage level of most working class people, then having affordable housing, saves the country money in the long term.
We have needed a decent strategy on housing since it was made a mess of in the 80's, during Thatcher's government.
Our housing system should be open to criticism, but not the people who just want stable homes.