Banberz, Banbor, and Sabziabad neighborhoods are three residential districts on the periphery of Ilam city, and are facing a lot of problems namely social, economic, and physical, particularly in housing sector including low quality, poor housing, limited-quantity housing. In order to assess the sustainability of housing, 75 indicators and to rank districts, SPSS software (exploratory factor analysis) is used. On the basis of economic, social, educational, health, and environmental services and culture three districts (Banbarz, Banboor, Sabziabad) were selected as marginal neighborhood. Most houses, have been built away from without permission and building permits and engineering control in small scale measures. According to statistical models; most of household economic statuses are below the poverty line. According to the findings of the questionnaire, fabric and physical feature, type of building, materials applied, quality of building and density of residential units of most units out of any control and without engineering standards in small-scale piece of land, were built without a permit and building permit. Given the statistical models, the economic status of households indicate that more than 70 percent of them live below the poverty line.