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Oh, it affects health in a lot of ways.
If there is mold or mildew in the walls it can make the people living there very ill - that is an obvious one.
But there are subtler things. If the house is hard to heat or cool it can stress the systems of the people that live there allowing them to get sick more easily. It can also raise heating or cooling bills - which can mean cheaper food is purchased or fewer doctor visits can be afforded.
If it is very noisy then sleep is affected which in turn affects health.
Basically you want housing to be quiet, insulated, have some natural light, have clean running water and electricity. It needs to be in good repair with no leaks or excess moisture and be fairly clean so that food can be safely prepared. There needs to be enough room for everyone there to be comfortable. Anything less can be detrimental to health.
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