Owning a house is a dream for the lower income group (LIG) for whom not only the choices are restricted, but access to resources to buy a house is also restricted. LIG housing is expected to build social cohesion because of the inherent homogeneity of its occupants who are likely to be socially resilient to threats of various kinds. Ability of a house to sustain over a period of time is dependent on its quality. Under such a backdrop, assessing the quality of LIG housing through a set of housing quality indicators having both quantitative and qualitative attributes becomes necessitated. This study on the participatory assessment of LIG housing quality in the city of Pune in India identifies 30 Housing Quality Indicators through a two-stage filtration process considering the house both as a Product as well as a Service. Standard statistical tools are used to assess and compare the housing quality between public and private LIG housing through SERVQUAL model. It is found that the expectations of public-housing residents are more than what has been made available to them compared to the residents in the private housing who appear to enjoy better quality housing than their counterparts in public housing.