A settlement is a residential facility which is set up on a site without permission. It may be legal, quasi-legal, or illegal; in any case the occupier does not initially hold title to the site, although he or she may gain title over the course of time.

The defining condition concerns how the home was established on its site. The occupier initially lacks title even if ownership is subsequently granted.

The permanence or quality of the shelter does not alone establish that initial land arrangement. A conventional house can be a settlement when it was established on the stated basis.