Determinants of Home Ownership Among the Urbanites in Melaka

Abstract

Over the past few years, the real estate market has been unbalanced in terms of supply and demand when supply exceeds demand, especially in urban areas. Although there is a high demand for affordable housing, the issue of house dumping is still a public debate. The difficulty of owning a house has always been a public issue debated by the government and the private sector in finding a solution for all stakeholders. With the current economic situation, buying a house is almost impossible due to the drastic increase in house prices in urban areas. In reality, urban communities need affordable housing to overcome the problem of renting a house, where the cost of renting is increasing. This study aims to identify whether factors such as market price, socio-economics, and community well-being affect home ownership, especially in Melaka urban areas. Data and information were obtained from house renters in some selected housing estates. The data collected from questionnaires was analysed using Statistical Package for Social Science (SPSS) 23 and Microsoft Excel software. The regression analysis method was employed for this study. The study results found that the increase in house prices affects the residents' ownership in the city, even though the demand for houses is always there. Design factors, types, and comfortable spaces are still the choices of today's home buyers. Socio-economic development factors also affect the demand of urban communities that choose housing estates near the city because of easy access, available infrastructure, and stunning green surroundings. The community well-being factor is a determining factor in the urban community's choice of a community-friendly environment and guaranteed security as one of the factors of home ownership in the future. In general, this study also helps housing developers study marketing strategies by considering the current needs of urban communities, such as market prices, socio-economic development, and a community-friendly housing environment. This study suggests that the government should make more efforts to increase homeownership in the urban community by providing quality housing and creating a united society along with development.