Abstract

The main objective of this study is to identify the factors that influence house purchase decision-makings. The respondents are comprised of the civil servants who worked in the area of Johor Baharu, Malaysia. The data are collected through questionnaires set and are analyzed by using descriptive statistical tests. The overall findings showed that the highest mean score is document by the Affordability factor (4.20), followed by the Taste factor (4.18) and finally the Expectation factor (4.07). These findings provide indication that the respondents, in aggregate, tend to relatively Agree that these three factors do have influence in the respondents’ house purchase decision makings. Under normal circumstances, the main issue that is often used as an excuse to postpone the house purchase is the Affordability factor; a factor that associate the buying decision based on income and price of the product. In the case of buying a house, the buyer normally use Income problem which then is closely linked with the increasing house prices (Aidala et al., 2016) as reasons to delay their house purchase. The findings of this study provide indication that, in addition to the Affordability (Economic) factor, other factors( in particular the non-economic factors); such as Tastes and Expectation, are observed to have an equally strong influence on the respondents’ house purchase decisions. Here we may conclude that, the decision in buying a house is not only driven by income and price or economic factor alone but is also driven by other non-economic factors like Taste and Expectations. As the implication of these findings; apart from focusing only on costs and returns (economic factors), housing developers need to also take into account the non-economic type of factors such as buyers’ “ Tastes and Expectations” when developing new housing projects. By doing this, the supply and demand factors are all taken into consideration.

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