THE DETERMINANTS OF HOUSE BUYERS’ PURCHASE DECISIONS IN KOTA BHARU, KELANTAN

Abstract

The issue of unsold homes in Malaysia has recently caused the housing developers great anxiety. The nationwide issue of unsold homes was caused by the fact that more homes were built than were purchased by customers. As a result, it is important to figure out what factors can influence potential homebuyers to make a purchase. In order to better understand this issue, the study's objective was to determine the factors that influence homebuyers' decisions in Kota Bharu, Kelantan. The study specifically sought to ascertain whether variables including quality, price, location, promotion, and corporate image had an effect on consumers' decisions to purchase homes. Since the nation was dealing with the Covid-19 outbreak, which made face-to-face questionnaire distribution on the ground nearly impossible to carry out, 382 respondents from Kota Bharu, Kelantan, participated in this study through questionnaires disseminated using the Google Form technique. This study used the Principal Axis Factor and Promax Rotation to evaluate the instruments. Before doing a bootstrapped regression analysis, all seven multiple regression assumptions were examined and verified. The findings showed that only location and promotion variables were positive and significantly influencing the house buying decision. These findings led to a number of strategy recommendations that helped the industry develop the best plans for boosting upcoming sales. It is hoped that by identifying the variables influencing homebuyers' purchasing decisions, housing developers can get an understanding of this phenomenon and be better able to plan and build homes that will live up to buyers’ expectations.