Malaysian Housing Research Articles

Uses of the Tawarruq Formula in Islamic Banks

Islamic banks, since their inception, have been working to provide financial services to Muslims in particular, as these services must comply with the provisions of Islamic law, and among the most important institutions that request financial services from banks and are in dire need of that are companies of all kinds and forms, and in most cases, companies rely on Its capital and cash flow to banks to facilitate the management of its various activities, and Islamic companies cannot deal with conventional banks; So, these services are requested from Islamic banks, and the services of Islamic banks are the same as the services of traditional banks, but with a jurisprudential adaptation or by using the exits to get out of the distress of usury, and from the distress of the need for real action for it, and according to the companies’ request and needs, the banks find exits and solutions to meet their request by the principles and rules of Sharia. Islamic and satisfy the desires of companies, and the process of evaluation of these adaptations is one of the necessary things in this era; Accordingly, the researchers tried to evaluate this adaptation in one of the Islamic banks in part of its various services, which is Kuwait finance house in Malaysia.

Affecters on Housing Prices: An Initial Review in Malaysia

This research delves into the intricate dynamics of the Malaysian housing market. Due to the issue of constantly high and expensive house prices, the study aims to integrate the possible macroeconomic causes as well as the integrity issue by focusing on three vital independent variables: Gross Domestic Product (GDP), Foreign Direct Investment (FDI), and Corruption Index (CRP). The research uses quantitative methods, the Ordinary Least Squares (OLS), to reveal nuanced correlations between these economic variables and house prices in Malaysia. The intriguing findings show that both FDI and CRP significantly influence house prices positively, aligning with existing literature. However, the unexpectedly insignificant correlation between GDP and house prices suggests a potential gap in understanding, adding a layer of intrigue to the research. These results and significant findings offer valuable insights for decision-makers and emphasize the importance of ongoing research to better grasp the complex factors shaping housing markets in different economic situations.

EXPLORING ISSUES AND ENHANCING SUSTAINABILITY: AFFORDABLE HOUSING DYNAMICS IN MALAYSIA

This study delves into the issues of affordable housing and elements influencing the sustainability of affordable housing, with a specific focus on the Malaysian context. The primary objective is to identify the issues associated with affordable housing in Malaysia, as well as to determine the elements crucial for enhancing sustainability in the housing sector. A quantitative method using a questionnaire survey was conducted involving three groups of respondents: building designers, facility managers, and GBI facilitators. The research employed the Kruskal Wallis statistical analysis method and Importance Index Calculation as the key methodologies. Two significant findings emerged from the study. Firstly, the issues related to ‘location and accessibility’ and ‘financing challenges’ were identified as critically important, shedding light on the obstacles faced in these domains. Secondly, the elements of ‘adaptability and upgradability’ and ‘location and accessibility’ were highlighted as pivotal contributors to the sustainability of affordable housing in Malaysia. These findings provided valuable insights for policymakers, urban planners, and stakeholders in addressing key issues and promoting sustainable practices in the realm of affordable housing.

ENHANCING SUSTAINABLE HOUSING DEVELOPMENT IN MALAYSIA: THE ROLE OF COOPERATIVE FEDERALISM IN FEDERAL-STATE COLLABORATION

Sustainable housing development in Malaysia relies on collaborative governance and resource sharing. Several proposed sustainable housing initiatives have involved federal-state tensions. Cooperative federalism can bring together diverse stakeholders to address complicated environmental, social, and economic variables affecting housing construction, according to this study. The authors analyze federal and state laws and policies doctrinally. To assess the efficacy of collaborative governance and resource sharing, government officials, housing experts, policymakers, and community leaders were interviewed. Fictional international case studies inform this study. The authors find 1) federal or state government agencies lack coordination. 2) policy alignment for sustainable housing development and 3) state resource constraints. The findings show how collaborative governance and resource sharing may transform. Participants understand the importance of federal-state housing policies, which streamline sustainable housing development and prevent conflicting laws. Effective intergovernmental connections inform housing policy decisions, meeting local demands. International case studies also provide many suggestions for adapting and innovating in Malaysia. This study proposes resilient, inclusive, and sustainable housing in Malaysia. By adopting collaborative governance, harmonizing policies, pooling resources, fostering intergovernmental partnerships, and learning from global experiences, Malaysia's housing sector may inspire future generations with innovation and sustainability.

PROPERTY PURCHASE: ISSUES AND CHALLENGES FACING BY FIRST HOUSE BUYERS IN MALAYSIA DURING COVID-19 PANDEMIC (YEAR 2020-2022)

This article intended to identify issues and challenges facing by first house buyers when they are buying first house in Malaysia. Theresults from this article can provide insights to related stakeholders in helping first house buyers to come up with better policies. Withthe development of the economy, housing prices are still unaffordable and are gradually rising every year. However, household income has not increased accordingly, which is the main problem affecting Malaysians’ difficulty in affording a house. Previously the Malaysian homeownership rate is already declining due to the expensive house price where the COVID-19 pandemic has caused a severe downturn to Malaysia, especially the housing market which has been affected poorly. This article adopted quantitative research method where the primary data was collected through questionnaire surveys. The sample size was determined by referring to Krejcie and Morgan method. The questionnaires are distributed through internet platforms such as Facebook, Instagram, and WhatsApp to collect more responses as online survey brings convenience to respondents. 155 responds were collected from the respondents. From the results, unstable financial positions, unemployment rate, difficulty in obtaining loans, and location factors are the first house buyers’ main issues and challenges. These factors required intervention from the government to save the economy through several policies. Since majority of first house buyers are not familiar with the issues and challenges that they need to consider before making the decision to purchase their first house, this article’s outcomes help first house buyers to do decisions by discussing the issues and challenges that need to be considered. Furthermore, the outcomes can be referred to once the first house buyers encounter similar situations as the results can be used as guidance to help them to understand the problems.

Influence of Indian Chettiyar community heritage on Chettie house architecture of Malaysia

The Indian Chettinadu cultural legacy was introduced to Malaysia by Indian merchants who made their home there. The aim of this research is to examine the impact of Indian Chettinadu culture on the architecture of Chetti Melaka houses in Malaysia, as well as its continued significance in the modern era. A qualitative approach is used. There was observation, documentation, and open-ended interviewing. There is documentation about the Chetti's residence at Gajah Berang, Melaka, Malaysia, and the Chettiyar residence in Pallathur, Karaikudi, India. To comprehend how users, Chettiyar culture, and architecture relate to one another, the data triangulation method is used. The findings demonstrate how Indian Cettinadu culture has influenced Malaysian home design. But there is an enormous concession made about the size of the house and intricate decorations. In both situations, the local climate and user requirements have an impact on the house's design. The study's findings are used to propose house design guidelines that might be used in a modern setting.

Application of the ARIMA model in house price index in Malaysia

The factors that affecting the escalating price of houses in Malaysia are driven by factors such as population growth, income dynamics, interest rates, and GDP. This phenomenon has notably outpaced the growth of household incomes, thus majorly impacting Malaysians. The study’s primary goal is to forecast the housing price index in Malaysia from the best model obtained using Box-Jenkins method. aligning with the 2018-2025 National Housing Policy objectives, utilizing advanced machine learning and time series modeling. The objectives guide the research: to find the best model for predicting house price index in Malaysia using Box-Jenkins Method. Utilizing secondary data from the National Property Information Centre (NAPIC) spanning from 1988 to 2023, the study employed the analytical method of ARIMA. The results favored the ARIMA (1,1,1) model as the best model in predicting housing price indexes. This offers an excellent forecasting model for residential properties towards gaining better understanding of their pricing dynamics and offers potential solutions to the issue of housing affordability for Malaysians.

Critical success factors in Malaysian housing projects: examining contractual, process and human management with knowledge sharing moderation

Critical success factors in Malaysian housing projects: examining contractual, process and human management with knowledge sharing moderation

Cooling load prediction of a double-story terrace house using ensemble learning techniques and genetic programming with SHAP approach

Since the cooling systems used in buildings in hot climates account for a significant portion of the energy consumption, it is very important for both economy and environment to accurately predict the cooling load and consider it in building designs. This study aimed to maximize energy efficiency by appropriately selecting the features of a building that affect its cooling load. To this end, data-driven, accurate, and accessible tools were developed that enable the prediction of the cooling load of a building by practitioners. The study involves simulating the energy consumption of a mid-rise, double-story terrace house in Malaysia using building information modeling (BIM) and estimating the cooling load using ensemble machine learning models and genetic programming. Categorical Boosting (CatBoost), eXtreme Gradient Boosting (XGBoost), Light Gradient Boosting Machine (LightGBM), and Random Forest (RF) models have been developed and made available as an online interactive graphical user interface on the Streamlit platform. Furthermore, the symbolic regression technique has been utilized to obtain a closed-form equation that predicts the cooling load. The dataset used for training the predictive models comprised 94,310 data points with 10 input variables and the cooling load as the output variable. Performance metrics such as the coefficient of determination (R2), root mean squared error (RMSE), and mean absolute error (MAE) were used to measure the predictive model performances. The results of the machine learning models indicated successful prediction, with the CatBoost model achieving the highest score (R2 = 0.9990) among the four ensemble models and the predictive equation. The SHAP analysis determined the aspect ratio of the building as the most impactful feature of the building.

Transforming homeownership: an innovative financing model with a future value approach

Purpose This study aims to address the critical need for innovative financing solutions in the global housing sector, focusing specifically on Malaysia’s distinct housing finance system encompassing both conventional and Islamic loans. The primary objective is to develop a transformative housing finance model that addresses affordability challenges and reshapes the Malaysian housing landscape. Design/methodology/approach The study presents an alternate housing finance model for Malaysia, integrating lower monthly payments and reduced household debt. Key variables include house price appreciation rates, interest rates, initial guarantee fees and loan-to-value ratios. Inspired by the Help to Buy (HTB) scheme, the model aligns with proven global initiatives for enhanced affordability, balancing payment amounts, loan interest rates and acceptable price thresholds. Findings The study’s findings promise to address affordability disparities and reshape Malaysia’s housing finance landscape. The emphasis is on introducing a structured repayment plan that offers a sustainable path to homeownership, particularly for low-income families. Incorporating the future value adaptation concept, inspired by reverse mortgages and Islamic finance, enhances adaptability, ensuring long-term sustainability despite economic shifts. Practical implications The proposed model promotes widespread access to homeownership, offering practical solutions for policymakers to improve affordability, prompting adaptable risk management strategies for financial institutions and empowering potential homebuyers with increased flexibility. Originality/value The study introduces a transformative housing finance model for Malaysia, merging elements from reverse mortgages, Islamic finance and the HTB scheme, offering potential applicability to similar systems globally.

Smart Living Housing Development in Malaysia: Debunking the Additional Cost Components from the Gross Development Cost Standpoint

The development of Smart Living housing in Malaysia necessitates a meticulous understanding of the Gross Development Cost (GDC) components to ensure project financial viability. Unlike conventional housing, Smart Living involves unique building elements such as polarised glass panels, occupancy sensors, wheelchair stair climbers, and rainwater harvesting systems. These features contribute to a holistically sustainable and convenient independent living environment but also present greater barriers with “extra work” that diverge from traditional houses. Given the nascent stage of Smart Living housing development in Malaysia, developers have often taken individual initiatives to constitute the concept due to the absence of established rules and regulations. This lack of standardisation has led to inconsistencies of cost and uncertainties in factual development cost components. Acknowledging these issues, this research necessitates an explanatory sequential mixed method approach; however, this paper presents only the initial phase of the research by exploring the perspectives of stakeholders. The study aims to clarify the additional cost components associated with the development, emphasizing their impact on the overall budgeting process through qualitative, semi-structured interviews with respondents selected through homogeneous purposive sampling. Findings from ten respondents were analysed narratively and revealed that the anticipated additional development cost components include one hard cost item for land acquisition, six soft cost items for social, environmental, and economic impact assessments, one soft cost item for the developer’s concern, and eleven hard cost items related to regulatory compliance. This paper addresses the gap in research regarding the uncertainties in determining feasible capital costs due to possibilities such as overestimating Smart Living feature expenses and underestimating preparation costs. By systematically examining these anticipated additional development cost components, this paper provides foundational guidance for better accuracy in estimating, managing costs, and conducting feasibility studies, thereby supporting the effective planning and execution of Smart Living housing developments in Malaysia.

Transaction Cost Economics Framework Development for Malaysian Housing Development

Housing development is a high-risk, multifaceted and cross-subsidies business. Therefore, it is essential to thoroughly evaluate its viability through comprehensive feasibility studies. It is imperative to carry out meticulous investment appraisals, specifically in the realm of Malaysian housing developments, known for their substantial regulatory expenses that consequently elevate housing costs. Thus, this study aims to demonstrate the development of the transaction cost economics (TCE) framework recommended to unbundle the hidden cost components within the housing development processes. TCE adoption is useful to coordinate and optimise the economic activities within these processes. To overcome the shortcomings of TCE, the RIBA Plan of Work 2013 stages and key tasks are integrated with the housing development stages, processes and cost components to determine the essential economic activities, highlighting the corresponding parties, processes and costs. The TCE framework is established by experts from various sectors, including government agencies, local authorities, professionals and developers. This is achieved through the use of sequential explanatory mixed methods, which are employed to handle the diverse variables and aspects that hinder the nature of the research. Initially, a literature review identified 26 anticipated TCE components. However, data gathering revealed a total of 38 TCE components. The openended questionnaire and semi-structured interview were analysed and triangulated using frequency analysis, content validity ratio analysis and content analysis to ensure all necessary elements were included and unnecessary items removed. Eventually, the findings are applied in the development of the proposed TCE framework for Malaysian housing development. This framework outlines the necessary economic activities along with their associated development costs and TCE categorisation. It can be used to accurately prepare feasibility studies. To conclude, the research outcome improves the efficiency of economic transactions in Malaysian housing development by identifying and organising the various cost components involved, allowing for the optimisation of transaction costs and increased transparency of housing development expenses.

Addressing Security and Architecture Through Proposing Innovative Conceptual Idea on Landed Housing Windows

Metal grill for housing windows thatis fixed to the wall is commonly used in most of the residential houses in Malaysia. Due to high numbers of burglary cases reported across the country in a year, the feature seems desperately needed. However, the window grill creates a dispute, especially on the emergency exit, building façade, and opportunity to view surrounding outside. Through survey and input from the respondents, the purpose of the research is to propose an innovative idea on housing window that able to address both security and architecture aspects. Understanding behavior of typical housing residents, residents’ perception on window grill, and modus operandi of a burglar are important to ensure the innovation able to minimize the burglary ideation, without compromising the feature’s purpose as a housing window. Inspired by French windows of a traditional Malay kampong house, the design is improvised to correlate with the current context. In this research, the housing typology that is focused on is landed house, which may include bungalow, terrace, semi-detached, and townhouse.

INVESTIGATING THE INFLUENCE OF HOMEBUYERS’ SOCIODEMOGRAPHIC FACTORS ON PREFERENCES OF SUSTAINABLE AFFORDABLE HOUSING

Low- and middle-income groups face difficulties in homeownership because of the urbanisation and rising living standards, in which they rely heavily on the government’s housing provision. Yet, affordable housing provided in Malaysia has been repeatedly criticised as it is not up to homebuyers’ expectations and is not supported to reach sustainable goals. Hence, this research aims to investigate the influence of the sociodemographic background of the homebuyers on their preferences for sustainable affordable housing in Malaysia. The questionnaire was designed and responses were obtained from 316 low- and middle-income homebuyers. Spearman rank correlation and ordinal regression were used to investigate the association between homebuyers’ sociodemographic characteristics and their preference for sustainable affordable housing. Spearman correlation analysis revealed that gender, generation, marital status and monthly income were significantly correlated with sustainability criteria. The ordinal regression model reflected that stronger preferences for sustainable affordable housing were shown among female homebuyers, Gen Y and Baby Boomer homebuyers and married ones. The research findings close the gap between users (homebuyers) and the providers (developer/government) in the provision of affordable housing. Developers and the local authorities can provide sustainable affordable housing solutions that suit the needs of different homebuyers.

Factors Contributing to Overhang Problem in Affordable Housing from the Perspective of Housing Developers

Several housing schemes have been implemented to increase the availability of affordable housing so that the low-income and middle-income group could have their own first house. Unfortunately, market trends of affordable housing show an increment to overhang housing units. The units have constantly increasingly from year to year, failing to attract the the low-income and middle-income groups. In short, even though the housing schemes have been facilitated financially, it was found that the units experience unsold and contribute to the overhang problem. Housing developers are the main suppliers of housing in Malaysia. They might have their own perspective on the overhang problem that occurs in affordable housing units. Thus, the objective of this research is to identify the factors contributing factors to the overhang problem in affordable housing from the perspective of housing developers. Quantitative research was adopted by using questionnaires surveys. This research employed a simple random sampling method and the sample size for this research is 181. A set of questionnaires had been distributed to housing developers in Selangor. It reveals that house prices, low household income, economy unstable, loan restriction, and past debt obligation as the top five factors contributing to affordable housing overhang in Malaysia. Therefore, this research contributes significant insight into factors that lead to the overhang problem of affordable housing from the perspective of housing developers.

Satisfaction Level of Occupants’ for Low-Cost Housing in Malaysia

Satisfaction Level of Occupants’ for Low-Cost Housing in Malaysia

A Comparative Analysis Between Experts and Local People’s Perspective on Challenges in Creating Flood Resilient Housing in Malaysia

A Comparative Analysis Between Experts and Local People’s Perspective on Challenges in Creating Flood Resilient Housing in Malaysia

An Analysis on Building Orientation and Occupants Satisfaction in Malaysia Low-Cost Housing

Thermal comfort is an important factor in ensuring a house's good thermal condition, affecting people’s productivity. People spend almost 90% of their time inside the house than outside. Since most people spend most of their time indoors, there is constant and complex contact between the inhabitants and their surroundings, affecting them physiologically and psychologically. Therefore, the thermal comfort in a residential building must be considered carefully. Several thermal comfort parameters need to be measured to understand the current indoor thermal situation of typical low-cost single-storey detached houses in Malaysia. This paper aims to identify the effects of the thermal comfort condition and orientation towards occupants’ satisfaction in low-cost detached houses. The research objective was achieved through questionnaire survey distribution to the respondents in low-cost detached houses in Bachok, Kelantan. Questionnaire survey has been distributed to occupants with different housing orientations: north, east, south, and west. A five-point Likert scale questionnaire was distributed face-to-face to 280 respondents occupying low-cost detached houses, and 233 (83%) were returned. The data gathered from the questionnaire were analysed using SPSS version 23. The finding on the occupants’ satisfaction towards thermal comfort condition indicates that their satisfaction depends on the orientation of the house and result for the last objective. There is a relationship between thermal comfort condition, building orientation, and occupants’ satisfaction. However, there is still a lack of research on the building orientation towards occupants’ satisfaction. Finally, it is hoped that this research can contribute to the thermal comfort knowledge, especially focusing on the occupants in low-cost housing.

The Implementation of Maintenance System in Malaysia’s Public Housing at Kota Bharu, Kelantan

Establishing an effective maintenance system in public housing buildings is essential in ensuring the building operates optimally and enhances residents' satisfaction. However, the maintenance management in Malaysian public housing is considered low, particularly on leaky roofs, dysfunctional elevators and obstructed pipes. Consequently, the deterioration of facilities and services makes the residents dissatisfied. Consequently, the study aims to determine the current implementation and effectiveness of the maintenance system for public housing byfocusing on the residents' satisfaction level and the practice of the maintenance personnel. Surveys were conducted with residents and maintenance personnel from the Projek Perumahan Rakyat Kota Bharu's public housing. A total of 230 questionnaires were considered valid and analyzed to rank the residents' satisfaction level towards public housing maintenance and the practice of the maintenance personnel in public residential buildings. The data was analyzed using the Mean Analysis in the Statistical Package for Social Science (SPSS). The result revealed that the residents are satisfied with the maintenance system's performance, with an electrical system as the most satisfying maintenance performance rated by the residents, compared with other aspects of the maintenance performance factors, with a mean score of 3.94. However, several aspects of the maintenance system, namely cleaning services, security system, and time for repairing the defects, still need improvement to enhance the maintenance quality of public housing in Malaysia.

THE ELDERLY QUALITY OF LIFE (E-QoL) AND RETIREMENT VILLAGE PREFERRED FEATURES BY MALAYSIAN GENERATIONS

Along with the continuous growth of the elderly population, Malaysia projected to become an ageing nation by 2030. The Retirement Villages are a Restricted Ageing Community that offers a complete range of services supplying the diverse housing demand of the elderly (seniors) generation. The World Health Organization (WHO) identified four broad domains universally relevant to the Quality of Life: physical and psychological health, social relationships, and environment. This study aims to provide an in-depth overview of the Retirement Villages in Malaysia. The objectives of this study are sets as follows: (i) To define the Elderly Quality of Life (QoL), and (ii) To determine the generational preferences features of Retirement Village in Malaysia. The Malaysian housing generations involved in this study are the Baby Boomers, Generation X (Gen-X), Generation Y (Gen-Y), and Generation Z (Gen-Z). With a mixed-methods approach, the derived findings revealed that preferred generational features of Retirement Villages are diverse for each main feature; (i) Location; (ii) Services; (iii) Design Criteria; (iv) Physical Environment; and (v) Social Activities. This study contributes more understanding of the main actors of property development and the real estate industry players on the preferred features for Retirement Villages in the Malaysian context.