How much to invest for house purchase? The consumer purchase intention perspective of real estate investment decision
International Journal of Housing Markets and Analysis
ISSN: 1753-8270
Article publication date: 3 February 2023
Issue publication date: 19 June 2024
Abstract
Purpose
This study is based on the consumer purchase intention (CPI) in real estate. The purpose of this study is to investigate the link between CPI and preferred individual investment capacity in buying real estate properties. This study investigates if commonly known factors of CPI such as attitude, social power or subjective norms, perceived behavior power or control, location, surrounding environment and socialization can influence a consumer’s preferred investment amount when buying a house, either for own use or for rental purpose.
Design/methodology/approach
A total of 334 respondents participated in this study. The survey data was analyzed using factor analysis technique, ordinary least square technique and Poisson pseudo maximum likelihood technique.
Findings
This study finds that location, surrounding environment, property/construction papers, roads, mosque/temple and fire services significantly influence the preferred investment amount of a real estate investor.
Originality/value
This study suggests that a link exists between CPI and real estate investment decision through factors such as location, surrounding environment, legal documentation and communication facility. These identified CPI factors require serious consideration by the real estate developers and their financing partners.
Keywords
Acknowledgements
The article is an outcome of the project “Investigating the Link between the Theory of Consumer Purchase Intension and the Consumer’s Investment Capacity in Real Estate Sector” funded by Independent University, Bangladesh. The authors thank the IUB management for the support. The authors also thank the editor and the anonymous reviewers for their valuable comments.
Fund by: Independent University Bangladesh; Research Project Number: 2019-SB-04 Project duration: 18/12/2019 - 17/12/2021.
Citation
Kabir, S., Jamal, Z.B. and Kairy, B.P. (2024), "How much to invest for house purchase? The consumer purchase intention perspective of real estate investment decision", International Journal of Housing Markets and Analysis, Vol. 17 No. 4, pp. 881-903. https://doi.org/10.1108/IJHMA-10-2022-0151
Publisher
:Emerald Publishing Limited
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