Mismatch between housing affordability and affordable houses in Malaysian property market: A review

2015 ◽  
pp. 125-131
Author(s):  
N Azmi ◽  
A Bujang ◽  
W Jiram ◽  
H Zarin
Keyword(s):  
Housing Affordability ◽  
Property Market

scholarly journals A HOUSE THAT GROWS ON THE INSIDE

2021 ◽  
Author(s):  
◽  
Amy Lane
Keyword(s):  
New Zealand ◽  
House Prices ◽  
Housing Affordability ◽  
Flexible Design ◽  
Property Market ◽  
Alternative Housing ◽  
Incremental Change ◽  
Price Increases ◽  
Incremental Construction ◽  
The Cost

<p>With house prices rising so rapidly, many New Zealand families find the stretch to homeownership beyond them. It is now customary to hear of people unable to purchase a property for their needs, in relation to the size of the house, its location or both and the idea of homeownership is fast becoming a pipeline dream for most people. With large upfront costs and large mortgage repayments, the cost of purchasing or building a house is unaffordable for a growing number of the population (Aravena & Lacobelli, 2012; Michael Bassett, 2013). Affordability is a broad notion but in essence, this research portfolio addresses it as the concern for accessibility of New Zealanders to put a roof over their heads. The crux of this issue is the relatively high cost to purchase a place to call home, making housing a commodity to enrich a few. An alternative solution to building and financing a home is needed.  This research portfolio questions how flexible design and incremental construction approaches can be applied to a range of sites typical to the New Zealand context, providing an alternative housing solution that addresses housing affordability. This alternative housing solution demonstrates flexible design and incremental construction tactics derived from the comparative and critical analysis of literature and precedence. These tactics are demonstrated through the design of four typologies that accommodate the users changing needs and financial circumstances. Housing affordability has been addressed by the consideration of these flexible design and incremental construction tactics to allow for incremental investment. As the users, financial circumstances increase or change, the design and construction of their dwelling allows them to make changes easily. This reduces the need for major construction work in order to change the layout and use and it easily allows for the opportunity to expand when the money becomes available. It also averts the necessity to move which in the current property market is costly in terms of finances and time.  To address the aims of this research portfolio, this alternative housing solution inverts the typical process of building and financing a home. It responds effortlessly to the occupant’s requirements, however varied. Incorporating flexible design and incremental construction tactics allows for incremental change and incremental investment over the lifetime of the building. At times when a lack of supply has resulted in rampant price increases, we need to question why, would one build a house that takes a great amount of time, money and effort to construct but so quickly becomes redundant? A dwelling, therefore, shouldn’t be a product. A dwelling should be an ongoing process.</p>

scholarly journals HOUSING AFFORDABILITY IN THE STATE OF JOHOR

2017 ◽  
Vol 15 ◽  
Author(s):  
Mariana Mohamed Osman ◽  
Muhammad Adib Ramlee ◽  
Nasriah Samsudin ◽  
Noor Suzilawati Rabe ◽  
Muhammad Faris Abdullah ◽  
...  
Keyword(s):  
Affordable Housing ◽  
Housing Prices ◽  
Housing Price ◽  
Housing Affordability ◽  
The State ◽  
Property Market ◽  
Population Changes ◽  
Demand And Supply ◽  
Economic Theories ◽  
Income Ratio

The Malaysian property market has been facing significant changes in terms of housing price since a decade ago and these changes are different between states. The changes in housing prices are being supported by the economic theories of demand and supply as well as the regional economic and demographic factors such as income level, housing supply stock, speculative buying and population changes. This paper provides an overview of the affordable housing policy and elaborates on the housing affordability index for the districts in the State of Johor. Using datasets for year 2012 and 2014 in order to determine the median multiple of price-income ratio, this paper found that housing in all the districts were generally unaffordable. Some districts recorded HAI of severely unaffordable, while others in the seriously and moderately unaffordable index categories.

scholarly journals ASSESSMENT OF BUBBLES IN THE MALAYSIAN HOUSING MARKET

2017 ◽  
Vol 15 (3) ◽  
Author(s):  
Rohayu Ab. Majid ◽  
Rosli Said ◽  
Chong J.T.S
Keyword(s):  
Business Cycles ◽  
Housing Market ◽  
House Prices ◽  
Housing Affordability ◽  
Residential Property ◽  
Ratio Analysis ◽  
Housing Bubble ◽  
Property Market ◽  
Housing Bubbles ◽  
Year 2000

Property cycle and housing bubble have been a noteworthy subject of discussion since decades ago. The economic and business cycles have been closely associated with the property cycle as the economic and business factors have certain definite effects on the property market. At some point of the property cycle, the housing bubble will occur. The housing bubble is a trend of unreasonable increase of house prices where the increase is supported by factors that are not economics related. It causes the house prices to be intolerable in terms of housing affordability and the bursting of this housing bubble would lead to the crash of the property market. This paper focuses on using the economic indicators to identify the phases of the residential property cycle in Malaysia from the year 2000 to 2012. Having done so, housing bubbles were analysed using ratio analysis for the year 2012. The results show that housing bubble is yet to become a significant threat to our national property market as it only affects certain areas and housing types.

Housing Affordability – A Local Perspective

2019 ◽  
Vol 3 (2) ◽  
pp. 130-159
Author(s):  
Joan Ann Farrugia Galea
Keyword(s):  
Stock Exchange ◽  
Pearson Correlation ◽  
Government Expenditure ◽  
Secondary Data ◽  
Housing Affordability ◽  
Property Market ◽  
Priority List ◽  
Independent Variables ◽  
Human Needs ◽  
The 2008 Financial Crisis

‘Housing plays a key socio-economic role and represents the main wealth of the poor in most developing countries” (World Bank 2017). Property provides shelter which ranks, high on the priority list of basic human needs, alongside to food and health. Housing has become increasingly important especially following the 2008 financial crisis which resulted in substantial job losses and in turn affected mortgage repayments and so the property markets. Historically property in Malta is considered as a dual commodity, namely, shelter and investment. Recently, the property market has seen drastic rise in prices, raising with it concerns on affordability. This paper examines the relationship between Housing Affordability [HA], and a number of independent variables including inflation, household size, immigration, renting, employment, income, trading on the Malta Stock Exchange, incentives issued by the Housing Authority, government expenditure on housing, and the number of units built. Literature suggests that these variables directly impact HA. The study is primarily based on secondary data, including a time series covering the period between 2006 and 2016. Pearson Correlation Coefficient was utilized to determine the association between HA and independent variables. The study shows that correlation exist in nine out of the 11 independent variables.

scholarly journals A HOUSE THAT GROWS ON THE INSIDE

2021 ◽  
Author(s):  
◽  
Amy Lane
Keyword(s):  
New Zealand ◽  
House Prices ◽  
Housing Affordability ◽  
Flexible Design ◽  
Property Market ◽  
Alternative Housing ◽  
Incremental Change ◽  
Price Increases ◽  
Incremental Construction ◽  
The Cost

<p>With house prices rising so rapidly, many New Zealand families find the stretch to homeownership beyond them. It is now customary to hear of people unable to purchase a property for their needs, in relation to the size of the house, its location or both and the idea of homeownership is fast becoming a pipeline dream for most people. With large upfront costs and large mortgage repayments, the cost of purchasing or building a house is unaffordable for a growing number of the population (Aravena & Lacobelli, 2012; Michael Bassett, 2013). Affordability is a broad notion but in essence, this research portfolio addresses it as the concern for accessibility of New Zealanders to put a roof over their heads. The crux of this issue is the relatively high cost to purchase a place to call home, making housing a commodity to enrich a few. An alternative solution to building and financing a home is needed.  This research portfolio questions how flexible design and incremental construction approaches can be applied to a range of sites typical to the New Zealand context, providing an alternative housing solution that addresses housing affordability. This alternative housing solution demonstrates flexible design and incremental construction tactics derived from the comparative and critical analysis of literature and precedence. These tactics are demonstrated through the design of four typologies that accommodate the users changing needs and financial circumstances. Housing affordability has been addressed by the consideration of these flexible design and incremental construction tactics to allow for incremental investment. As the users, financial circumstances increase or change, the design and construction of their dwelling allows them to make changes easily. This reduces the need for major construction work in order to change the layout and use and it easily allows for the opportunity to expand when the money becomes available. It also averts the necessity to move which in the current property market is costly in terms of finances and time.  To address the aims of this research portfolio, this alternative housing solution inverts the typical process of building and financing a home. It responds effortlessly to the occupant’s requirements, however varied. Incorporating flexible design and incremental construction tactics allows for incremental change and incremental investment over the lifetime of the building. At times when a lack of supply has resulted in rampant price increases, we need to question why, would one build a house that takes a great amount of time, money and effort to construct but so quickly becomes redundant? A dwelling, therefore, shouldn’t be a product. A dwelling should be an ongoing process.</p>

Housing affordability in Malaysia: perception, price range, influencing factors and policies

2018 ◽  
Vol 11 (3) ◽  
pp. 476-497 ◽  
Author(s):  
Jeffrey Boon Hui Yap ◽  
Xin Hua Ng
Keyword(s):  
Affordable Housing ◽  
Small Sample Size ◽  
Housing Affordability ◽  
Small Sample ◽  
Future Research ◽  
Research Approach ◽  
Property Market ◽  
Content Type ◽  
Housing Programs ◽  
Property Price

Purpose The purpose of this paper is to explore the affordability of Malaysian housing market, sufficiency of affordable housing and factors influencing the housing affordability in Malaysia. Design/methodology/approach In this study, qualitative research approach was adopted. Semi-structured interviews were conducted with ten industry practitioners from developers and real estate agencies and further validation with three industry experts. Findings The findings reveal that housing affordability is a grave concern to average Malaysians, and the supply of affordable housing is insufficient in the current residential property market. Income, property price, land cost and demand and supply are identified as significant factors affecting housing affordability. Research limitations/implications The research findings provide an insight rather than definitive information, as the small sample size could limit the generalizability of the findings. Future research can include participants from the public sector and focus on the policy options. Practical implications This paper provided numerous policies to ensure successful deliverability of affordable housing which eases government to partner with private sector to formulate a systematic framework for implementation of affordable housing programs and schemes. Social implications There is a need for government to pay more attention to housing needs of middle-income groups. Also, the government is urged to ensure transparent balloting process in every implementation of affordable housing programs. Originality/value The paper emphasised the issues of undersupply of affordable housing and mismatch of property price and income. The paper also highlights the key reasons behind high housing affordability index. Hence, it is hoped that this paper will encourage positive debate and gain some attention from the policymakers, practitioners and researchers in Malaysia and beyond.

scholarly journals HOUSING AFFORDABILITY IN THE STATE OF JOHOR

2017 ◽  
Vol 15 (1) ◽  
Author(s):  
Mariana Mohamed Osman ◽  
Muhammad Adib Ramlee ◽  
Nasriah Samsudin ◽  
Noor Suzilawati Rabe ◽  
Muhammad Faris Abdullah ◽  
...  
Keyword(s):  
Affordable Housing ◽  
Housing Prices ◽  
Housing Price ◽  
Housing Affordability ◽  
The State ◽  
Property Market ◽  
Population Changes ◽  
Demand And Supply ◽  
Economic Theories ◽  
Income Ratio

The Malaysian property market has been facing significant changes in terms of housing price since a decade ago and these changes are different between states. The changes in housing prices are being supported by the economic theories of demand and supply as well as the regional economic and demographic factors such as income level, housing supply stock, speculative buying and population changes. This paper provides an overview of the affordable housing policy and elaborates on the housing affordability index for the districts in the State of Johor. Using datasets for year 2012 and 2014 in order to determine the median multiple of price-income ratio, this paper found that housing in all the districts were generally unaffordable. Some districts recorded HAI of severely unaffordable, while others in the seriously and moderately unaffordable index categories.

scholarly journals ASSESSMENT OF BUBBLES IN THE MALAYSIAN HOUSING MARKET

2017 ◽  
Vol 15 ◽  
Author(s):  
Rohayu Ab. Majid ◽  
Rosli Said ◽  
Chong J.T.S
Keyword(s):  
Business Cycles ◽  
Housing Market ◽  
House Prices ◽  
Housing Affordability ◽  
Residential Property ◽  
Ratio Analysis ◽  
Housing Bubble ◽  
Property Market ◽  
Housing Bubbles ◽  
Year 2000

Property cycle and housing bubble have been a noteworthy subject of discussion since decades ago. The economic and business cycles have been closely associated with the property cycle as the economic and business factors have certain definite effects on the property market. At some point of the property cycle, the housing bubble will occur. The housing bubble is a trend of unreasonable increase of house prices where the increase is supported by factors that are not economics related. It causes the house prices to be intolerable in terms of housing affordability and the bursting of this housing bubble would lead to the crash of the property market. This paper focuses on using the economic indicators to identify the phases of the residential property cycle in Malaysia from the year 2000 to 2012. Having done so, housing bubbles were analysed using ratio analysis for the year 2012. The results show that housing bubble is yet to become a significant threat to our national property market as it only affects certain areas and housing types.

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