An Investigation into House Purchasing Behaviour of Sabah Consumers

This report presents the findings of a study evaluating the house purchasing behavior of consumers in Sabah, Malaysia. The research aims to analyze the factors influencing consumer decisions when buying a house and how real estate trends affect these choices. The study employs a pilot test using a questionnaire to assess factors like income, price, location, financing, developer brand, and house features. Factor analysis is then used to analyze the data collected from 400 respondents. The report includes the questionnaire and frequency data, providing insights into consumer preferences and concerns regarding housing affordability, location, financing options, and developer reputation. The findings shed light on the key drivers behind house purchasing decisions in the region, offering valuable insights for real estate developers and policymakers.

House Purchase behaviour of
consumers in Sabah, Malaysia.

TITLE
Evaluating the house purchasing behaviour of consumers in Sabah.
Chapter 4: Research Findings
4.0 Overview
The considered project is based on the analysis of Evaluating the house purchasing
behaviour of consumers in Sabah. This study determines the behaviour of individual in making
purchasing decisions. Housing is considered as the most common need of people as this is also a
major recognition of individual to purchase a house for making their living more reliable and
effective. Research analysis and findings are considered to be the key aspect of an exploration
work as in this accumulated data and information is analysed for the purpose of drawing valid
and reliable outcome. In this particular project findings. In this present investigation work data
and information can be analysed through different methods like Pilot Test, descriptive analysis,
preliminary data analysis or hypothesis testing. These are the most suitable tool for analysing
data in terms of research at the reliable findings. The analysis can be done on the basis of
research aim and objectives and these are descried as under:
Research Aim
Evaluating the house purchasing behaviour of consumers in Sabah.
Research Objectives
 To analyse the factors which influences the purchasing decisions of customers while
buying house.
 To analyse the real state trends in Sabah, Malaysia.
 To analyse that how real estate trends of Sabah affects house purchase choice of
consumers.
4.1 Pilot Test
Pilot test is considered as a small scale preliminary study which is executed in respect to
analyse the feasibility, cost, time, adverse events and develop upon the study design prior to the
performance of a full scale research project. In this a questionnaire is designed to analyse the
validity, effectiveness and strength of the data. This study is effective in determining the loop
holes of investigation which provides a significant help to the researcher in drawing valid and
reliable outcome.
1

Questionnaire
Gender
Male
Female
Age:
18 - 24 years old
25 - 30 years old
31 - 40 years old
41 - 55 years old
56 years old and above
Monthly Income range:
Below RM3,000
RM3,001 - RM5,000
RM5,001 - RM10,000
RM10,000 - RM20,000
RM20,000 and above
House Owner
Yes
No
General question
Q1) The residential property that I am staying currently meets all my requirements
Yes
No
Q2) It is not easy to find my ideal home in Sabah
Yes
No
Income
Q1) My income is the most crucial factor that influence my decision to buy a residential
property
2

Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q2) The growth of income is relatively low compared to the residential property price growth
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q3) The average household income in Sabah is much lower compared to Peninsular Malaysia
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q4) I am satisfied with my current income to support my basic living cost
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Price
Q1) Residential properties of value RM500,000 and above in Sabah is too expensive and not
affordable by me.
Strongly Disagree
Disagree
Neutral
Agree
3

Strongly Agree
Q2) The price of residential properties in Sabah are reasonable
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q3) I think residential properties in Sabah are over-priced
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q4) I will consider to buy if there is any affordable housing project launching in Sabah
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Location
Q1) I prefer the residential properties are easily accessible to public facilities such as
transportation hubs, shopping centres, schools
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q2) I prefer the residential properties are away from city
Strongly Disagree
Disagree
4

Neutral
Agree
Strongly Agree
Q3) The distance with working places are concerned when I intend to purchase residential
properties
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q4) The scurity among the residential area are important when purchasing residential properties
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Financing
Q1) The loan monthly repayment is my major concern in purchasing residential properties
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q2) My purchase intention of residential properties will be affected by the loan interest rate
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q3) The housing loan repayment duration affects my buying intention
5

Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q4) It is not easy to get approval on the financing packages available from current financing
institutions as the requirement are too stingent.
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Developer Brand
Q1) A well-known property developer's brand is the best for me
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q2) Houses built by less known property developers have poorer quality
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q3) The negative review on property developers influend my residential purchase intention
Strongly Disagree
Disagree
Neutral
Agree
6

Strongly Agree
Q4) The higher the cost of a residential properties, the better is the quality
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
House Features
Q1) The number of bedrooms affect my buying intention
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q2) If a residential properties has a large living space, I intend to buy it.
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q3) I am taking into consideration on the number of storey of residential properties when
purchase a house.
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Q4) I am concern on the interior and exterior design of the residential properties
Strongly Disagree
Disagree
7

Neutral
Agree
Strongly Agree
4.1.1 Factor Analysis
Factor analysis is considered as a general term which is denoting as a class of procedures
primarily applied for data reduction and summarization. The major purpose of this analysis is to
find out independent latent variables. It also refers as a theory which is applied in machine
learning and related to data mining. In this present research work factor analysis is done through
analysis of questionnaire as in this information is gathered through filling the questionnaire. In
this sample size of 400 respondents has been taken into proper action by the researcher in respect
to accumulation of information in proper manner.
Questionnaire
Gender
Male
Female
Age:
18 - 24 years old
25 - 30 years old
31 - 40 years old
41 - 55 years old
56 years old and above
Monthly Income range:
Below RM3,000
RM3,001 - RM5,000
RM5,001 - RM10,000
8

RM10,000 - RM20,000
RM20,000 and above
House Owner
Yes
No
General question
Q1) The residential property that I am staying currently meets all my
requirements
Frequency
Yes 100
No 300
Q2) It is not easy to find my ideal home in Sabah Frequency
Yes 380
No 20
Income
Q1) My income is the most crucial factor that influence my decision to buy a
residential property
Frequency
Strongly Disagree 40
Disagree 50
Neutral 10
Agree 100
Strongly Agree 200
Q2) The growth of income is relatively low compared to the residential
property price growth
Frequency
Strongly Disagree 30
Disagree 40
9

Neutral 20
Agree 100
Strongly Agree 210
Q3) The average household income in Sabah is much lower compared to
Peninsular Malaysia
Frequency
Strongly Disagree 40
Disagree 30
Neutral 250
Agree 50
Strongly Agree 30
Q4) I am satisfied with my current income to support my basic living cost Frequency
Strongly Disagree 300
Disagree 50
Neutral 20
Agree 20
Strongly Agree 10
Price
Q1) Residential properties of value RM500,000 and above in Sabah is too
expensive and not affordable by me.
Frequency
Strongly Disagree 40
Disagree 40
Neutral 20
Agree 40
Strongly Agree 260
10