Housing affordability stress among generation y in Johor Bahru, Malaysia

Abstract

Nowadays, a significant number of households are still unable to afford to buy their own houses due to the high prices on the market. However, household income is also at odds with the market price of housing. Housing affordability stress, therefore, refers to a situation in which households spend only 30% of their income on housing costs. Therefore, two research objectives were set. The first objective is to identify factors affecting the stress of housing affordability between Gen Y. The second objective is to examine the relationship between income and house prices affecting the stress of housing affordability. Data are collected through secondary sources and information provided by respondents through questionnaire surveys. The data are then analyzed using the Social Sciences Statistical Package (SPSS). Method of data analysis includes Frequency Analysis, Likert Scale Analysis, Cross Tabulation Analysis and Pearson Chi-Square Analysis. The results show that 67 respondents still haven't had their own house and they live with their families or still rent a house. Just 33 respondents own their own house and most purchase just RM200,000 to RM250,000 one-storey terrace homes. The high house price provided, household income is not parallel to the current economy and high down payment and other charges are three factors that strongly influence the housing affordability pressure.