Buyer purchase behaviour factors of green residential property

Abstract

"Green" has become the shorthand term for the concept of sustainable development as applied to the building industry. Green residential is developed with objectives and practices to reduce or eliminate negative environmental impacts and improve existing unsustainable design, construction, and operation practices. The one of critical elements for growing a green homes market are consumers'. Therefore, the objective of this paper is then to identify factors associated with home buyers' purchase behaviour on green residential property from the buyers' perspective. The aspects and factors that influence buyers' to purchase green home were collected and gathered through the literature review on previous studies from journals, reports, articles and others. Based on these activities, this paper found there are a few factors that need to be considered could affect buyers' purchasing behaviour on green residential. Those factors are attitude towards purchasing green residential (environmental concern), subjective norms (reference group and family), perceived benefit of green residential (cost, health, resale value, environmental), internal factor (involvement, feelings, experience, knowledge, motivation, personality), lifestyle-self concept, and socio-demographic. These finding factors would be tested and used as variables to measure purchase behaviour of home buyers' in Indonesia, since there was lack of study on green residential from consumer perspective. This paper would give contribution and information for house buyers', developers, as well as property agencies to have a deeper understanding of buyers' behaviour to purchase green residential property, particularly in Indonesia.