The Correlation between External Factors and Housing Developers’ Involvement in Affordable Housing: An Importance-Performance Matrix Analysis (IPMA)
Researchers in many countries have been focusing on the issue of affordable housing. Influenced by numerous factors, several researchers have begun to review the problems connected with the involvement of private housing developers within the growth of affordable real estate. Accordingly, this research attempted to analyse the relationship between these external factors and private residences developers’ partaking to build inexpensive homes. For this analysis, a sample of 352 licensed real estate developer in Peninsular Malaysia was used as data. Throughout the investigation, Partial Least Squares Structural Equation Modeling (PLS-SEM) and SmartPLS 3.0 were applied. External factors (competition, housing policy, the housing market, and financial availability), as well as the private residence builders’ involvement to constitute cost-effective homes, was verified to manifest a correlation. Furthermore, this has also revealed that external factors are of great importance and reliability for the housing developers’ involvement in affordable housing.