An Analysis on Malaysia Property Market: Factors Contributing Sustainability to Residential Bumiputera Properties Overhang in Seremban, The Malaysia Vision Valley

Abstract

This paper aims to scrutinize the main factors that contribute to the glut of supplies for Bumiputera residential properties in Seremban to help the researcher’s industry partners understand the market better, thus contribute to the industry in general. Each of the states in Malaysia imposes different rules and regulations for Bumiputera unit allocations which are strictly sellable to Bumiputera customers only. In Negeri Sembilan, it is compulsory to allocate 30 percent of total units launched for Bumiputera. When there are no ready buyers, these units become unsold units and developers have to bear huge holding costs and at the same time, their GDV drop as the units remains unsold. The research model has been modified from the ‘Theory of Planned Behavior’(TPB) and the behavior that is being studied is the purchasing behavior for Bumiputera residential property in Seremban. The survey’s questionnaires for this study measures three major factors capturing subjective norms, attitudes towards purchasing Bumiputera properties and Perceived Behavioral Control (PBS). Descriptive analysis in this research is derived from ‘Statistical Package for the Social Sciences’(SPSS) Statistics software. The results confirmed the hypotheses which stated that all three variables in TPB significantly influenced the intention and behavior to purchase Bumiputera residential properties in Seremban. Studies about TPB has helped not only businesses but also other industries to better understand peoples’ behavior and what to expect and react towards the behavior.