Open AccessThe Role of Demography, Geographical Constraints, and Land Regulations on House Price in Malaysia
Author(s) -
Saizal Pinjaman,
Sarma Binti Aralas,
Debbra Toria Nipo
Publication year - 2022
Publication title -
business and economic research
Language(s) - English
Resource type - Journals
ISSN - 2162-4860
DOI - 10.5296/ber.v12i1.19475
Subject(s) - zoning , real estate , speculation , population , clearing , depreciation (economics) , business , house price , land price , land use , economics , agricultural economics , geography , economic growth , finance , ecology , engineering , demography , capital formation , sociology , financial capital , monetary economics , biology , human capital , civil engineering
The current paper investigates the influence of demography, geographical constraints, and land regulation on house price in Malaysia based on the developers’ perspective. A survey questionnaire was distributed among the real estate developers in the country and for the demographical factors, population growth, income, standard of living, and household confidence on future prices are identified to be important determinants. Meanwhile, in terms of land regulations, a majority of the developers believed that the cost of land acquisition, zoning regulations, and land statuses are important on house price setting. Apart from that, geographical constraints including land reclamation, forest clearing, and hillslope stripping are also considered by the developers. In ensuring that the house price remains affordable, land regulations on real estate development should be more relaxed to stimulate housing projects at lower costs. In addition, price speculation should also be monitored if not curbed so that the house price remains affordable particularly for the medium and low-income earners.