The Housing Affordability Issues of the Middle Income Households Groups in Malaysia

Abstract

Housing is a basic human need and always been a great dream for everyone especially for the low and medium income households. However, affordability, as usually measured by the household income, the house’s price and availability of housing loan, have become an issue with this group’s dream of home ownership. Medium income households (MIH) are almost the large group that are trapped in the affordable housing issues. They are not qualifying for the low-cost housing and yet, cannot afford to buy even the ‘medium-cost’ residential projects. The purpose of this study is to investigate the housing affordability problems of the middle-income households in Malaysia. This paper also examines the issue of related to home ownership and factors contributing to home ownership. Past studies have shown that house price, housing loan and housing scheme’s policy are among issues faced by MIH group. This is very important to address these issues to ensure that majority of the Malaysia’s population are affordable to own a house and subsequently may enhance the quality of life in Malaysia