Determinants of unsold homes in Malaysia / Nur Syakirah Amalina Anuar Adnan

This paper explores the possible determinants of the unsold homes in Malaysia through focusing the year 2012 to 2016. Housing prices is constantly hiking up and this causes a lot of people to not having their own house yet despite a growing demand on the houses in Malaysia over the years. However, there is very empirical housing studies have examined the importance of the unsold homes that can give impact to the country. This study was conducted to identify the reasons behind the inability of homes are unsold in Malaysia. Malaysia is a well developing country; however, it is now experiencing surplus numbers of homes whereby the number of unsold homes is getting higher each year. This paper analyses the changes over time the number of unsold homes in Malaysia by using the time series data. This study generally is to identify the examinants of the unsold homes in Malaysia. It is also aim at identifying the relationship of the Gross Domestic Products (GDP), type of houses, the price of houses and also the interest rate towards the unsold homes. For this study, the method of Ordinary Lease Square (OLS) assumption been employed and many tests have been tested using the data that extracted from the World Data Bank, the Department of Statistics Malaysia, Department of Housing and Local Government and also the Thomson Reuters Eikon. The results from this paper are also in agreement with the determinants would have impact on the number of unsold homes. The results from this study, may inform the Malaysia policy makers to re-evaluate the policy on the housing sector for a better improvement in the sales of the houses in Malaysia specially to attract the locals to buy houses.