Determinants of Purchase Intention for Subsidized Housing in Flood-Prone Areas: Evidence from Bekasi Regency
DOI:
https://doi.org/10.47709/ijmdsa.v5i1.7760Keywords:
Subsidized Housing, Housing Price, Perceived Flood Risk, Infrastructure Quality, Purchase IntentionAbstract
The subsidized housing sector in Indonesia, implemented through the Housing Financing Liquidity Facility (FLPP) program, plays a crucial role in improving access to adequate housing for low-income households by offering affordable prices and long-term financing schemes. However, the realization of subsidized housing in Bekasi Regency has declined sharply, from 20,004 units in 2022 to 13,908 units in 2024, representing a decrease of 30.5 percent. This trend indicates a weakening of purchase intention, suggesting that affordability alone is insufficient to sustain demand.
This study aims to examine the effects of subsidized housing price, perceived flood risk, infrastructure quality, and building quality on housing purchase intention within the FLPP program in Bekasi Regency. A quantitative explanatory approach was applied using primary data collected through structured questionnaires from 100 respondents consisting of residents and prospective buyers of FLPP housing. Multiple linear regression analysis was employed to assess both partial and simultaneous effects of the independent variables.
The results indicate that subsidized housing price, infrastructure quality, and building quality have positive and significant effects on housing purchase intention. Conversely, perceived flood risk has a negative and significant effect, indicating that higher flood risk perceptions reduce buyers’ willingness to purchase subsidized housing. These findings suggest that purchase intention is influenced by a comprehensive evaluation of affordability, environmental safety, and physical housing conditions. Therefore, improving flood risk mitigation and infrastructure quality, alongside maintaining affordable prices, is essential for enhancing the sustainability and effectiveness of subsidized housing programs.
References
Admasu, Tesfaye Gebeyehu, John Modestus Lupala, and Fredrick Bwire Magina. 2025. “Patterns of Housing Markets in Hawassa City: The Quest for Social Inclusion.” Urbanization, Sustainability and Society 2(1): 116–52. https://www.emerald.com/insight/content/doi/10.1108/USS-06-2024-0038/full/html.
Amoah, Christopher. 2023. “Quality Management Framework for Government Social Housing Construction in South Africa.” International Journal of Building Pathology and Adaptation 41(6): 217–36. https://www.emerald.com/insight/content/doi/10.1108/IJBPA-10-2022-0169/full/html.
Chen, Jing-yi, and Ming-hui Wang. 2023. “A Study on Real Estate Purchase Decisions.”
Chengu, Shibiru, Mohammed Assen, and Elias Gebeyehu. 2025. “Flood Risk Perception among Households in Fl Ood-Prone Areas of the Itang Watershed , Lower Baro Akobo Basin , Southwest Ethiopia.” (April): 1–13.
Chu, Lingyun et al. 2025. “Less Pains and More Gains?: An Experimental Study of the Impact of Price Transparency of Vacation Packages on Purchase Intention.” : 2532–47.
Creswell, John W, and J David. 2023. Research Design: Qualitative, Quantitative, and Mixed Methods Approaches. ed. 6. Thousand Oaks, CA: SAGE Publications.
Ebekozien, Andrew, and Ahmad Kabir Muhammad. 2025. “Developing a Framework for Housing Financing?: A Case Study of Nigeria ’ s Sustainable Low-Cost Housing via Soft System Methodology.” 32(13): 27–48.
Farida, Umi. 2023. “The Effect Of Product Quality And Pricing Strategy On Consumer Purchase Decisions Through Ulasan Pelanggan In The Subsidized Housing Of Pt. Jonjoro Panrita Kampoeng.” Point of View Research Management 4(1): 1–5.
Farooque, Ummer, Muhammad Usman Awan, and Muhammad Shafiq. 2024. “Development of a Housing Quality (HQ) Scale in the Context of Pakistan.” International Journal of Housing Markets and Analysis 17(4): 1067–85. https://doi.org/10.1108/IJHMA-01-2023-0011.
Granath Hansson, Anna, and Björn Lundgren. 2019. “Defining Social Housing: A Discussion on the Suitable Criteria.” Housing, Theory and Society 36(2): 149–66. http://doi.org/10.1080/14036096.2018.1459826.
Gruhl, Henri, Johannes Brehm, Arijit Ghosh, and Philipp Breidenbach. 2025. “Adjusting to the New Normal?: River Flood Risk and the Real.” : 2331–56.
Hair, Joseph F, G Tomas M Hult, Christian M Ringle, and Marko Sarstedt. 2023. A Primer on Partial Least Squares Structural Equation Modeling (PLS-SEM). ed. 3. Thousand Oaks, CA: SAGE Publications.
Hartono, Djoni et al. 2022. “Determinant Factors of Urban Housing Preferences among Low-Income People in Greater Jakarta.” International Journal of Housing Markets and Analysis 15(5): 1072–87. https://doi.org/10.1108/IJHMA-05-2021-0056.
Hartwig, Tim, and Trung Thanh Nguyen. 2023. “Local Infrastructure, Rural Households’ Resilience Capacity and Poverty: Evidence from Panel Data for Southeast Asia.” Journal of Economics and Development 25(1): 2–21. https://www.emerald.com/insight/content/doi/10.1108/JED-10-2022-0199/full/html.
Jonek-kowalska, Izabela. 2022. “Smart Cities Housing Infrastructure as a Determinant of Quality of Life in Selected Polish Smart Cities.” : 924–46.
Kabir, Shahriar, Zakia Binte Jamal, and Bindu Proshad Kairy. 2024. “How Much to Invest for House Purchase? The Consumer Purchase Intention Perspective of Real Estate Investment Decision.” International Journal of Housing Markets and Analysis 17(4): 881–903. https://doi.org/10.1108/IJHMA-10-2022-0151.
Lastiur, C. B., and I D M F Septanaya. 2024. “Assessing Resident Satisfaction in Subsidized Housing in Indonesia: A Case Study of FLPP Subsidized Housing in Bekasi Regency.” IOP Conference Series: Earth and Environmental Science 1353(1): 012033. https://iopscience.iop.org/article/10.1088/1755-1315/1353/1/012033.
Marsila, Riski. 2023. “PENGARUH KUALITAS LAYANAN, FASILITAS, BRAND IMAGE, DAN PERSEPSI RISIKO TERHADAP MINAT NASABAH DALAM PENGAMBILAN KREDIT PEMILIKAN RUMAH NON SUBIDI.” Jurnal Manajemen dan Profesional 4(1): 36–45. https://jurnal.stie.asia.ac.id/index.php/jpro/article/view/1671.
Masukujjaman, Mohammad et al. 2023. “Green Home Buying Intention of Malaysian Millennials?: An.”
Mechuchep, Suphin. 2025. “Factors Influencing Sustainable Eco-Friendly Housing Purchase Intention in Thailand?: A Structural Equation Model Analysis.”
Minh, Hang Nguyen, Duyen Le, and My Hai. 2024. “Estimating the Impacts of Key Determinants on Consumer Apartment Purchase Decisions in Ho Chi Minh City - Vietnam.” 14(3): 484–96.
Olanrele, Olaopin, and Omokolade Akinsomi. 2024. “Evaluating Market Attributes And Housing Affordability?: Gaining Perspective On Future Value Trends.” 32(3): 87–100.
Oza, Bhavik Manish, Rashmi Jaymin Sanchaniya, Antra Kundzi?a, and Sanda Lapuke. 2024. “Challenges and Barriers to Property Reuse for Social Housing: A Comprehensive Review.” Baltic Journal of Real Estate Economics and Construction Management 12(1): 210–22. https://www.sciendo.com/article/10.2478/bjreecm-2024-0014.
Prabantoro, Gatot, and Dimas Syahririyadi. 2024. “Peran Strategi Bauran Pemasaran 7P Pada Keputusan Pembelian Rumah Subsidi Di Cibitung Bekasi.” 4: 9532–39.
Roohani Qadikolaei, Mohsen, Yaser Hatami, Sara Nikmard Namin, and Ali Soltani. 2024. “Spatial Heterogeneity in Housing Price-Transaction Ratios: A Historical Analysis of Tehran.” International Journal of Housing Markets and Analysis ahead-of-p(ahead-of-print). https://doi.org/10.1108/IJHMA-08-2024-0118.
Sam, Asha Jaisy, Benny Godwin J Davidson, Jossy P George, and Peter Varghese Muttungal. 2024. “Navigating Real Estate Purchase Decisions: An Interplay of Influential Factors.” International Journal of Housing Markets and Analysis ahead-of-p(ahead-of-print). https://doi.org/10.1108/IJHMA-05-2024-0062.
Sekaran, Uma, and Roger Bougie. 2024. Research Methods for Business: A Skill-Building Approach. ed. 9. Hoboken, NJ: Wiley.
Thi, Nguyen, and Thanh Chau. 2024. “Modeling the Factors Influencing Real Estate Purchase Intention and Decision in Vietnam?: A PLS-SEM Approach in the Context of COVID-19.” 11(4): 498–515.
Wilhelmsson, Mats, and Abukar Warsame. 2024. “Exploring the Impact of Renovation Subsidies on Housing Markets – Evidence from the Swedish Property Market.” Journal of European Real Estate Research 17(3): 412–30.
Yang, Cheng, Lei Kong, Zhichao Zhang, and Ye Tao. 2022. “Exploring the Visual Guidance of Motor Imagery in Sustainable Brain – Computer Interfaces.”
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2026 Mochamad Afrizal Maulana, Mulfi Sandi Yuda, Yoki Muchsam, Galih Raspati
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
info@itscience.org, web: 
