The Analysis of Family Housing Choice Behavior Based on the Investigation of Six Cities, Zhejiang Provice

The paper presents a binary logit model and an ordered logit model to examine the factors affecting consumers housing purchase behavior and intention based on the housing research data of six cities, Zhejiang Province. As to housing consumption choice behavior, the result of binary logit model shows: first, a increase in family income and residential stability can make the probability of own go up. The probability of own can also rise when family is in the late of lifecycle or the rental market is more mature. While the fast increase of housing price reduces the probability of own. Using the binary logit model, the paper analyzes the affecting factors of family housing investment choice. The result shows, family income and residential stability are also the important factors to housing investment choice. The higher of the two factors is, the higher of housing investment's possibility will be. When rental market is mature, the probability of housing investment decreases. It indicates the purpose which most family buy more housing is to gain the short-term profit. Though the higher of rent-to-price of urban can make housing investment's possibility decrease, the affecting is weak. The paper also applies an ordered logit model to analyze the affecting factors of housing purchase intention. We find that if the households have not own housing or are not satisfied with current house service, the households will be more inclined to buy a home. Besides, the preference of owning increases with age and housing price. The conclusion also shows the expectation of trend of housing price is one of the most factors that can affect the housing purchase behavior. The intention of buying housing will be intense when consumers are optimistic to rise of housing price. The loan of residential mortgage improves the capability of households to afford a home. However, the effect of gongjijin residential loan is not significant