The Profile of Portuguese People when Choosing an Apartment

Abstract

It is important to study and to know the determining factors of the housing purchase business, as this is often the greatest business deal in a family’s life. The purpose of this study is to identify the profile of the Portuguese regarding the determining factors when searching for apartments to acquire. The methodology used is based on a questionnaire that analyzes the determining factors in the choice of apartments to acquire and the sociodemographic profile of Portuguese people looking for an apartment. The sample consisted of 646 individuals who were looking for an apartment in different regions of Continental Portugal. The determining factors in the choice of apartments have quite adequate levels of validity and reliability, and four dimensions are obtained: negative externalities, positive externalities, a business located on the ground floor and rational interest in proximity to public services. Cluster analysis results show the formation of five clusters, classifying individuals into a generic cluster, urban business cluster, urban services cluster, urban citizens cluster and elitist cluster. This study is expected to contribute to increasing scientific knowledge on the topic and to help real estate developers better match their clients’ preferences.

Comparative Analysis of the Importance of Determining Factors in the Choice and Sale of Apartments

“…To assess the determining factors in the choice and sale of apartments, the items applied in common in the questionnaires of the studies [8,25] were used. The determining factors in the choice of apartments were approached in [25], and the study was applied to individuals who were looking to buy an apartment, and the information asymmetry in the real estate market was analysed in [8], and its questionnaire was applied to sales consultants.…”

“…The authors consider that the core of urban amenities is the location of gardens and parks and their "mixture" of natural landscapes, cultural heritage, green areas, open spaces, and running water (non-stagnant water). It was observed in [25] that in the choice of housing (apartments), people formed five clusters that are classified as: generic cluster, urban business cluster, urban service cluster, urban citizen cluster, and elitist cluster. These five clusters present different characteristics concerning the five dimensions of the determining factors in the choice of apartments, that is, the "generic cluster" represents the generality of the individuals who are seeking housing, as it is approximately half of the sample; the individuals of the "urban business cluster" are characterised by valuing the proximity to business and the distance to negative externalities, preferring to inhabit in commercial areas; the individuals included in the "urban service cluster" seek housing away from negative externalities but near zones with services in the city; the "urban citizen cluster" is composed of individuals who value living close to business areas and positive externalities; lastly, the elements of the "elitist cluster" present the biggest concerns and repulse about negative externalities, value in an extreme way (they are attracted to) positive externalities, and seek proximity to public services.…”

“…It is registered in [12] that housing prices are higher in areas with higher rents and that the construction level (quantity of housing) and unemployment rate have a statistically significant impact on housing prices. As for the rooms' sizes, it is referred in [8,25] that the most important rooms are the service areas, namely, the kitchen, bathrooms, the sunroom, the balcony, the garage areas, and the storage spaces. In [25], rest areas are defined as the living room and the bedrooms.…”

“…As for the rooms' sizes, it is referred in [8,25] that the most important rooms are the service areas, namely, the kitchen, bathrooms, the sunroom, the balcony, the garage areas, and the storage spaces. In [25], rest areas are defined as the living room and the bedrooms. Furthermore, the variations of the buildings' layouts originate decision-making problems in the deals because they present important variables such as more or less attractive views, the convenience of proximity to recreational facilities, noises that come from the staircase and mailboxes, solar exposure, and odours [33].…”

“…The five retained factors explain, in total, 62.73% of the total variance. The first factor is composed of eight items (21,22,23,24,25,26, and 27) explains 23.71% of the variance and will be named "Negative Externalities". Note that the factor weights of this factor are high (greater than 0.7), which shows that there is a strong correlation between the different places because people do not want to buy an apartment located near this type of externalities.…”