PurposeThe purpose of this paper is to investigate how to measure the effect of unobservable factors on residential choice behaviour in an attempt to advance the understanding of how to perform advanced market analysis. This research is important to residential developers, as the diversity of preferences is increasingly driven by lifestyle-based households and affluent households.Design/methodology/approachInformation about the pros and cons of renting an apartment in an ongoing residential development project in Stockholm came from interviews using the laddering technique. Qualitative data were subsequently analysed using exploratory and confirmatory factor analysis to confirm which factors had the highest effect on an overall assessment of living in the development and a value-for-money conclusion.FindingsAmong the potentially important factors identified, respondents who became residents perceived the development to be more noise-free than those who did not when stating the overall value of living in the development and making a value-for-money conclusion. The perception of noise differed between the two groups, meaning that those who did not become residents believed the development to be more exposed to noise. The standard of the apartment was the second most influential factor when stating the overall value of living in the development and making a value-for-money conclusion. The belief of being able to relax in the home environment had no significant effect on overall value for either group.Originality/valueThe results show that confirmatory factor analysis can be used in measuring the effect of unobservable factors in residential choice behaviour. The methodology presented may advise developers, architects or planners in evaluating those attributes that create value-for-money to improve, for example, overall design solutions in urban development projects.
Journal of European Real Estate Research – Emerald Publishing
Published: Nov 7, 2016
It’s your single place to instantly
discover and read the research
that matters to you.
Enjoy affordable access to
over 18 million articles from more than
15,000 peer-reviewed journals.
All for just $49/month
Query the DeepDyve database, plus search all of PubMed and Google Scholar seamlessly
Save any article or search result from DeepDyve, PubMed, and Google Scholar... all in one place.
Get unlimited, online access to over 18 million full-text articles from more than 15,000 scientific journals.
Read from thousands of the leading scholarly journals from SpringerNature, Elsevier, Wiley-Blackwell, Oxford University Press and more.
All the latest content is available, no embargo periods.
“Hi guys, I cannot tell you how much I love this resource. Incredible. I really believe you've hit the nail on the head with this site in regards to solving the research-purchase issue.”Daniel C.
“Whoa! It’s like Spotify but for academic articles.”@Phil_Robichaud
“I must say, @deepdyve is a fabulous solution to the independent researcher's problem of #access to #information.”@deepthiw
“My last article couldn't be possible without the platform @deepdyve that makes journal papers cheaper.”@JoseServera