Title: A fuzzy logic approach for housing affordability level analysis

Authors: Nerda Zura Zaibidi; Adyda Ibrahim; Syuhaddah Saiddin

Addresses: Department of Decision Science, School of Quantitative Sciences, Universiti Utara Malaysia, 06010 UUM Sintok, Kedah, Malaysia ' Department of Mathematics and Statistics, School of Quantitative Sciences, Universiti Utara Malaysia, 06010 UUM Sintok, Kedah, Malaysia ' Department of Decision Science, School of Quantitative Sciences, Universiti Utara Malaysia, 06010 UUM Sintok, Kedah, Malaysia

Abstract: The issue of house prices are either too high or unaffordable is widely discussed. The price index indicates residential units' prices continue to climb from one year to another. Consequently, the number of unsold residential units becomes high. This issue has raised concern among researchers to analyse about the affordability level among house buyers. This study aims to measure the affordability level of house buyers in Malaysia by using a fuzzy logic approach. Two inputs are being considered; house price ranges and household incomes while for the output is the affordability level. The findings show that the affordability level for the middle-income earners in Malaysia is low. This finding can help the authorised body to look carefully into this issue and find a strategic solution to overcome the problems to avoid the housing development turning into a slump.

Keywords: fuzzy logic; house prices; housing affordability; housing market.

DOI: 10.1504/IJOR.2024.142250

International Journal of Operational Research, 2024 Vol.51 No.2, pp.151 - 165

Received: 17 Sep 2021
Accepted: 03 Dec 2021
Published online: 16 Oct 2024 *

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