Abstract:

Housing affordability has been a major concern issue as the house price has increased significantly. Owning a house is significantly known as one of the major goals and reflects a single investment of a lifetime. Affordable housing is not mainly focused only on house prices, but it includes also the quality and amenities of the house. There are many indicators to measure housing affordability in Malaysia such as locational, neighbourhood, structural and financial attributes. However, the traditional measure of the affordability of housing has generally ignored the cost of transportation that incur a relatively high proportion of income. Therefore, this study aim to measure housing affordability by considering not only the cost of housing but the condition and location efficiency by measuring transportation costs. It is because combining transportation cost on the measure of housing affordability calculation can reveal a different pattern of affordability.