FACTORS INFLUENCING SHARIA HOUSING PRODUCT PRICING IN BANDUNG CITY: A PRELIMINARY STUDY

Abstract

This study aims to define the sharia property, a new concept from business property to fulfil the needs of Muslims community in buying houses without intermediaries banking institutions, particularly in Bandung. The study also tries to uncover the most dominant factor which affects people to purchase sharia housing. 138 respondents from Bandung city was surveyed, with various demographic backgrounds. The data are examined using descriptive and regression analysis. The variables of this research are housing preferences like the overall physical qualities, price, development concept, and location preference. The study findings suggested that in overall, consumers have embraced the idea of Sharia housing concept in Bandung, Indonesia. They grasp it not only on the matter of Riba, but also in the insight of investment. It proves by the interest from consumers who are non-Moslem. The results of this study would be beneficial for all stakeholders, particularly for the consumers, property developers, government, and academicians