The Relationship of Housing Defects, Occupants’ Satisfaction and Loyalty Behavior in Build-Then-Sell Houses

Abstract

The factors behind housing defects always lead to the occupants’ dissatisfaction while satisfaction is the main -key towards the customers; loyalty behavior. The relationship of defect - occupants’ satisfaction - loyalty behavior in the Build-then-sell houses however is yet to be explored. Thus, the aim of this study is to identify the relationship between the three mentioned va riables. Data were collected from the occupants who have stayed in the Build-Then-Sell houses for three years; a period whereby housing defect (patent defect) would normally occur. Housing defect was measured using three severity levels; low, medium and hi gh and was cross-tabulated with the dichotomous question of satisfied and dissatisfied occupants. Subsequently, occupants’ satisfaction was cross-tabulated with their loyalty behavior. The Pearson chi-square result shows a significant correlation between housing defects and occupants’ satisfaction. Meanwhile, for the occupants’ satisfaction and loyalty behavior, there is no significant correlation between the variables. The cross-tabulation for occupants’ satisfaction – loyalty behavior reveals that the large portions of satisfied as well as dissatisfied occupants tend to project loyal behavior towards Build -Then-Sell houses. The result implies that defect is a factor which relates to occupants’ satisfaction but the occupants’ satisfaction is not a factor th at relates to occupants’ loyalty behavior.

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