TY  - JOUR
T1  - Factors Affecting Borrowers’ Choice of Housing Loan Packages
AU - Yee, Gan Chin AU - Chein, Teo Siew AU - Yin Ni, Chong 
JO  - The Social Sciences
VL  - 11
IS  - 13
SP  - 3187
EP  - 3195
PY  - 2016
DA  - 2001/08/19
SN  - 1818-5800
DO  - sscience.2016.3187.3195
UR  - https://makhillpublications.co/view-article.php?doi=sscience.2016.3187.3195
KW  - Housing loan
KW  -interest rate
KW  -repayment period and monthly payments
KW  -loan-to-value ratio
KW  -banks’ reputation
AB  - Shelter is one of the basic human needs and yet bad economy and high interest rates have caused the public to be extremely prudent and hesitant when it comes to acquiring a house. This study investigates factors affecting borrowers’ choice of housing loan packages in Melaka. The researches categorize six factors that affect consumers/borrowers loan choices. These factors encompass those of the loan elements (interest rate, repayment period and monthly payment, loan-to-value ratio) and of bank’s services (bank’s reputations, employees’ services-quality, marketing methods). Data was collected from 210 respondents who are mainly working adults with stable income in Melaka using self-administered questionnaires. The results showed that there are significant relationships between interest rates, employee services-quality and marketing methods when it comes to borrowers’ choice. Among the three, employee services quality is the most influential factor. Besides, education mediates the effect of loan-to-value ratio on the borrowers’ choice of housing loan.
ER  -