Elements That Affect To The Prices Of Apartments In Ho Chi Minh City

Abstract

The research content of this thesis is conducted base on the perspective of the buyer of the apartment. Research using the Hedonic model and Principal Component Analysis (PCA) to determine the factors affecting the price of apartments in Ho Chi Minh City. In this study, the author develops a questionnaire for asking resident and expert opinions. Totally, 27 apartments in districts 2, 4, 6, 8, 11, Binh Thanh, Phu Nhuan, Tan Binh, Go Vap, Tan Phu, Thu Duc with 343 samples and these meet with statistical analysis requirement. After that, data will be analyzed by SPSS software. Initially, the author identifies 24 variables that affect the price of an apartment.The regression analysis showed that 18 variables were statistically significant. Based on the result of PCA analysis, three factors were extracted to be used in the final model. Adjusted R Square are equal to 0.966, indicating that the factors in the model can explained 96.6% of total variation of the dependent variable.