Housing preferences and attribute importance among low-income consumers in Saudi Arabia

Against a backdrop of recent strong growth in the Saudi Arabian housing market, rising housing costs, and diminishing consumer disposal incomes, this study examines the housing preferences of low-income consumers in Saudi Arabia, with specific emphasis on their preferences for alternative dwelling types and tenure options, factors influencing their housing decisions, and how these vary across socio-demographic sub-segments of this population segment. Using data collected through a structured self-administered survey in the major urban areas of the country, we find that majority of respondents prefer the small house to duplex or apartment, and despite their limited incomes the majority prefer buying over renting. We also find a very strong relationship between tenure preferences and dwelling type, with respondents who prefer the small house or duplex overwhelmingly opting for the buying option, whilst respondents who choose apartments prefer the rental option. On importance of housing a