Qualitative study in identifying factors affecting the behavior of muslim generation y towards Islamic home financing products in Malaysia

• Main Authors: Nik Mohammad, Nik Mohd Fadhil, Razali, Siti Salwani, Che Mohd Salleh, Marhanum
• Format: Article
• Language: English
• Published: USIM Press 2021
• Subjects: HG3368 Islamic Banking and Finance
• Online Access: http://irep.iium.edu.my/99977/2/99977_Qualitative%20study%20in%20identifying%20factors%20affecting.pdf; http://irep.iium.edu.my/99977/; https://jmifr.usim.edu.my/index.php/jmifr/article/view/366/226; https://doi.org/10.33102/jmifr.v18i2.366
• Institution: Universiti Islam Antarabangsa Malaysia

House is the most important basic need for the human survival, however many individuals especially those who are categorised in the category of generation Y still do not acquire a house due to various factors. It is quite a normal practice for most of homebuyers in Malaysia to purchase a house through banking institutions. However, as a Muslim, it is an obligation to purchase and acquire a house through Islamic financial institutions (IFIs) as it is in accordance with the Shariah principles. The objective of the study is to qualitatively identify the factors affecting the behavior of generation Y Muslims in Malaysia towards Islamic home financing products. Apparently, it is found that religious belief, profit rate, offer and promotion, and fast service (loan approval) are factors in affecting generation Y Muslims in choosing Islamic home financing products. Afterwards, the study proposes to integrate the findings (identified factors) with the theory of Attitude-Behavior-Context (ABC). The study findings are expected to contribute significantly to the theory, methodology, and empirical practices.