Influence of cognitive biases on the demand in the private housing sector
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2025-07-04
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en
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There are many problems in the housing market. To address the need for housing, it is important to know what factors influence home buyers. It is therefore important to look into the decision-making process of homebuyers and how it can influence and perhaps put pressure on housing demand. This thesis focuses on behavioural economic aspects, namely three cognitive biases, anchoring bias, framing bias and herd behaviour, and their effect on housing preferences. A survey was prepared to collect the necessary data. To analyse this effect, a quantitative approach is used with and without demographic and social-economic characteristics as control variables. The results show that only anchoring bias has an increasing effect on housing preferences, and hence demand in the private housing sector. However, this effect is significant only with the addition of the control variables. This contradicts previous behavioural economic theories that speak of a uniform and constant effect of cognitive biases.
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Faculteit der Managementwetenschappen