THE IMPACT OF HOUSING PRICE TOWARDS FAMILY

FINANCIAL RISK AMONG GOVERNMENT EMPLOYEES IN SARAWAK

Siti Zaleha binti Idris 1, Nurzaihan bin Ismawi 2

1Politeknik Mukah, Commerce Department

2Politeknik Mukah, Department of Information, Communication and Technology





ABSTRACT

House prices that are expensive and continue to rise year after year become the agenda these days. This scenario brings up the question of whether the financial implications and risks arise only from the home purchase. This is because many people become bankrupt as a result of poor financial management and are in debt as a result of living a luxurious lifestyle, maintaining self-esteem, maintaining social relationships, or luxury purchases. Therefore, the purpose of the study is to determine the relationship between the provision of house payments of financial risk concerns among government employees; and to evaluate the planning of government servants in reducing the financial risk after buying a house. The study focuses on house prices as an independent variable, while the dependent variable consists of, debt risk, social risk, liquidity risk, and operational risk. The method of data collection is through the distribution of questionnaires using “Google Forms” and analyzed using SPSS (Statistical Package for Social Science) software. A pilot study conducted on 30 samples of government servants in Polytechnic Kuching Sarawak shows that Cronbach’s alpha value is within the range of 0.726 to 0.846 which is above the acceptable value of 0.70. This study shows that there is a significant relationship between house payment with liquidity risk (p- value<0.05). While, there is no significant relationship between house payment and debt risk, social risk, and operational risk (p-value>0.05). Other than that, the respondents agree to learn financial management matters as a plan for reducing the financial risk after buying a house. Hence, the study suggested that government agencies actively educate government employees about financial risk management.  


Keywords:

 House prices, Financial implications Financial risk Government servant