Modeling the Factors Influencing Real Estate Purchase Intention and Decision in Vietnam: A PLS-SEM Approach in the Context of COVID-19

Abstract

This study investigates the factors influencing residents' decision to purchase real estate in Vietnam, with a particular focus on the mediating role of purchase intention in the post-COVID-19 context. Drawing on the Theory of Reasoned Action (TRA) and Theory of Planned Behavior (TPB), the authors propose a conceptual model linking attitude, COVID-19, perceived behavioral control, financial capacity, geographical location, and government policies to purchase intention and purchase decision. Data were collected through a cross-sectional survey of 300 residents in Vietnam and analyzed using partial least squares structural equation modeling (PLS-SEM). The results indicate that all six factors significantly positively affect purchase intention, positively influencing purchase decisions. The findings highlight the importance of considering individual and contextual factors in understanding real estate purchase behavior and the mediating role of purchase intention in translating these factors into actual purchase decisions. The study contributes to the literature by providing empirical evidence for the impact of COVID-19 on real estate purchase behavior and the applicability of TRA and TPB in the Vietnamese context. The findings have practical implications for real estate developers, marketers, and policymakers in designing effective strategies to stimulate real estate demand and support the sector's post-pandemic recovery.