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Health, Insurance, and Social Capital’s Impact on Housing Debt and Assets Using a Partial Least Squares Structural Equation Modeling Technique

Year: 2024

Type: article

Abstract: China’s current real estate market transactions are relatively subdued; hence, finding means to repower the engine for further development becomes vital. However, few studies investigated the relationships between family non-economic factors, assets, and housing debt. This study highlights the impact of family members’ health, insurance, and social capital’s impact on housing debt and assets. The family-size data from the China House Finance Survey are analyzed using a partial least squares structural equation model. The results indicate that family members’ poor health and uninsured endowment insurance individuals negatively affect housing debt and family assets. In contrast, the impact of medical insurance is insignificant. Besides, social capital substantially and positively impacts assets and debts. The labor supply and the proportion of kids have a negligible impact. Hence, this study recommends that loan-offering enterprises may change their marketing targets according to family situations, such as health status and insurance coverage. The government might promote endowment insurance and strengthen higher education to revitalize the real estate industry.

Source: Buildings

DOI: 10.3390/buildings14113540

Authors: Siming Chen, Rita Yi Man Li, Chi Ho Tang

Institution: Hong Kong Shue Yan University

Language: English

Topic: Housing Market and Economics

Subfield: Economics and Econometrics

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDGs: No poverty, Reduced inequalities

Open Access status: gold

Estimated APC paid: $2,955