Page 237 - Contributed Paper Session (CPS) - Volume 1

CPS1290 Sahda R. et al.

Probit model of decent living house ownership
determinants in DKI Jakarta Province 2017
Sahda Ratnasari , Ema Tusianti 2
1
1 BPS-Statistics Indonesia Kaimana Regency
2 BPS-Statistics Indonesia

Abstract
Owning a decent living house is important for human wellbeing.
Unfortunately, in a big city like DKI Jakarta, housing backlog is one of the social
problems because of dense population. According to Indonesian Social
Economic Survey 2017, only 48 percent household living in an owned private
house. There are many factors contributing to housing ownership in DKI
Jakarta Province. This study aims to analyse probability of households own a
house by harnessing binary probit regression method. The result shows that
household expenditure, gender, age, and employment status of the head of
the household, household family members and the presence of children
significantly determine access to home ownership. For the government, these
factors can be used for a consideration in developing an inclusive housing
ownership program. Currently, DKI Jakarta Government only considers income
as a variable for the program.

Keywords
Housing ownership; Probit regression; DKI Jakarta

1. Introduction
Every human being needs to maintain their existence. According to
Maslow's hierarchy of needs theory (1943), there are five levels of basic human
needs, i.e. physiological, safety, love or belonging, self-esteem, and the need
for self-actualization. According to Maslow, individuals will try to meet the
needs of the lowest, then reach the needs at the next level. Physiological needs
in the lowest level of Maslow's theory consist of food, drink, house, oxygen,
sleep, and health. One of the physiological needs of humans is a place to live.
Unfortunately, the increasing number of population makes the need for house
even greater due to limited land area especially in a densely populated urban
area like Jakarta.
The results of the National Congress on Housing and Settlements (KNPP)
II in 2009 stated that the protection or recognition of the rights of all
community members to habitable dwellings was carried out by providing
opportunities and choices. On the other hand, Law of the Republic of
Indonesia number 1 in 2011 article 5 paragraph 1 declares that the state is

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