Dr. Tao He’s professional experience includes serving as vice manager of the engineering management department of Guangzhou YiHe Real Estate Co., China, from 1997 to 2005; vice general manager of Jessie Design and Development Consultants Co., Ltd, Hong Kong from 2005 to 2007; and general manager of the Design Management Center of YiHe Real Estate Group, China, from 2007 to the present.
Purpose – This study seeks to determine the key factors influencing residents’ residential satisfaction and their main outcomes, and to test the mediating effect of residential satisfaction on its antecedents and consequences.
Design/methodology/approach – A regression model based on the responses of 309 homeowners in Guangzhou, China is used to test the following: whether the extent of residents’ satisfaction with their housing characteristics, neighbourhood facilities, relationships with neighbours and perceived property value is significantly related to their residential satisfaction; and whether a greater satisfaction with one’s residential environment indicates that the resident is more satisfied with his or her subjective well-being, has less of a moving intention or exhibits more positive word of mouth. A rival model is applied to test the mediating effect of residential satisfaction on its antecedents and consequences.
Findings – The results are consistent with previous studies showing that houses, neighbourhoods and neighbours are positively related to residential satisfaction, and that more satisfied residents express a lower moving intention. Furthermore, they show that perceived property value contributes positively to residential satisfaction, and that more satisfied residents show higher levels of subjective well-being and a greater inclination to express more positive word of mouth. They also show that residential satisfaction has a mediating effect on its antecedents and consequences, except when relationships between neighbours, residential satisfaction and moving intention are considered.
Research limitations/implications – Owing to the goals of this study, all of the respondents surveyed were homeowners. Future studies could determine whether the same outcomes can be applied to renters.
Practical implications – The results provide practical guidance for real estate developers and designers of future housing projects in improving residential environments and residents’ evaluations to lower their moving intention and improve their word of mouth.
Social implications (if applicable) – The findings should help policymakers find ways to improve residents’ residential environments and subjective well-being in practical ways.
Originality/value – This study is the first to examine the effect of the relationships between perceived property value, residential satisfaction, subjective well-being and word of mouth. It is an important step in exploring the investment concept and how subjective well-being is associated with residents’ evaluations of their residential environments.
Keywords – House, Residential satisfaction, Perceived property value, Subjective well-being, Moving intention