From Necessity to Lifestyle: A Comparative Analysis of Evolving Generational Behavior and Housing Purchase Determinants in Sri Lanka (1982-2024)

Abstract

Housing purchase decisions among middle-income households reflect broader socio-economic transformations and evolving urban aspirations, particularly within government-led housing developments. This study comparatively examines the Mattegoda National Housing Scheme (1982) and the Viyathpura Housing Project (2024) to examine the Key Behavioral factors influencing Housing Purchasing Decisions among Middle-income buyers and to compare how these factors and buyer expectations have evolved between Government Housing Developments (1982-2024). Adopting a mixed-method comparative research design, data were collected from a sample of 111 residents across the two developments. Quantitative analysis was conducted using Principal Component Analysis (PCA) and Correlation Analysis to extract core behavioral dimensions shaping buyer decisions, while qualitative insights contextualized generational expectations. The findings reveal a pronounced transition from necessity-driven housing choices in 1982 largely influenced by economic stability, government provision, and social cohesion to preference-oriented and psychologically driven decisions in 2024. Contemporary buyers demonstrate stronger emphasis on perceived behavioral control, self-efficacy, autonomy, aesthetic quality, convenience, social influence, and perceived investment value. These shifts mirror wider changes in income structures, urban lifestyles, market dynamics, and cultural perceptions of housing as both a consumption and investment good. While the study is limited to two government housing schemes and relies on cross-sectional, self-reported data, it offers critical insights into evolving middle-income housing behavior. By synthesizing empirical findings, the study proposes a forward-looking “2035 Horizon” roadmap to support national-level policymakers and urban planners in transitioning from purely affordability-focused housing provision towards resilient, lifestyle-oriented, and psychologically responsive urban housing ecosystems. The study contributes original value by bridging behavioral economics, housing studies, and urban planning within a longitudinal generational comparison, offering practical policy relevance for future government housing strategies in Sri Lanka.