ABSTRACT
This chapter discusses the changing circumstances for the formation and study of residential preferences. From 1970s housing ceased to be a priority policy issue in many countries in Global North: public investments dried up after the boom years of building large housing estates to suburbs ended. The new housing wealth creates, new kind of demand, where housing is part of social positioning and self-esteem. Housing is also a process that is related to many phases of life. A house is a multidimensional commodity which provides basic functions, but it also forms primary anchor in the environment for many people. Choosing housing has mainly been explained through neoclassical economic theory, where the unit or an individual makes rational choices and strives at the maximum utility with a minimum effort by comparing different housing and locational attributes. The research on housing choices has been lacking the investigation of goals, attitudes, and values which could enlighten the purpose of housing choices of inhabitants.
