Tuesday, 02 January 2024 12:17 GMT

Real Estate Rental Market Size, Share, Competitive Landscape And Trend Analysis Report


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How Large Will The Real Estate Rental Market Be By 2025?
The size of the real estate rental market has seen a marked increase in the past few years. It's predicted to expand from the value of $2708.35 billion in 2024 to a staggering $2904.2 billion in 2025, promising a compound annual growth rate (CAGR) of 7.2%. Factors such as consumer confidence, prevailing economic conditions, fluctuating interest rates, shifting consumer preferences and significant worldwide events account for the growth observed in the historical duration.

The property lease market is anticipated to witness significant expansion in the near future, potentially reaching $3862.88 billion by 2029 with a Compound Annual Growth Rate (CAGR) of 7.4%. This growth in the projected period can be ascribed to factors like the rise in sustainable and environmentally-friendly practices, the advent of remote working, affordability issues, governmental regulations, international occurrences, and health-related factors. Prominent trends during this forecasted period encompass the effect of remote work, the incorporation of technology, sustainability and effective use of energy, adaptability in lease agreements, initiatives for affordable housing, along with health and safety concerns.

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What Are The Major Driving Forces Influencing The Real Estate Rental Market Landscape?
Anticipated increases in housing prices are predicted to boost the necessity for the real estate rental market. The spike in housing costs is a result of the lockdown imposed due to COVID-19 and rising interest rates. Real estate rentals offer a viable lodging substitute for individuals who are unable to purchase a home, which in turn surges the need for rental properties. For instance, in 2022, Delhi- National Capital Region (NCR) in India experienced the most significant rise in housing prices, with a 10% year-on-year (YoY) increase from 2021, followed by Ahmedabad and Hyderabad with 9% and 8% YoY growth, respectively. Consequently, the anticipated rise in housing costs is projected to enhance the necessity for the real estate rental market.

Who Are The Top Players In The Real Estate Rental Market?
Major players in the Real Estate Rental include:
. Brookfield Asset Management
. CBRE Group Inc.
. Leopalace21 Corporation
. Xiamen C&D
. Mitsui Fudosan Co. Ltd.
. Weyerhaeuser Company
. Sun Hung Kai Properties Limited
. Equinix Inc. (REIT)
. Prologis Inc.
. Simon Property Group Inc.

What Are The Key Trends Shaping The Real Estate Rental Industry?
The utilization of innovative technologies such as online listings, video tours, and virtual reality (VR), by real estate agents is on the rise to improve services offered to customers and to fortify the relationship between the buyer and agent. Technological advancements have led to a shift in the role of real estate agents; they are no longer just intermediaries of information, but are also becoming local market specialists and service providers. Online property listing services like Zillow and realtor offer informative databases and insights into property tax and a history of purchases. Tools like video and VR-guided tours, alongside e-signing services, are streamlining the process of real estate transactions. For example, The Abu Dhabi Real Estate Centre (ADREC), a regulatory authority for Abu Dhabi's real estate sector, introduced its first official Rental Index in August 2024. The objective of this platform is to increase market transparency, suggest rental values, and fortify the resilience of Abu Dhabi's growing real estate market, thereby benefiting both landlords and tenants. It provides easy-to-access and trustworthy data on residential, commercial, and industrial properties, as well as suggestive quarterly rent prices for properties throughout Abu Dhabi.

Market Share And Forecast By Segment In The Global Real Estate Rental Market
The real estate rentalmarket covered in this report is segmented –

1) By Type: Residential Buildings And Dwellings Rental Services, Non-Residential Buildings Rental Services, Mini warehouses And Self-Storage Units Rental Services, Other Rental Services
2) By Mode: Online, Offline
3) By Property Type: Fully Furnished, Semi-Furnished, Unfurnished

Subsegments:
1) By Residential Buildings And Dwellings Rental Services: Single-Family Homes, Apartments, Condominiums
2) By Non-Residential Buildings Rental Services: Office Spaces, Retail Spaces, Industrial Properties
3) By Mini Warehouses And Self-Storage Units Rental Services: Self-storage Units, Mini Warehouses
4) By Other Rental Services: Vacation Rentals, Event Space Rentals, Co-Working Spaces

View the full real estate rental market report:

Real Estate Rental Market Regional Insights
In 2024, the Real Estate Rental market was dominated by Asia-Pacific region, which is projected to show continued growth. It is followed by North America, taking the second spot in this market. The report on this market covers multiple regions including Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, and Africa.

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