Proptech Market Size was valued at USD 26.3 Billion in 2022. The Proptech market Solution is projected to grow from USD 30.6 Billion in 2023 to USD 102.4 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 16.30% during the forecast period (2023 - 2032).
Rising use of a number of cutting-edge technologies and rising demand for asset management and property management software (PMS), are the key market drivers enhancing the market growth.
Figure 1: Proptech Market Size, 2023-2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Proptech Market Trends
Due to the advantages offered, such as assisting in boosting overall productivity, making better decisions, enhancing customer service, and boosting overall revenue, big data analytics are predicted to become a more prevalent technology in the property technology (PropTech) industry. When it comes to identifying the best investments, marketing, and selling, real estate investors are benefiting from the insights offered by big data solutions. In order to stand out from the competition and maintain their competitiveness, the majority of businesses are also tempted to embrace big data strategies. For example, Zillow Rental Manager is one of the "big data" tools that influences trends in the real estate sector. Agents can provide customers with information about the properties they have expressed interest in by using big data. Big data is also employed in commercial real estate to reduce financial risks. In order to determine a property's value and recommend the appropriate next steps, it looks at all the information that is known about it and its past owners.
Utilizing the software results in reduced transaction costs and increased consumer convenience, always putting the needs of the client first. Such software also provides speedy inspection, data tracking, simple maintenance monitoring, and easier renter and contractor payments. A PMS reduces the amount of time it takes to respond to complaints and issues from tenants or owners.
Moreover, one of the major advancements in the real estate sector is the introduction of cloud computing. The management and delivery of software programs to end users have undergone significant change as a result of cloud computing. These developments have made it possible for software developers to concentrate on cloud-based software. Software as a Service (SaaS) platforms are easily incorporated by multifamily residential property management companies to link online payment options with their property management software for simpler transactions. Thus, driving the Proptech market revenue.
Proptech Market Segment Insights
Proptech Property Type Insights
The Proptech Market segmentation, based on Property Type includes residential, commercial and industrial. The residential sector had the largest market share in 2022, and it is anticipated that it would maintain supremacy during the projection period. Technological developments in the residential real estate business are blamed for this domination. Tech companies are paying increasing attention to the residential market as they offer services like virtual open houses and digital closings. Prospective home buyers can now more easily take the first steps thanks to technological advancements.
Proptech Solution Insights
The Proptech Market segmentation, based on Solution, includes software and services. In 2022, the software sector had the biggest revenue share, and it is anticipated that it will maintain its leadership throughout the following years. The accompanying advantages of proptech software, such as how it helps real estate managers and brokers promote properties more quickly, efficiently, and with higher-quality outcomes, are credited with the segment's growth. Over the forecast period, the services segment is anticipated to have the greatest CAGR. The demand for new renting practices, selling options, and new idea agents & landlord services, among other things, is what's being credited for the segment's rise.
Proptech Deployment Insights
The Proptech Market segmentation, based on Deployment, includes cloud-based and on-premises. In 2022, the on-premises market had the biggest revenue share. The growth is a result of the advantages of on-premise deployments, including ownership and control over hardware and a higher level of data protection than proptech software that is hosted in the cloud. On-premise deployment also provides businesses or organizations with customisation based on their needs. During the forecast period, the category is expected to grow as a result of the advantages highlighted for on-premises deployment.
Figure 1: Proptech Market, by Deployment, 2022 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Proptech End-User Insights
The Proptech Market segmentation, based on end-user, includes housing associations, property managers/ agents, property investors and others. In 2022, the housing associations category had the biggest revenue share. The difficulties townships and flats confront, such as collecting payments, carrying out upkeep, and keeping track of renters, are blamed for this expansion. The market's major participants have been compelled by all of these obstacles to offer solutions for payment tracking, inspections, and transparent and thorough reporting. Using proptech software, affordable housing helps assign the right rent payments based on how much the rent payer contributes over government funding.
Proptech Regional Insights
By Region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. In 2022, North America had the highest revenue share of 45.80%. The presence of well-known firms in the area, like Ascendix Technologies, Zumper Inc., Opendoor, and Altus Group, among others, is credited with the region's success. One of the most reliable and promising businesses in North America, real estate is expanding. The area is regarded as a pioneer in embracing new technologies. Around 43% of the property market in the area is made up of the tech-savvy millennial group, which is pushing up demand for smart homes with IoT-enabled devices. In turn, this is accelerating market expansion in North America. Further, the U.S. Proptech market held the largest market share, and the Canada Proptech market was the fastest growing market in the North America region.
Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: PROPTECH MARKET SHARE BY REGION 2022 (%)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe Proptech market accounts for the second-largest market share. The amount of capital deployed is anticipated to treble in the following two years even though the European market is still in the early phases of digitalization and technological adoption. For European investors, especially those looking to establish long-term alliances with startups, there will be numerous opportunities. Further, the German Proptech market held the largest market share, and the UK Proptech market was the fastest growing market in the European region.
The Asia-Pacific Proptech market is expected to grow at the fastest CAGR from 2023 to 2032. The increased investment in proptech in the APAC area is blamed for the regional boom. The analysis by industry experts shows that China and India have the largest proptech markets in APAC, with total proptech investment amounts of USD 12.5 billion and 9.1 billion, respectively, in 2022. Further, China’s Proptech market held the largest market share, and the Indian Proptech market was the fastest growing market in the Asia-Pacific region.
Proptech Key Market Players & Competitive Insights
Leading market players are investing heavily in research and development in order to expand their Product lines, which will help the Proptech market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Proptech Industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Proptech Industry to benefit clients and increase the market sector. In recent years, the Proptech Industry has offered some of the most significant advantages to medicine. Major players in the Proptech market, including Ascendix Technologies, Zumper Inc., Opendoor, Altus Group, Guesty Inc., HoloBuilder, Inc., Zillow, Inc., ManageCasa, Coadjute, Vergesense, Reggora, Enertiv, Homelight, Proptech group, Qualia, are attempting to increase market demand by investing in research and development operations.
Guesty offers property management software with end-to-end solutions, such as a mobile app, multi-calendar, channel manager, and unified email. Israel's Tel Aviv serves as the company's headquarters. It was established in 2013. Guesty and Steadily, a US-based supplier of rental property insurance, collaborated in September 2022. The agreement enhances the value of the currently available tools on Guesty's platform and rounds out its line of damage protection products.
Reggora is a platform for real estate valuation in the cloud. Real estate appraisers can use Reggora's big data analytics to make more effective and precise decisions. The company is headquartered in Boston, Massachusetts, and was established in 2016. Reggora and Clear Capital, a provider of real estate appraisal technologies, partnered in April 2022. As part of the cooperation, Reggora will receive valuation quality control. Additionally, this collaboration supports Reggora's goal of providing innovative, effective solutions that will improve the appraisal process.
Key Companies in the Proptech market include
Proptech Solution Developments
August 2022 In order to develop a short-term rental product, the American portal Zumper received $30 million. As a result, it became the first real estate marketplace to provide alternatives to annual, monthly, and nightly rates.
July 2019 In order to create a new digital payments solution for the property management industry, ManageCasa, which recently released interactive and automated PropTech for property owners and property managers, announced a partnership with Stripe, the online payment-processing platform.
August 2022 Internet real estate company Zillow, based in the US, and Opendoor Technologies have teamed. Customers would gain from the cooperation as it integrates Opendoor's e-commerce platform with Zillow's client base. The collaboration also makes it possible for Zillow house sellers to request offers from Opendoor.
July 2022 Coadjute collaborated with LexisNexis, a company that offers adaptable technological platforms. The agreement entails accelerating the real estate market's digital revolution.
Proptech Market Segmentation
Proptech Property Type Outlook
Proptech Solution Outlook
Proptech Deployment Outlook
Proptech End User Outlook
Proptech Regional Outlook
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 26.3 Billion |
| Market Size 2023 | USD 30.6 Billion |
| Market Size 2032 | USD 102.4 Billion |
| Compound Annual Growth Rate (CAGR) | 16.30% (2023-2032) |
| Base Year | 2022 |
| Market Forecast Period | 2023-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Property Type, Solution, Deployment, End User, and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The U.S., Canada, German, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | Ascendix Technologies, Zumper Inc., Opendoor, Altus Group, Guesty Inc., HoloBuilder, Inc., Zillow, Inc., ManageCasa, Coadjute, Vergesense, Reggora, Enertiv, Homelight, Proptech group, Qualia |
| Key Market Opportunities | Technological advancements including digitalization, cloud usage, big data analytics, and artificial intelligence |
| Key Market Dynamics | Increasing adoption of several cutting-edge technologies and increasing demand for property management software (PMS) and asset management software |
Proptech Market Highlights:
Frequently Asked Questions (FAQ) :
The Proptech Market size was valued at USD 26.3 Billion in 2022.
The global market is projected to grow at a CAGR of 16.30% during the forecast period, 2023-2032.
North America had the largest share in the global market
The key players in the market are Ascendix Technologies, Zumper Inc., Opendoor, Altus Group, Guesty Inc., HoloBuilder, Inc., Zillow, Inc., ManageCasa, Coadjute, Vergesense, Reggora, Enertiv, Homelight, Proptech group, Qualia.
The Residential Property Type dominated the market in 2022.
The Software Solution had the largest share in the global market.
Senior Research Analyst Ankit gupta is an analyst in market research industry in ict and semi industry. with post-graduation in "telecom and marketing management" and graduation in "electronics and telecommunication" vertical he is well versed with recent development in ict industry as a whole. having worked on more than 150+ reports including consultation for fortune 500 companies such as microsoft and rio tinto in identifying solutions with respect to business problems his opinions are inclined towards mixture of technical and managerial aspects.
Get in Touch
© 2024 Market Research Future ® (Part of WantStats Reasearch And Media Pvt. Ltd.)
