Real Estate - Namibia | Statista Market Forecast

The Real Estate market market in Namibia is forecasted to reach a value of US$54.41bn in 2024.
Among the various segments, Residential Real Estate is expected to dominate the market with a projected market volume of US$43.60bn in the same year.
This segment is anticipated to grow at an annual growth rate of 3.16% (CAGR 2024-2029), resulting in a market volume of US$63.58bn by 2029.
When compared globally, United States is expected to generate the highest value in the Real Estate market sector, with an estimated value of US$132.0tn in 2024.
Namibia's real estate market is experiencing a surge in demand for luxury beachfront properties due to its stunning coastline and growing tourism industry.

Definition:

The real estate market refers to the transaction of properties, including residential properties (such as houses and apartments) and commercial properties, such as office buildings and industrial properties. Apart from property sales, this market includes leases and the value of real estate.

Structure:

The real estate market comprises residential and commercial real estate. The residential real estate market covers real estate transactions and leases, and residential real estate leases are divided into apartment and house leases.

Additional information:

The market contains the following KPIs: real estate value aggregated for all countries and regions, average real estate value, real estate transaction revenue, number of real estate sold, number of leased and owned real estate, average room per resident, and dwelling type shares. The dwelling type shares comprise the share of the population that lives in houses and apartments. These shares are displayed for real estate owners and real estate renters as well.

Residential real estate (houses and apartments)
Commercial real estate (office buildings, retail spaces, warehouses, industrial properties)

Real estate agencies
Construction companies
Accommodation services, such as Airbnb
Commercial real estate leases and transactions
Publicly owned buildings used by the local government
Buildings used for public health care services

Namibia, a country located in southwestern Africa, is experiencing notable developments in its real estate market.

Customer preferences: In Namibia, there is a growing demand for modern and well-designed properties that offer a comfortable and convenient lifestyle. Customers are increasingly looking for properties that incorporate sustainable features, such as energy-efficient appliances and renewable energy sources. Additionally, there is a preference for properties that are located in safe and secure neighborhoods, with easy access to amenities such as schools, shopping centers, and healthcare facilities.

Trends in the market: One of the key trends in the Namibian real estate market is the increasing popularity of gated communities and residential estates. These developments offer a sense of security and exclusivity, attracting both local and international buyers. Another trend is the rise of mixed-use developments, which combine residential, commercial, and retail spaces in one location. These developments provide convenience and accessibility, catering to the needs of modern urban dwellers.

Local special circumstances: Namibia's real estate market is influenced by its unique geography and demographics. With a population that is predominantly young and urbanizing, there is a growing demand for affordable housing options. This has led to the emergence of affordable housing schemes and government initiatives aimed at providing housing solutions for low-income individuals and families. Additionally, Namibia's tourism industry plays a significant role in the real estate market, with demand for holiday homes and investment properties in popular tourist destinations.

Underlying macroeconomic factors: Several macroeconomic factors contribute to the development of the real estate market in Namibia. Economic growth, stability, and a favorable investment climate attract both local and international investors to the market. Additionally, low interest rates and favorable mortgage conditions make property ownership more accessible to a wider range of buyers. The government's commitment to infrastructure development, including the construction of roads, bridges, and other public facilities, also stimulates the real estate market by increasing property values and attracting investment. Overall, the real estate market in Namibia is evolving to meet the changing preferences and needs of customers. The demand for modern, sustainable, and well-located properties is driving the development of gated communities, mixed-use developments, and affordable housing schemes. The country's unique geography, demographics, and tourism industry further shape the market, while underlying macroeconomic factors such as economic growth, low interest rates, and infrastructure development contribute to its growth and stability.

Data coverage:

Figures are based on value of residential and commercial real estate, average real estate value, residential estate transactions and leases.

Modeling approach / Market size:

Market sizes are determined by a combined Top-Down and Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use data from international organizations and industry associations. Next we use relevant key market indicators and data from country-specific associations such as GDP, price level index, household wealth, household size, number of renter and owner households, housing consumer spending per capita. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, exponential trend smoothing. The main drivers are GDP per capita, population, number of renter and owner households, price level index, housing consumer spending per capita.

Additional Notes:

The market is updated twice per year in case market dynamics change. The impacts of the Russia-Ukraine war are considered at a country-specific level.

This report presents a comprehensive analysis and additional information on the Financial market, in a PDF format.

The global housing market has slowed amid high inflation and soaring borrowing costs. Homeownership is one of the most universal signs of success and prosperity: It serves both as a source of stable and secure housing and a long-term investment. After the global financial crisis, property prices rose in many countries and especially in advanced economies. For more than a decade after that, the housing market has been on an upward trajectory, culminating in the housing boom during the COVID-19 pandemic. However, housing shortages in highly competitive markets, the recent rapid house price growth, soaring inflation, and consequently, some of the highest mortgage interest rates recorded in the past 10 years have led to the market cooling.

Japan is a country with very limited space for buildings, as mountains make up about three-quarters of its landmass. The country’s fairly large population is concentrated in major cities. The metropolitan area of Tokyo, home to a staggering one-third of the population, is the center of economic and political activity. As such, it boasts the highest property prices across the country. Driven by the weak yen, a tourism boom, and global investment, property and land prices surged in 2023 and 2024. Even some rural regions, which are generally confronted with economic stagnation and depopulation tendencies, have been affected by this trend.

The real estate market all around the world has been affected by the global pandemic. This historic event has changed the way we live, consume, and work. The real estate market in the Asia-Pacific region has experienced some turbulent and diverse changes depending on the sector, property type, and location. The commercial real estate segment, which includes offices, retail outlets, logistics centers, and many more, had to adapt to new conditions and demands. Furthermore, residential real estate suffered decreases in rental and capital values in some areas, with the exception of prime real estate, which experienced healthy growth in most locations.

Soaring inflation and aggressive mortgage interest rate hikes cooled the European housing market after a nearly decade-long period of growth. Since 2015, house prices in the European Union have grown by about 50 percent. When inflation in Europe started to rise at an alarming rate in 2021, the European Central Bank increased interest rates, resulting in substantially higher mortgage interest rates and a decline in homebuying. But how important is homeownership for Europeans?

Real Estate - Namibia

Value

Value Split

Volume

Analyst Opinion

Transaction Value

Methodology

Financial

Access more Market Insights on Financial topics with our featured report

Key Market Indicators

Explore more high-quality data on related topic

Global housing market - statistics & facts

Explore more high-quality data on related topic

Real estate in Japan - statistics & facts

Explore more high-quality data on related topic

Real estate in the Asia-Pacific region - statistics & facts

Explore more high-quality data on related topic

Residential real estate in Europe - statistics & facts

Contact

Get in touch with us. We are happy to help.

Real Estate - Namibia

In-Scope

Out-Of-Scope

Related markets:

Commercial Real Estate: market data & analysis

Financial

Access more Market Insights on Financial topics with our featured report

Explore more high-quality data on related topic

Global housing market - statistics & facts

Explore more high-quality data on related topic

Real estate in Japan - statistics & facts

Explore more high-quality data on related topic

Real estate in the Asia-Pacific region - statistics & facts

Explore more high-quality data on related topic

Residential real estate in Europe - statistics & facts