Residential Real Estate - Angola

Angola

The Residential Real Estate market market in Angola is expected to reach a value of US$0.40tn in 2024.
It is projected to grow at an annual rate of 5.39% from 2024 to 2029, resulting in a market volume of US$0.52tn by 2029.
In comparison to other countries, China is expected to generate the highest value in the Real Estate market, reaching US$112.9tn in 2024.
Residential real estate in Angola is experiencing a surge in demand due to the government's investment in infrastructure and economic growth.

Key regions: Europe, Brazil, France, Asia, United States

Market

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Analyst Opinion

The Residential Real Estate market in Angola has been experiencing significant growth and development in recent years. Customer preferences in the market have shifted towards modern and luxurious properties. Buyers are increasingly looking for high-end amenities and features, such as swimming pools, gyms, and smart home technology. This trend is driven by a growing middle class and an increasing number of high-net-worth individuals in Angola. Additionally, there is a rising demand for properties in prime locations, such as Luanda, the capital city, as well as coastal areas with beautiful beaches. One of the key trends in the market is the construction of new residential developments. Developers are focusing on building large-scale projects that cater to the growing demand for housing. These developments often include a mix of residential units, commercial spaces, and recreational facilities, creating vibrant communities for residents. The construction boom in Angola has also led to the revitalization of neighborhoods and the creation of new urban centers. Another trend in the market is the rise of real estate investment. Investors, both local and foreign, are recognizing the potential of the Angolan market and are actively seeking investment opportunities. This has led to an increase in the number of real estate funds and investment companies operating in the country. These investors are attracted by the high rental yields and potential for capital appreciation in the residential real estate sector. Local special circumstances in Angola have also contributed to the development of the Residential Real Estate market. The country has a young and growing population, with a significant portion of the population entering the workforce and starting families. This has created a strong demand for housing, particularly for affordable and middle-income housing. Additionally, Angola has a stable political environment and improving infrastructure, which has increased investor confidence in the real estate market. Underlying macroeconomic factors have also played a role in the development of the Residential Real Estate market in Angola. The country has experienced steady economic growth in recent years, driven by its rich natural resources, particularly oil. This has led to an increase in disposable income and purchasing power, enabling more people to afford properties. Additionally, low interest rates and favorable mortgage conditions have made it easier for individuals to finance their home purchases. In conclusion, the Residential Real Estate market in Angola is experiencing significant growth and development, driven by customer preferences for modern and luxurious properties, the construction of new residential developments, real estate investment, local special circumstances, and underlying macroeconomic factors. This trend is expected to continue in the coming years, as Angola's economy continues to grow and attract both domestic and foreign investors.

Methodology

Data coverage:

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

Modeling approach:

Market size is determined by a combined top-down and bottom-up approach. We use national statistics, international organizations, and industry associations to analyze the markets. To estimate the market size for each country individually, we use relevant key market indicators and data from country specific industry associations such as GDP, price level index, household wealth, household size, number of renter and owner households, housing consumer spending per capita.

Forecasts:

We use a variety of forecasting techniques, depending on the behavior of the market, for instance, 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:

Data is modeled using current exchange rates. 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.