Residential Real Estate - Namibia

Namibia

The Residential Real Estate market market in Namibia is estimated to reach a value of N US$43.60bn by 2024.
It is projected to experience an annual growth rate (CAGR 2024-2029) of 3.61%, leading to a market volume of N US$52.05bn by 2029.
When compared globally, China is expected to generate the highest value in the Real Estate market, reaching N US$112.9tn in 2024.
Namibia's residential real estate market is experiencing a surge in demand due to its stable political climate and attractive investment opportunities.

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

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Analyst Opinion

The Residential Real Estate market in Namibia has been experiencing steady growth in recent years, driven by various factors such as customer preferences, market trends, local special circumstances, and underlying macroeconomic factors. Customer preferences in the Namibian Residential Real Estate market have been shifting towards modern and spacious properties with high-quality finishes. Buyers are increasingly looking for properties that offer a range of amenities such as swimming pools, gyms, and secure parking. Additionally, there is a growing demand for properties located in well-established neighborhoods with access to schools, shopping centers, and other essential facilities. Trends in the market indicate a rising interest in eco-friendly and energy-efficient properties. Namibian buyers are becoming more conscious of the environmental impact of their homes and are seeking properties that incorporate sustainable features such as solar panels, rainwater harvesting systems, and energy-efficient appliances. This trend is in line with global efforts to reduce carbon footprints and promote sustainable living. Another trend in the Namibian Residential Real Estate market is the increasing popularity of gated communities and security estates. With rising concerns about crime and safety, buyers are opting for properties within secure and controlled environments. Gated communities offer residents peace of mind through 24-hour security, access control, and surveillance systems. Local special circumstances play a significant role in shaping the Residential Real Estate market in Namibia. The country's urbanization rate is on the rise, with more people moving from rural areas to cities in search of better job opportunities and improved living standards. This urban migration has led to increased demand for housing, particularly in urban centers such as Windhoek, Swakopmund, and Walvis Bay. Underlying macroeconomic factors also contribute to the development of the Residential Real Estate market in Namibia. The country's stable political environment, favorable investment climate, and relatively low interest rates have attracted both local and foreign investors to the real estate sector. Additionally, Namibia's growing middle class and improving economy have increased purchasing power and affordability, driving demand for residential properties. In conclusion, the Residential Real Estate market in Namibia is experiencing growth due to shifting customer preferences, market trends, local special circumstances, and underlying macroeconomic factors. Buyers are increasingly seeking modern, spacious, and eco-friendly properties in secure environments. The country's urbanization rate, stable political environment, favorable investment climate, and growing middle class also contribute to the market's development.

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.