Residential Real Estate Leases - Caribbean

The projected revenue of the Residential Real Estate Leases market market in the Caribbean is expected to reach US$29.71bn in 2024.
House Leases dominate this market segment with a projected market volume of US$23.59bn in the same year.
Furthermore, the revenue is expected to exhibit an annual growth rate of 5.56% (CAGR 2024-2029), leading to a market volume of US$38.95bn by 2029.
In the Caribbean, the demand for luxury beachfront rental properties in Barbados continues to rise, attracting high-end tourists and investors alike.

Definition:

The residential real estate leases market refers to the market where landlords and tenants enter into agreements for the rental of residential properties, such as apartments, houses, and condominiums. The lease outlines the terms of the rental agreement, including the duration of the lease, the amount of rent to be paid, and the responsibilities of both the landlord and the tenant. The lease may also include provisions for security deposits, maintenance and repair obligations, and renewal options.

Structure:

The residential real estate leases market comprises the lease of houses and apartments.

Additional information:

The residential real estate leases market includes the following KPIs: the revenue generated by real estate leases, the number of real estate leases, the average revenue per real estate lease, the share of dwelling type of tenants, and the average room per tenant. The dwelling type shares comprise the shares of the renter population that lives in houses and apartments.

Residential house and apartment leases

Real estate transactions
Commercial real estate
Accommodation services, such as Airbnb

The Residential Real Estate Leases market in Caribbean is experiencing significant growth and development. Customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors are all contributing to this positive trend. Customer preferences in the Caribbean are shifting towards residential real estate leases for a variety of reasons. Many individuals and families are choosing to rent rather than buy property due to the flexibility and lower financial commitment it offers. Renting allows people to have more freedom to move and explore different areas without the burden of a mortgage. Additionally, the Caribbean region is a popular tourist destination, and many visitors prefer to rent vacation homes rather than staying in hotels. This has created a strong demand for short-term residential leases in popular tourist areas. Trends in the market are also driving the growth of the Residential Real Estate Leases market in the Caribbean. One major trend is the rise of online rental platforms, which have made it easier for property owners to advertise and rent out their homes. These platforms provide a convenient way for individuals to find and book rental properties, and they have significantly expanded the market for residential leases. Another trend is the increasing popularity of co-living spaces, where multiple individuals or families share a single property. Co-living offers a more affordable housing option and promotes a sense of community among residents. Local special circumstances in the Caribbean are also contributing to the growth of the Residential Real Estate Leases market. The region is known for its beautiful beaches, tropical climate, and vibrant culture, which attract both tourists and expatriates. Many individuals are choosing to relocate to the Caribbean for work or retirement, and they often prefer to rent rather than buy property. Additionally, the Caribbean has a large population of seasonal workers, such as those in the tourism industry, who require temporary housing. These factors have created a high demand for residential leases in the region. Underlying macroeconomic factors are also playing a role in the development of the Residential Real Estate Leases market in the Caribbean. Economic growth in the region has led to an increase in disposable income, allowing more people to afford rental properties. Additionally, low interest rates have made it more difficult for individuals to obtain mortgages, leading them to choose renting as a more feasible option. The stability of the Caribbean real estate market and the potential for capital appreciation in the future also make residential leases an attractive investment opportunity for both domestic and international investors. Overall, the Residential Real Estate Leases market in the Caribbean is experiencing growth and development due to customer preferences, market trends, local special circumstances, and underlying macroeconomic factors. The flexibility and affordability of residential leases, along with the unique characteristics of the Caribbean region, have created a strong demand for rental properties. This trend is expected to continue as the region's economy and tourism industry continue to grow.

Data coverage:

Figures are based on total and average revenue of residential apartment leases.

Modeling approach:

Market size is determined by a 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 considered at a country-specific level.

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

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Residential Real Estate Leases - Caribbean

Volume

Analyst Opinion

Revenue

Methodology

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Residential Real Estate Leases - Caribbean

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Residential Real Estate: market data & analysis

Volume

Analyst Opinion

Revenue

Methodology

Financial

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