Residential Real Estate Leases - Taiwan

In Taiwan, the revenue of the Residential Real Estate Leases market market is forecasted to reach US$14.95bn in 2024.
House Leases holds the largest market share with a projected market volume of US$10.13bn in 2024.
The revenue is projected to exhibit an annual growth rate (CAGR 2024-2029) of 1.79%, leading to a market volume of US$16.33bn by 2029.
The residential real estate leasing market in Taiwan is experiencing a surge in demand due to the country's strong economy and growing urban population.

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 Taiwan is experiencing significant growth and development, driven by various factors and trends in the market. Customer preferences, local special circumstances, and underlying macroeconomic factors all contribute to the current state of the market. Customer preferences in Taiwan are shifting towards renting rather than buying properties. This is due to various reasons, including the high cost of homeownership, especially in urban areas. Renting provides more flexibility and affordability for individuals and families, allowing them to live in desirable locations without the financial burden of purchasing a property. Additionally, the younger generation in Taiwan is increasingly valuing experiences over ownership, leading to a growing demand for rental properties. Trends in the market also play a significant role in the development of the Residential Real Estate Leases market in Taiwan. One notable trend is the rise of co-living spaces and shared accommodations. This trend caters to the needs of young professionals and students who are looking for affordable and communal living arrangements. Co-living spaces offer shared amenities and common areas, fostering a sense of community and providing a more affordable housing option. Another trend in the market is the increasing popularity of short-term rentals, driven by the growing tourism industry in Taiwan. With the rise of platforms like Airbnb, property owners are capitalizing on the demand for short-term accommodations. This trend has led to a diversification of the rental market, providing more options for both locals and tourists. Local special circumstances also contribute to the development of the Residential Real Estate Leases market in Taiwan. One such circumstance is the limited availability of land for new construction. Taiwan is a small island with a dense population, making it challenging to find suitable land for new residential developments. This scarcity of land drives up property prices, making renting a more attractive option for many individuals and families. Underlying macroeconomic factors also play a role in the growth of the Residential Real Estate Leases market in Taiwan. The country's stable economy and low unemployment rate provide a favorable environment for individuals to consider renting properties. Additionally, low interest rates make it more affordable for investors to finance rental properties, further driving the growth of the market. In conclusion, the Residential Real Estate Leases market in Taiwan is experiencing growth and development due to shifting customer preferences, emerging trends, local special circumstances, and underlying macroeconomic factors. Renting has become a popular choice for individuals and families, driven by factors such as high homeownership costs and a preference for experiences over ownership. Co-living spaces and short-term rentals are emerging trends that cater to specific segments of the market. Limited land availability, a stable economy, and low interest rates are also contributing to the growth of the market.

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 - Taiwan

Volume

Analyst Opinion

Revenue

Affordability

Real Estate Type

Living Space

Methodology

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