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Residential Real Estate Leases - Turkmenistan

Turkmenistan

Turkmenistan's Residential Real Estate Leases market market is projected to witness a significant increase in revenue, reaching US$3.51bn by the year 2024.
Among the various segments, House Leases holds the largest market share, with a projected volume of US$3.03bn in 2024.
This segment's dominance is expected to continue as the market grows, with an estimated annual growth rate (CAGR 2024-2029) of 9.48%.
As a result, the market volume is anticipated to expand to US$5.52bn by the year 2029.
The residential real estate leasing market in Turkmenistan is experiencing a surge in demand due to increased government investments in infrastructure development.

Key regions: Japan, China, Australia, Germany, United States

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Analyst Opinion

The Residential Real Estate Leases market in Turkmenistan has seen significant development and growth in recent years.

Customer preferences: Customer preferences in the Residential Real Estate Leases market in Turkmenistan have been influenced by several factors. Firstly, there is a growing demand for rental properties due to the increasing urbanization and population growth in the country. Many individuals and families are seeking affordable housing options, and renting provides a flexible and cost-effective solution. Additionally, the younger generation, who are often more mobile and have less stable employment, are increasingly opting for rental properties.

Trends in the market: One of the key trends in the Residential Real Estate Leases market in Turkmenistan is the rise of apartment complexes and gated communities. These developments offer a range of amenities and services, such as 24-hour security, parking facilities, and recreational areas, which appeal to potential tenants. Furthermore, developers are focusing on constructing properties that are energy-efficient and environmentally friendly, in line with global sustainability trends.

Local special circumstances: Turkmenistan has a unique set of circumstances that impact the Residential Real Estate Leases market. The government plays a significant role in the housing sector, with a large proportion of rental properties owned by state entities. This can create challenges for private developers and investors, as they must navigate complex regulations and bureaucracy. However, the government's commitment to urban development and infrastructure improvements presents opportunities for growth in the market.

Underlying macroeconomic factors: Several macroeconomic factors contribute to the development of the Residential Real Estate Leases market in Turkmenistan. The country's stable economic growth and increasing disposable incomes have resulted in a higher demand for housing. Additionally, low interest rates and favorable lending conditions have made it easier for individuals to access financing for property purchases. Furthermore, the government's efforts to attract foreign investment have led to the development of new residential projects and the expansion of existing ones. In conclusion, the Residential Real Estate Leases market in Turkmenistan is experiencing growth and development due to customer preferences for affordable and flexible housing options, the rise of apartment complexes and gated communities, the government's role in the housing sector, and underlying macroeconomic factors such as stable economic growth and favorable lending conditions. As the country continues to urbanize and the population grows, the demand for rental properties is expected to increase, providing opportunities for further expansion in the market.

Methodology

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.