Real Estate - Tunisia

Tunisia

The Real Estate market market in Tunisia is expected to reach a value of US$348.20bn in 2024.
The residential segment dominates the market with a projected market volume of US$292.10bn in the same year.
This segment is anticipated to grow at an annual growth rate of 3.15% (CAGR 2024-2029), resulting in a market volume of US$406.60bn by 2029.
In global comparison, United States is expected to generate the highest value in the Real Estate market market, reaching US$132.0tn in 2024.
Tunisia's real estate market is experiencing a surge in demand due to the country's growing tourism industry.

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

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Analyst Opinion

The Real Estate market in Tunisia has been steadily developing in recent years, driven by various factors such as customer preferences, market trends, local special circumstances, and underlying macroeconomic factors. Customer preferences in the Real Estate market in Tunisia have been shifting towards modern and luxurious properties. Tunisians are increasingly seeking properties that offer high-quality amenities, such as swimming pools, gyms, and green spaces. Additionally, there is a growing demand for properties located in prime locations, such as the coastal areas and major cities like Tunis. This shift in customer preferences is influenced by global trends in the Real Estate market, where buyers are increasingly looking for properties that offer a high standard of living. One of the key trends in the Real Estate market in Tunisia is the development of gated communities and residential complexes. These developments offer a range of amenities and services, such as security, maintenance, and recreational facilities, which attract buyers looking for a convenient and comfortable lifestyle. This trend is in line with global developments in the Real Estate market, where gated communities have become popular due to the sense of security and community they provide. Another trend in the Real Estate market in Tunisia is the increasing popularity of real estate investment. Tunisians are recognizing the potential for capital appreciation and rental income in the property market, leading to a rise in investment activities. This trend is driven by the desire to diversify investment portfolios and take advantage of the growing demand for rental properties. Local special circumstances also play a role in the development of the Real Estate market in Tunisia. The country's political stability and security have improved in recent years, creating a favorable environment for investment in the property sector. Additionally, the government has implemented policies to encourage foreign investment in the Real Estate market, further boosting its growth. Underlying macroeconomic factors contribute to the development of the Real Estate market in Tunisia. The country has experienced steady economic growth, which has increased disposable incomes and purchasing power. This, in turn, has fueled demand for properties, both for residential and investment purposes. Furthermore, low-interest rates and favorable mortgage conditions have made it easier for Tunisians to access financing for property purchases. In conclusion, the Real Estate market in Tunisia is developing due to shifting customer preferences, market trends, local special circumstances, and underlying macroeconomic factors. The demand for modern and luxurious properties, the development of gated communities, the increasing popularity of real estate investment, political stability, and favorable macroeconomic conditions are all contributing to the growth of the market.

Methodology

Data coverage:

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

Modeling approach / Market size:

Market sizes are determined by a combined Top-Down and Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use data from international organizations and industry associations. Next we use relevant key market indicators and data from country-specific associations such as GDP, price level index, household wealth, household size, number of renter and owner households, housing consumer spending per capita. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, 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:

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.