Real Estate - Zimbabwe

Zimbabwe

The Real Estate market market in Zimbabwe is expected to reach a projected value of US$119.00bn in 2024.
Residential Real Estate holds the dominant position in the market, with a projected market volume of US$80.97bn in the same year.
This segment is expected to grow at an annual rate of 4.15% between 2024 and 2029, resulting in a market volume of US$145.80bn by 2029.
In comparison to other countries, United States is projected to generate the highest value in the Real Estate market market, reaching US$132.0tn in 2024.
Zimbabwe's real estate market is experiencing a surge in demand due to increased foreign investment and the government's efforts to improve infrastructure.

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

Market

Region

Region comparison

Currency

Analyst Opinion

The Real Estate market in Zimbabwe has been experiencing significant growth and development in recent years. Customer preferences in the market are driven by a variety of factors. Firstly, there is a high demand for affordable housing options, as many individuals and families are looking for affordable and decent homes. Additionally, there is a growing trend towards urbanization, with more people moving to cities in search of better job opportunities and a higher standard of living. This has led to an increased demand for housing in urban areas, particularly in major cities such as Harare and Bulawayo. Trends in the market indicate that there has been a rise in property prices, particularly in urban areas. This can be attributed to a number of factors, including increased demand, limited supply, and inflationary pressures. As a result, real estate has become a lucrative investment option for many individuals and businesses. Furthermore, there has been a surge in the construction of commercial properties, such as office buildings and shopping malls, to cater to the growing needs of businesses and consumers. Local special circumstances in Zimbabwe contribute to the development of the Real Estate market. The country has a large informal sector, which has created a demand for affordable commercial spaces for small businesses. Additionally, there is a shortage of affordable housing options, particularly for low-income individuals and families. This has led to the emergence of informal settlements and a need for government intervention to address the housing crisis. Underlying macroeconomic factors also play a role in the development of the Real Estate market in Zimbabwe. The country has experienced periods of high inflation, which has affected property prices and investment decisions. Additionally, political instability and economic uncertainties have had an impact on investor confidence and the overall business environment. However, recent efforts by the government to stabilize the economy and attract foreign investment have had a positive impact on the Real Estate market. In conclusion, the Real Estate market in Zimbabwe is experiencing growth and development due to customer preferences for affordable housing and urbanization. The market is characterized by rising property prices and increased construction of commercial properties. Local special circumstances, such as the informal sector and housing shortage, contribute to the market dynamics. Underlying macroeconomic factors, including inflation and political instability, also influence the market. Overall, the Real Estate market in Zimbabwe presents opportunities for investors and developers, while also highlighting the need for affordable housing solutions.

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.