Real Estate Software Global Market Report 2024

The real estate software market size has grown strongly in recent years. It will grow from $10.71 billion in 2023 to $11.71 billion in 2024 at a compound annual growth rate (CAGR) of 9.3%. The historic growth in the specified period can be attributed to factors such as market adoption, the regulatory landscape, the competitive environment, economic factors, and user preferences.

The real estate software market size is expected to see rapid growth in the next few years. It will grow to $17.5 billion in 2028 at a compound annual growth rate (CAGR) of 10.6%. The anticipated growth in the forecast period can be attributed to demographic shifts, evolving user demands and expectations, global economic trends, integration with other systems, and the prevalence of remote work and flexibility. Significant trends expected in the forecast period include the emergence of new technologies, continuous technological advancements, increased use of mobile applications, a focus on sustainability and green technologies, accelerated digitization and automation, and the incorporation of blockchain technology.

The real estate software market is anticipated to experience growth in response to the surge in commercial and residential real estate activities. Leading real estate companies are increasingly adopting software solutions to enhance operational efficiency, minimize service disruptions, reduce human errors, allocate tasks effectively for large-scale projects, mitigate communication gaps, and manage finances. For example, the Global Construction 2023 report predicts an 85% growth in construction output to reach $15.5 trillion by 2030, with significant contributions from China, India, and the United States. This growth is attributed to the construction of high-end apartments, houses, and skyscrapers in developing countries, thereby propelling the real estate software market.

The real estate software market's expansion is anticipated to be fueled by the rise in urbanization. Urbanization, the process of cities experiencing growth and expansion, often accompanied by population migration from rural to urban areas, is driving the demand for real estate software. These solutions facilitate the efficient management of urban development projects, optimize property transactions, and offer data-driven insights for sustainable and organized urban growth. As of April 2022, according to the World Economic Forum, over 4.3 billion people, equivalent to 55% of the global population, resided in urban settings, and this figure is projected to increase to 80% by 2050. Thus, the increasing trend of urbanization is a key factor propelling the growth of the real estate software market.

The real estate software market is witnessing a growing trend in the adoption of artificial intelligence and machine learning. Artificial intelligence (AI) plays a crucial role in assisting real estate companies in various functions such as marketing campaigns, property portfolio management, leasing, accounting, and operations. A notable advancement in AI within the real estate sector is the integration of virtual tours. These tours cater to properties still in construction or potential buyers abroad, offering a 3D view of the property. For instance, in February 2021, Zillow Group, an online real estate marketplace company, introduced a virtual tour experience utilizing machine learning and diverse media content. This technology creates an interactive floor plan, enabling buyers to experience the property without a physical visit.

Major players in the real estate software market are intensifying their focus on introducing innovative property portals such as MRI Engage@Work to boost their market revenues. Property portals serve as online platforms facilitating the listing, searching, and transactions of real estate properties. In June 2023, MRI Software LLC, a US-based software company, launched the flexible property portal MRI Engage@Work. This portal aims to enhance tenant processes through engaging communications and self-service tools, providing a unified experience. It strives to offer an intuitive user interface, foster interactions between property teams and occupants, and provide convenient access to payments. Additionally, it supports the development of robust relationships between building staff and tenants, aiming to eliminate communication barriers, strengthen tenant relationships, and reduce operational friction by empowering both tenants and property staff.

In January 2022, Planon, a US-based real estate and facility management software company, acquired COOR GmbH for an undisclosed amount. This strategic acquisition positions Planon to develop advanced real estate software for planning, controlling, and forecasting costs and revenues across all customer segments. COOR GmbH, an Austrian-based company, specializes in developing and implementing software solutions for real estate owners and builders.

Major companies operating in the real estate software market report are Microsoft Corporation, International Business Machines Corporation, Oracle Corporation, SAP SE, Fiserv Inc., SMR Group Ltd., Constellation Software Inc., Dassault Systèmes SE, Autodesk Inc., Trimble Inc., CoStar Group Inc., Zillow Group Inc., Mace Group Ltd., RealPage Inc., Yardi Systems Inc., Altus Group Ltd., AppFolio Inc., Entrata Inc., MRI Software LLC, Redfin Corporation, Havelock AHI Holdings Ltd., HomeHubZone LLC, Buildertrend Solutions Inc., Accruent LLC, DPS Group Global, Inside Real Estate LLC, LanTrax Inc., Propertybase LLC, ServusConnect LLC, AMTdirect LLC, Procore Technologies Inc., CoreLogic Inc., Zoho Corporation Pvt. Ltd., Newforma Inc.

North America was the largest region in the real estate software market in 2023. The regions covered in the real estate software market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the real estate software market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The real estate software market includes revenues earned by entities by providing software tools designed to facilitate real estate property management, from the construction process to the marketing and sales processes and the solution provided by real estate software are management of property database, inbuilt messaging and calling feature, dashboard and analytics, property management, virtual property tour, and map integration. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.