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Primary Catalyst Driving Real Estate Software Market Evolution in 2025: Surge In Real Estate Activities Drives Growth In The Real Estate Software Market Driver
real estate software
The expansion of residential and commercial real estate activities is anticipated to drive the growth of the real estate software market. A growing number of prominent real estate firms are turning to software solutions to streamline operations, minimize disruptions in services, decrease human error, effectively delegate tasks for high-volume projects, bridge communication gaps, and manage financial aspects. As per the data in December 2022 from the Stats NZ Tatauranga Aotearoa, a statistics agency based in New Zealand, there was a 3.8% increase in construction activities in September 2022. Additionally, residential construction activities rose by 3.1% in the same quarter, while non-residential activities saw a 4.9% uptick. Consequently, the surge in upscale apartments, houses, and skyscrapers in burgeoning countries is stimulating the growth of the real estate software market.
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What growth opportunities are expected to drive the real estate software market's CAGR through 2034?
The market size for real estate software has seen substantial growth over the recent years. It is expected to expand from $11.71 billion in 2024 to reach $12.8 billion in 2025, registering a compound annual growth rate (CAGR) of 9.3%. This growth during the historical period is mostly due to market adoption, regulatory environment, competition, economic conditions, and user preferences.
Over the coming years, the real estate software market is predicted to experience swift expansion, reaching $19.58 billion in size by 2029 with an 11.2% compound annual growth rate (CAGR). Factors driving growth in this market during the forecast period include demographic changes, consumer needs and anticipations, worldwide economic patterns, compatibility with other systems, the increase of remote work and flexibility. Key trends expected during this period include the rise of new technologies, advancements in technology, the growth of mobile applications, sustainability and green tech initiatives, digitalisation and automation, along with the use of blockchain technology.
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What are the emerging trends shaping the future of the real estate software market?
The integration of artificial intelligence and machine learning in the real estate software market is an emerging trend. AI provides applications that assist real estate firms in areas such as marketing campaigns, property portfolio management, leasing, accounting, operations, and other functions. Virtual tours are a cutting-edge AI application in the real estate market, offering a three-dimensional view of properties still in development or for international clients. For example, in August 2024, reAlpha Tech Corp, a firm specializing in AI development and commercialization for real estate, released reAlpha, a comprehensive Super App for mobile devices. The app, free from commission, enhances the online platform with features like a generative AI buyer's agent named Claire, support from licensed human agents, and an array of home buying tools, including title and escrow agent services.
Which growth-oriented segments of the real estate software market are leading the industry's development?
The real estate software market covered in this report is segmented -
1) By Product: Enterprise Resource Planning (ERP), Property Management System (PMS), Customer Relationship Management (CRM)
2) By Deployment Type: Cloud, On-Premise
3) By Application: Commercial, Residential
Subsegments:
1) By Enterprise Resource Planning (ERP): Financial Management, Project Management, Supply Chain Management
2) By Property Management System (PMS): Tenant Management, Lease Tracking, Maintenance Management
3) By Customer Relationship Management (CRM): Lead Management, Sales Tracking, marketing Automation
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What regions are leading the charge in the real estate software market?
North America was the largest region in the real estate software market in 2024. The regions covered in the real estate software market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
What companies are at the forefront of innovation in the real estate software market?
Major companies operating in the real estate software market include Microsoft Corporation, International Business Machines Corporation, Oracle Corporation, SAP SE, Fiserv Inc., Constellation Software Inc., Dassault Systèmes SE, Autodesk Inc., Trimble Inc., CoStar Group Inc., Zillow Group Inc., RealPage Inc., Yardi Systems Inc., Altus Group Ltd., AppFolio Inc., Entrata Inc., MRI Software LLC, Redfin Corporation, Buildertrend Solutions Inc., Accruent LLC, Inside Real Estate LLC, Propertybase LLC, ServusConnect LLC, AMTdirect LLC, Procore Technologies Inc., CoreLogic Inc., Zoho Corporation Pvt Ltd., Newforma Inc.
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What Is Covered In The Real Estate Software Global Market Report?
•Market Size Forecast: Examine the real estate software market size across key regions, countries, product categories, and applications.
•Segmentation Insights: Identify and classify subsegments within the real estate software market for a structured understanding.
•Key Players Overview: Analyze major players in the real estate software market, including their market value, share, and competitive positioning.
•Growth Trends Exploration: Assess individual growth patterns and future opportunities in the real estate software market.
•Segment Contributions: Evaluate how different segments drive overall growth in the real estate software market.
•Growth Factors: Highlight key drivers and opportunities influencing the expansion of the real estate software market.
•Industry Challenges: Identify potential risks and obstacles affecting the real estate software market.
•Competitive Landscape: Review strategic developments in the real estate software market, including expansions, agreements, and new product launches.
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