Real Estate Crowdfunding Investment Market By Investors (Institutional, Individual), By Model (Equity, Lending), By Sector (Commercial & Industrial, Residential), and By Region - Global Industry Overview, Statistical Data, Competitive Intelligence, Trends, Outlook, and Forecast 2024–2033
Report Snapshot
Study Period: | 2024-2033 |
Fastest Growing Market: | Asia-Pacific |
Largest Market: | Europe |
Major Players
- DiversyFund, Inc.
- Crowdestate AS
- Groundbreaker Technologies, Inc.
- Others
Reports Description
In 2021, the Global Real Estate Crowdfunding Investment Market was estimated at USD 10.8 billion and is projected to reach approximately USD 250 billion by 2030 with a compound annual growth rate (CAGR) of roughly 45% between 2022 and 2030.
The report studies the Real Estate Crowdfunding Investment market’s drivers and restraints, coupled with the impact they have on demand during the projection period. Additionally, the report analyzes global opportunities present in the Real Estate Crowdfunding Investment market.
Real Estate Crowdfunding Investment Market: Overview
Real estate crowdfunding is a pioneering method for business owners to raise capital. Instead of requesting one investor to make a sizable investment, the procedure entails contacting a big group of small investors. Each invests a small sum of money on real estate projects. Although real estate crowdfunding is intrinsically risky, these investments can help expand the investor’s portfolio and offer competitive returns.
Real Estate Crowdfunding Investment Market: COVID–19 Impact Analysis
Contrary to other commercial sectors, the coronavirus pandemic has also had a significant influence on the real estate industry. Due to the crisis, investors are now placing a greater emphasis on purchasing necessities while purchasing fewer non-essentials. Although the lowest investment amount on real estate crowdfunding sites is roughly $100, this did not significantly affect the flow of investments, which led to the market’s constant expansion. Since social distance had made it nearly impossible for real estate agents to physically present real estate properties, the shift in preferences for online operations of businesses helped the investments in real estate holdings.
This research offers a critical examination of market developments in real estate crowdfunding with regard to COVID-19 and its impact on the market statistics. It thoroughly analyses the COVID-19 pandemic’s effects on the sector and explains how they would impact corporate operations in the near future. In summary, the research offers methodical information about the shifting market environment and the flow of supply and demand concerning the ongoing pandemic. In a nutshell, this study examines the potential changes in the existing and future competitive scenarios of the Real Estate Crowdfunding Market and includes in-depth information on the overall market structure of the industry.
Real Estate Crowdfunding Investment Market: Growth Drivers
Implementation of Blockchain Technology
Real estate transactions have become easier and more instantaneous than ever with blockchain technology. The technology is being used rapidly for developing smart contracts and tokenization. Blockchain-powered real estate crowdfunding includes a regulated, decentralized listing, property financing, as well as managing platform. On the blockchain, it reorganizes rental contracts, assets, property task management, purchase/sale contracts, and related services.
Blockchain technology enables investors and owners to share funds and information easily and securely, which streamlines peer-to-peer financing for projects and reorganizes real estate requirements. The technology makes information easier to manage, lowers fraud and deception, and helps eliminate middlemen. Additionally, the blockchain-based real estate crowdfunding platform expedites the risk assessment and investing process. During the forecast period, it is projected that these elements will fuel the expansion of the global real estate crowdfunding market.
Booming Construction Activities Worldwide
In recent years, there has been a considerable increase in commercial real estate operations, including building homes, apartments, duplexes, schools, hospitals, and other facilities. These trends have resulted in increased demand for investment to support these endeavors, which is anticipated to fuel the rise of crowdfunding platforms in the upcoming years. Additionally, crowdfunding platforms are becoming a new source of finance for important areas of the construction industry, such as residential and industrial, allowing investors to avoid investing in the full project.
Real Estate Crowdfunding Investment Market: Segmentation Analysis
The Real Estate Crowdfunding Investment market is segmented into an investor, model, and sector. By investors, the institutional segment is anticipated to hold the largest share globally throughout the forecast period. Institutional investors, including life insurance organizations and pension funds, have recently begun investing in real estate crowdfunding.
Institutional investors typically make investments of more than $10 million at a time, which greatly facilitates crowdfunding platforms’ ability to raise millions of dollars all at once. The increasing awareness among people regarding the availability of crowdfunding platforms and the rise in the number of favorable crowdfunding regulations for investment are factors promoting the segment’s growth in the near future.
Report Scope
Feature of the Report | Details |
Market Size in 2021 | USD 10.8 Billion |
Projected Market Size in 2030 | USD 250 Billion |
CAGR Growth Rate | 45% CAGR (2022-2030) |
Base Year | 2023 |
Forecast Period | 2024-2033 |
Prominent Players | DiversyFund, Inc., Crowdestate AS, Groundbreaker Technologies, Inc., Groundfloor Finance Inc., CrowdStreet, Inc., Fundrise, LLC, RealCrowd, Inc., EstateGuru OÜ, RM Technologies LLC., AHP Servicing LLC, and Others |
Key Segment | By Investors, Model, Sector, and Region |
Report Coverage | Revenue Estimation and Forecast, Company Profile, Competitive Landscape, Growth Factors and Recent Trends |
Regional Scope | North America, Europe, Asia Pacific, Middle East & Africa, and South & Central America |
Buying Options | Request tailored purchasing options to fulfil your requirements for research. |
Key Insights:
- As per the analysis shared by our research analyst, the Real Estate Crowdfunding Investment market is estimated to grow annually at a CAGR of around 45% over the forecast period (2022-2030).
- In terms of revenue, the Real Estate Crowdfunding Investment market size was valued at around USD 10.8 billion in 2021 and is projected to reach USD 250 billion by 2030. Due to a variety of driving factors, the market is predicted to rise at a significant rate.
- Based on investor segmentation, the institutional segment is predicted to dominate the market throughout the projected period.
- Based on model segmentation, the equity segment is anticipated to witness a high CAGR during 2022-2030.
- Based on sector segmentation, the commercial/industrial segment held the larger market share in 2021.
- On the basis of region, the Asia Pacific region was the leading revenue generator in 2021.
Recent Development
- June 2022: Arrived Homes, a US-based real estate investment platform, is accelerating its acquisitions owing to the surge in demand from retail investors for fractional real estate. The company has recently acquired 59 single-family rental homes across 17 markets, which were worth US$ 23 million.
- June 2022: Foxstone, an online real estate investing platform, has closed its CHF 10 million Series A financing round, the largest to date for the business.
- February 2022: Groundfloor, the first regulatory-approved real estate crowdfunding site, raised its first round of institutional capital.
Regional Landscape
The rising commercial construction activity in emerging countries is boosting the growth of real estate crowdfunding. Rising industrialization supports these construction projects. Additionally, the market is growing owing to the surging population in emerging countries, increased urbanization, rising living standards, and increasing disposable income.
The emerging countries, particularly South Korea, India, Japan, and China, are mostly responsible for the market expansion. Additionally, it is predicted that the market will rise due to the increasing adoption of cutting-edge technologies such as blockchain, machine learning, and digital payments.
Competitive Landscape
Our report offers both quantitative and qualitative insights into the online voting system market and major development initiatives adopted by the key players. Further, it offers competitive details and market share analysis. The report also includes relevant financial information, products and services offered, SWOT analysis, and recent developments of the players profiled.
The global Real Estate Crowdfunding Investment market is segmented as follows:
By Investors
- Institutional
- Individual
By Model
- Equity
- Lending
By Sector
- Commercial & Industrial
- Residential
On the basis of Geography
North America
- U.S.
- Canada
- Mexico
- Rest of North America
Europe
- Germany
- France
- U.K.
- Italy
- Spain
- Rest of Europe
Asia Pacific
- China
- Japan
- India
- New Zealand
- Australia
- South Korea
- Rest of Asia Pacific
The Middle East & Africa
- Saudi Arabia
- UAE
- Egypt
- Kuwait
- South Africa
- Rest of the Middle East & Africa
Latin America
- Brazil
- Argentina
- Rest of Latin America
Table of Contents
- Chapter 1. Preface
- 1.1 Report Description and Scope
- 1.2 Research scope
- 1.3 Research methodology
- 1.3.1 Market Research Type
- 1.3.2 Market research methodology
- Chapter 2. Executive Summary
- 2.1 Global Real Estate Crowdfunding Investment Market, (2022 – 2030) (USD Billion)
- 2.2 Global Real Estate Crowdfunding Investment Market: snapshot
- Chapter 3. Global Real Estate Crowdfunding Investment Market – Industry Analysis
- 3.1 Real Estate Crowdfunding Investment Market: Market Dynamics
- 3.2 Market Drivers
- 3.2.1 Implementation of Blockchain Technology
- 3.2.2 Driver 2
- 3.3 Market Restraints
- 3.4 Market Opportunities
- 3.5 Market Challenges
- 3.6 Porter’s Five Forces Analysis
- 3.7 Market Attractiveness Analysis
- 3.7.1 Market attractiveness analysis By Investors
- 3.7.2 Market attractiveness analysis By Model
- 3.7.3 Market attractiveness analysis By Sector
- Chapter 4. Global Real Estate Crowdfunding Investment Market- Competitive Landscape
- 4.1 Company market share analysis
- 4.1.1 Global Real Estate Crowdfunding Investment Market: company market share, 2021
- 4.2 Strategic development
- 4.2.1 Acquisitions & mergers
- 4.2.2 New Product launches
- 4.2.3 Agreements, partnerships, collaborations, and joint ventures
- 4.2.4 Research and development and Regional expansion
- 4.3 Price trend analysis
- 4.1 Company market share analysis
- Chapter 5. Global Real Estate Crowdfunding Investment Market – Investors Analysis
- 5.1 Global Real Estate Crowdfunding Investment Market overview: By Investors
- 5.1.1 Global Real Estate Crowdfunding Investment Market share, By Investors, 2021 and 2030
- 5.2 Institutional
- 5.2.1 Global Real Estate Crowdfunding Investment Market by Institutional, 2022 – 2030 (USD Billion)
- 5.3 Individual
- 5.3.1 Global Real Estate Crowdfunding Investment Market by Individual, 2022 – 2030 (USD Billion)
- 5.1 Global Real Estate Crowdfunding Investment Market overview: By Investors
- Chapter 6. Global Real Estate Crowdfunding Investment Market – Model Analysis
- 6.1 Global Real Estate Crowdfunding Investment Market overview: By Model
- 6.1.1 Global Real Estate Crowdfunding Investment Market share, By Model, 2021 and 2030
- 6.2 Equity
- 6.2.1 Global Real Estate Crowdfunding Investment Market by Equity, 2022 – 2030 (USD Billion)
- 6.3 Lending
- 6.3.1 Global Real Estate Crowdfunding Investment Market by Lending, 2022 – 2030 (USD Billion)
- 6.1 Global Real Estate Crowdfunding Investment Market overview: By Model
- Chapter 7. Global Real Estate Crowdfunding Investment Market – Sector Analysis
- 7.1 Global Real Estate Crowdfunding Investment Market overview: By Sector
- 7.1.1 Global Real Estate Crowdfunding Investment Market share, By Sector, 2021 and 2030
- 7.2 Commercial & Industrial
- 7.2.1 Global Real Estate Crowdfunding Investment Market by Commercial & Industrial, 2022 – 2030 (USD Billion)
- 7.3 Residential
- 7.3.1 Global Real Estate Crowdfunding Investment Market by Residential, 2022 – 2030 (USD Billion)
- 7.1 Global Real Estate Crowdfunding Investment Market overview: By Sector
- Chapter 8. Real Estate Crowdfunding Investment Market – Regional Analysis
- 8.1 Global Real Estate Crowdfunding Investment Market Regional Overview
- 8.2 Global Real Estate Crowdfunding Investment Market Share, by Region, 2021 & 2030 (USD Billion)
- 8.3. North America
- 8.3.1 North America Real Estate Crowdfunding Investment Market, 2022 – 2030 (USD Billion)
- 8.3.1.1 North America Real Estate Crowdfunding Investment Market, by Country, 2022 – 2030 (USD Billion)
- 8.3.1 North America Real Estate Crowdfunding Investment Market, 2022 – 2030 (USD Billion)
- 8.4 North America Real Estate Crowdfunding Investment Market, by Investors, 2022 – 2030
- 8.4.1 North America Real Estate Crowdfunding Investment Market, by Investors, 2022 – 2030 (USD Billion)
- 8.5 North America Real Estate Crowdfunding Investment Market, by Model, 2022 – 2030
- 8.5.1 North America Real Estate Crowdfunding Investment Market, by Model, 2022 – 2030 (USD Billion)
- 8.6 North America Real Estate Crowdfunding Investment Market, by Sector, 2022 – 2030
- 8.6.1 North America Real Estate Crowdfunding Investment Market, by Sector, 2022 – 2030 (USD Billion)
- 8.4. Europe
- 8.4.2 Europe Real Estate Crowdfunding Investment Market, 2022 – 2030 (USD Billion)
- 8.4.2.1 Europe Real Estate Crowdfunding Investment Market, by Country, 2022 – 2030 (USD Billion)
- 8.4.2 Europe Real Estate Crowdfunding Investment Market, 2022 – 2030 (USD Billion)
- 8.4 Europe Real Estate Crowdfunding Investment Market, by Investors, 2022 – 2030
- 8.4.1 Europe Real Estate Crowdfunding Investment Market, by Investors, 2022 – 2030 (USD Billion)
- 8.5 Europe Real Estate Crowdfunding Investment Market, by Model, 2022 – 2030
- 8.5.1 Europe Real Estate Crowdfunding Investment Market, by Model, 2022 – 2030 (USD Billion)
- 8.6 Europe Real Estate Crowdfunding Investment Market, by Sector, 2022 – 2030
- 8.6.1 Europe Real Estate Crowdfunding Investment Market, by Sector, 2022 – 2030 (USD Billion)
- 8.5. Asia Pacific
- 8.5.3 Asia Pacific Real Estate Crowdfunding Investment Market, 2022 – 2030 (USD Billion)
- 8.5.3.1 Asia Pacific Real Estate Crowdfunding Investment Market, by Country, 2022 – 2030 (USD Billion)
- 8.5.3 Asia Pacific Real Estate Crowdfunding Investment Market, 2022 – 2030 (USD Billion)
- 8.4 Asia Pacific Real Estate Crowdfunding Investment Market, by Investors, 2022 – 2030
- 8.4.1 Asia Pacific Real Estate Crowdfunding Investment Market, by Investors, 2022 – 2030 (USD Billion)
- 8.5 Asia Pacific Real Estate Crowdfunding Investment Market, by Model, 2022 – 2030
- 8.5.1 Asia Pacific Real Estate Crowdfunding Investment Market, by Model, 2022 – 2030 (USD Billion)
- 8.6 Asia Pacific Real Estate Crowdfunding Investment Market, by Sector, 2022 – 2030
- 8.6.1 Asia Pacific Real Estate Crowdfunding Investment Market, by Sector, 2022 – 2030 (USD Billion)
- 8.6. Latin America
- 8.6.4 Latin America Real Estate Crowdfunding Investment Market, 2022 – 2030 (USD Billion)
- 8.6.4.1 Latin America Real Estate Crowdfunding Investment Market, by Country, 2022 – 2030 (USD Billion)
- 8.6.4 Latin America Real Estate Crowdfunding Investment Market, 2022 – 2030 (USD Billion)
- 8.4 Latin America Real Estate Crowdfunding Investment Market, by Investors, 2022 – 2030
- 8.4.1 Latin America Real Estate Crowdfunding Investment Market, by Investors, 2022 – 2030 (USD Billion)
- 8.5 Latin America Real Estate Crowdfunding Investment Market, by Model, 2022 – 2030
- 8.5.1 Latin America Real Estate Crowdfunding Investment Market, by Model, 2022 – 2030 (USD Billion)
- 8.6 Latin America Real Estate Crowdfunding Investment Market, by Sector, 2022 – 2030
- 8.6.1 Latin America Real Estate Crowdfunding Investment Market, by Sector, 2022 – 2030 (USD Billion)
- 8.7. The Middle-East and Africa
- 8.7.5 The Middle-East and Africa Real Estate Crowdfunding Investment Market, 2022 – 2030 (USD Billion)
- 8.7.5.1 The Middle-East and Africa Real Estate Crowdfunding Investment Market, by Country, 2022 – 2030 (USD Billion)
- 8.7.5 The Middle-East and Africa Real Estate Crowdfunding Investment Market, 2022 – 2030 (USD Billion)
- 8.4 The Middle-East and Africa Real Estate Crowdfunding Investment Market, by Investors, 2022 – 2030
- 8.4.1 The Middle-East and Africa Real Estate Crowdfunding Investment Market, by Investors, 2022 – 2030 (USD Billion)
- 8.5 The Middle-East and Africa Real Estate Crowdfunding Investment Market, by Model, 2022 – 2030
- 8.5.1 The Middle-East and Africa Real Estate Crowdfunding Investment Market, by Model, 2022 – 2030 (USD Billion)
- 8.6 The Middle-East and Africa Real Estate Crowdfunding Investment Market, by Sector, 2022 – 2030
- 8.6.1 The Middle-East and Africa Real Estate Crowdfunding Investment Market, by Sector, 2022 – 2030 (USD Billion)
- Chapter 9. Company Profiles
- 9.1 DiversyFund Inc.
- 9.1.1 Overview
- 9.1.2 Financials
- 9.1.3 Product Portfolio
- 9.1.4 Business Strategy
- 9.1.5 Recent Developments
- 9.2 Crowdestate AS
- 9.2.1 Overview
- 9.2.2 Financials
- 9.2.3 Product Portfolio
- 9.2.4 Business Strategy
- 9.2.5 Recent Developments
- 9.3 Groundbreaker Technologies Inc.
- 9.3.1 Overview
- 9.3.2 Financials
- 9.3.3 Product Portfolio
- 9.3.4 Business Strategy
- 9.3.5 Recent Developments
- 9.4 Groundfloor Finance Inc.
- 9.4.1 Overview
- 9.4.2 Financials
- 9.4.3 Product Portfolio
- 9.4.4 Business Strategy
- 9.4.5 Recent Developments
- 9.5 CrowdStreet Inc.
- 9.5.1 Overview
- 9.5.2 Financials
- 9.5.3 Product Portfolio
- 9.5.4 Business Strategy
- 9.5.5 Recent Developments
- 9.6 Fundrise LLC
- 9.6.1 Overview
- 9.6.2 Financials
- 9.6.3 Product Portfolio
- 9.6.4 Business Strategy
- 9.6.5 Recent Developments
- 9.7 RealCrowd Inc.
- 9.7.1 Overview
- 9.7.2 Financials
- 9.7.3 Product Portfolio
- 9.7.4 Business Strategy
- 9.7.5 Recent Developments
- 9.8 EstateGuru OÜ
- 9.8.1 Overview
- 9.8.2 Financials
- 9.8.3 Product Portfolio
- 9.8.4 Business Strategy
- 9.8.5 Recent Developments
- 9.9 RM Technologies LLC.
- 9.9.1 Overview
- 9.9.2 Financials
- 9.9.3 Product Portfolio
- 9.9.4 Business Strategy
- 9.9.5 Recent Developments
- 9.10 AHP Servicing LLC
- 9.10.1 Overview
- 9.10.2 Financials
- 9.10.3 Product Portfolio
- 9.10.4 Business Strategy
- 9.10.5 Recent Developments
- 9.1 DiversyFund Inc.
List Of Figures
Figures No 1 to 22
List Of Tables
Tables No 1 to 77
Report Methodology
In order to get the most precise estimates and forecasts possible, Custom Market Insights applies a detailed and adaptive research methodology centered on reducing deviations. For segregating and assessing quantitative aspects of the market, the company uses a combination of top-down and bottom-up approaches. Furthermore, data triangulation, which examines the market from three different aspects, is a recurring theme in all of our research reports. The following are critical components of the methodology used in all of our studies:
Preliminary Data Mining
On a broad scale, raw market information is retrieved and compiled. Data is constantly screened to make sure that only substantiated and verified sources are taken into account. Furthermore, data is mined from a plethora of reports in our archive and also a number of reputed & reliable paid databases. To gain a detailed understanding of the business, it is necessary to know the entire product life cycle and to facilitate this, we gather data from different suppliers, distributors, and buyers.
Surveys, technological conferences, and trade magazines are used to identify technical issues and trends. Technical data is also gathered from the standpoint of intellectual property, with a focus on freedom of movement and white space. The dynamics of the industry in terms of drivers, restraints, and valuation trends are also gathered. As a result, the content created contains a diverse range of original data, which is then cross-validated and verified with published sources.
Statistical Model
Simulation models are used to generate our business estimates and forecasts. For each study, a one-of-a-kind model is created. Data gathered for market dynamics, the digital landscape, development services, and valuation patterns are fed into the prototype and analyzed concurrently. These factors are compared, and their effect over the projected timeline is quantified using correlation, regression, and statistical modeling. Market forecasting is accomplished through the use of a combination of economic techniques, technical analysis, industry experience, and domain knowledge.
Short-term forecasting is typically done with econometric models, while long-term forecasting is done with technological market models. These are based on a synthesis of the technological environment, legal frameworks, economic outlook, and business regulations. Bottom-up market evaluation is favored, with crucial regional markets reviewed as distinct entities and data integration to acquire worldwide estimates. This is essential for gaining a thorough knowledge of the industry and ensuring that errors are kept to a minimum.
Some of the variables taken into account for forecasting are as follows:
• Industry drivers and constraints, as well as their current and projected impact
• The raw material case, as well as supply-versus-price trends
• Current volume and projected volume growth through 2030
We allocate weights to these variables and use weighted average analysis to determine the estimated market growth rate.
Primary Validation
This is the final step in our report’s estimating and forecasting process. Extensive primary interviews are carried out, both in-person and over the phone, to validate our findings and the assumptions that led to them.
Leading companies from across the supply chain, including suppliers, technology companies, subject matter experts, and buyers, use techniques like interviewing to ensure a comprehensive and non-biased overview of the business. These interviews are conducted all over the world, with the help of local staff and translators, to overcome language barriers.
Primary interviews not only aid with data validation, but also offer additional important insight into the industry, existing business scenario, and future projections, thereby improving the quality of our reports.
All of our estimates and forecasts are validated through extensive research work with key industry participants (KIPs), which typically include:
• Market leaders
• Suppliers of raw materials
• Suppliers of raw materials
• Buyers.
The following are the primary research objectives:
• To ensure the accuracy and acceptability of our data.
• Gaining an understanding of the current market and future projections.
Data Collection Matrix
Perspective | Primary research | Secondary research |
Supply-side |
|
|
Demand-side |
|
|
Market Analysis Matrix
Qualitative analysis | Quantitative analysis |
|
|
List of the prominent players in the global Real Estate Crowdfunding Investment market:
- DiversyFund, Inc.
- Crowdestate AS
- Groundbreaker Technologies, Inc.
- Groundfloor Finance Inc.
- CrowdStreet, Inc.
- Fundrise, LLC
- RealCrowd, Inc.
- EstateGuru OÜ
- RM Technologies LLC.
- AHP Servicing LLC
- Others
FAQs
“Asia Pacific” region will lead the global Real Estate Crowdfunding Investment market during the forecast period 2022 to 2030.
In recent years, there has been a considerable increase in commercial real estate operations, including building homes, apartments, duplexes, schools, hospitals, and other facilities. These trends have resulted in increased demand for investment to support these endeavors, which is anticipated to fuel the rise of crowdfunding platforms in the upcoming years.
The key players operating in the Real Estate Crowdfunding Investment market are DiversyFund, Inc., Crowdestate AS, Groundbreaker Technologies, Inc., Groundfloor Finance Inc., CrowdStreet, Inc., Fundrise, LLC, RealCrowd, Inc., EstateGuru OÜ, RM Technologies LLC., AHP Servicing LLC, and Others.
The global Real Estate Crowdfunding Investment market is expanding growth with a CAGR of approximately 45% during the forecast period (2022 to 2030).
The global Real Estate Crowdfunding Investment market size was valued at USD 10.8 billion in 2021 and it is projected to reach around USD 250 billion by 2030.