Things To Know About Global Real Estate Value

When it comes to representing people’s wealth these days, one doesn’t go for the amount of money a person has in their bank account rather, it is the number of real estate investments they have made. Real estate is one of the safest and most secure investment vehicles which is why more and more are pouring in their hard earned money in these immovable and secure assets.

As per SmartOwner`s recent blog post, a survey was conducted by the Federal Reserve’s SCF (or Survey of Consumer Finances) of the United States. The statistical data shows that more than 65 percent of the American population is the owner of their residence.

One might point out that way to take the example of the US’s real estate market well, it is one of the leading in terms of growth and net worth – that’s why. To put it bluntly, the scale and size of the real estate sector make it all the more lucrative and attractive for long term investments.

With that information in mind, it is best to read the following sections that shed some light on the facts about global real estate value:

  • Statistical data shows that by the end of the year 2017, the net worth of the global real estate sector reached a whopping two hundred and eighty something US dollars! If one takes a peek at the records, it is around 6+ percent growth on an annual basis.
  • If one is interested in the global GDP then real estate is by far, can be considered as the best representative. It represents more than three times the total GDP of the world.
  • When it comes to matured markets for residential real estate, then the sectors that saw a rise in its value in Europe and North America.
  • In the case of residential real estate value, China is the largest shareholder in the world. Several factors contributed to this – the growth of national house price (by up to sixteen percent) and rapid construction of buildings along with emerging markets due to increasing population.
  • If one takes a closer look at the commercial real estate share of the world, it would be clear that the same is more closely related to the world’s GDP share, not with the size of the global population.
  • It is true that overall the growth of the value of the real estate sector has seen some slowing down in recent years. The reason is simple – excessive pressure on the prices of commodities. With that being said, there’s no reason to frown as the ever increasing world population backed with the rise in food production and competitive use of land resources will keep on sustaining the value of global real estate sector for years to come.

The purpose of this blog was to enunciate or rather bring the reader’s attention to some factors about the global real estate sector. Investing in real estate is one of the best ways one can increase their net worth in minimal time delay. Keeping up with the latest statistics related to the global real estate market is a tried and tested way for win-win situations in real estate investments. Comprehensive research and study of global market trends is the secret to successful real estate investments.