Global Real Estate market grows 8.5%, led by U.S. property value rally

The global real estate market grew by 8.5 percent in 2021, up to $11.4 trillion from $10.5 trillion in 2020, according to the MSCI Real Estate Market Size report.

About 60 percent of the growth in the size of the real estate market in 2021 comes from the United States and China. The value of the U.S. real estate market increased by $466.3 billion to $4,116.9 billion, and China increased $123 billion to $791 billion.

China is now the fourth-largest real estate market in the world, overtaking Germany, but behind the United States, United Kingdom and Japan.

“Investors may well have expected a decline in real estate pricing and an increase in distressed opportunities following the economic impact of 2020’s global lockdowns. However, the hit to pricing was, for the most part, negligible and the flood of distressed assets never came. Instead, the market rallied in 2021 and investors globally completed transactions totaling $2.1 trillion,” said René Veerman, hea