AI in the Real Estate Market: Opportunities, Market Share, Growth Trends, Competitive Analysis, and Forecast
The Business Research Company’s AI in Real Estate Global Market Report 2026 – Market Size, Trends, And Forecast 2026-2035
LONDON, GREATER LONDON, UNITED KINGDOM, January 9, 2026 /EINPresswire.com/ -- The integration of artificial intelligence into the real estate sector is transforming how properties are managed, valued, and marketed. As technology continues to evolve, AI is becoming an essential tool for stakeholders aiming to improve efficiency and customer experience. This overview explores the current market size, key drivers, regional dominance, and emerging trends shaping the AI in real estate domain from 2024 to 2029.
Steady Expansion of the AI in Real Estate Market Size
The AI in real estate market has experienced remarkable growth in recent years. It is projected to increase from $222.65 billion in 2024 to $301.58 billion in 2025, reflecting a compound annual growth rate (CAGR) of 35.5%. This surge during the historic period can be linked to advancements in market analytics and forecasting, the use of chatbots and virtual assistants, improvements in property valuation and prediction, more refined property search capabilities, and automation in property management systems.
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Future Growth Trajectory for AI in Real Estate
Looking ahead, the market is anticipated to expand even more rapidly, reaching $975.24 billion by 2029 with a CAGR of 34.1%. This forecasted growth is driven by increasing priorities such as data security, tailored real estate services, enhanced market forecasting and trend analysis, improved customer engagement, and the rising demand for smart building solutions. Key market trends during this period include personalized customer experiences, predictive analytics for property valuation, advanced property search tools, virtual tours and visualization technologies, and automated property management platforms.
Defining AI in the Real Estate Sector
Artificial intelligence in real estate involves employing AI technologies and methodologies to optimize various facets of the industry. This includes using computer algorithms and systems capable of analyzing vast datasets, recognizing patterns, and generating intelligent insights or recommendations. These applications cover areas such as real estate transactions, property management, customer service, and market analysis, all aimed at increasing efficiency and accuracy.
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How IoT Adoption Fuels AI Growth in Real Estate
One of the main factors accelerating the AI in real estate market is the widespread adoption of Internet of Things (IoT) devices. These devices—embedded with sensors, software, and connectivity—collect and exchange data over the internet, enabling smarter management of properties. AI leverages data from IoT for functions like market and leasing analysis, predictive maintenance, utility management, and enhancing tenant experiences. For example, the State of IoT—Spring 2022 report highlighted that in 2021, there were 12.2 billion active IoT endpoints, marking an 8% year-over-year increase. Moreover, the IoT industry was expected to grow by 18% in 2022, reaching 14.4 billion active connections. This rising penetration of IoT technology is a significant driver behind AI’s expanding role in real estate.
Regional Leaders in the AI in Real Estate Market
In 2024, North America stood as the dominant region within the AI in real estate market. The comprehensive market report includes analysis across Asia-Pacific, Western Europe, Eastern Europe, North America, South America, the Middle East, and Africa, offering a global perspective on market dynamics and regional growth opportunities.
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