close
close

Mondor Festival

News with a Local Lens

    • What’s on the horizon for the global proptech industry in 2025? – News
    minsta

    What’s on the horizon for the global proptech industry in 2025? – News

    Pabio Posted on

    Image for illustrative purposes only

    Image for illustrative purposes only

    If I had to give one piece of advice to anyone embarking on a career in real estate, it would be this: be prepared to adapt.

    From design and construction to delivery and operation, the real estate industry is constantly evolving. In recent years, real estate technology – commonly referred to as “proptech” – has become a catalyst for positive change in our industry. As founder and CEO of Prypco, I have had the privilege of contributing to this transformation.

    Whichever way you look at it, proptech has had a meteoric rise. IMARC data places the sector’s global market size at around $31 billion in 2023. Analysts at Precedence Research estimate the industry is now worth more than $40 billion and expect that figure to rise grows to around $179 billion over the coming decade, representing a solid compound. annual growth rate (CAGR) of 16 percent during 2024-34.

    These numbers speak for themselves. Proptech is big business, but even more so: it drives tangible improvements in the way consumers buy, sell, invest and manage real estate. With this in mind, I decided to explore some global proptech trends to watch out for in 2025.




    Greater accessibility

    In my opinion, proptech’s success in democratizing real estate – particularly through models such as fractional ownership – has been one of the main reasons for the sector’s rapid growth. If you’re new to fractional ownership and want to learn more, I’ve published a complete beginner’s guide. Fractional ownership refers to the practice of multiple investors combining their resources to acquire shares in the same property.

    This model is attracting more and more adopters, particularly in the United Arab Emirates where products like Prypco Blocks allow users to invest in real estate from as little as Dh500. Powered by the latest blockchain technology, these platforms make real estate a realistic investment opportunity for people who would otherwise not have the capital to acquire assets through traditional channels.

    Simply put, shared ownership plays a pivotal role in expanding accessibility within our industry, and I expect this innovative model to gain even more traction in the coming year.

    Improved precision and efficiency

    Another trend I expect to see in 2025 is the widespread integration of artificial intelligence (AI), which has the potential to significantly improve processes across the global proptech landscape.

    The latest AI-based tools have the ability to refine real estate valuations, improve market forecasts and optimize the operational efficiency of built assets. Likewise, by making better use of available data, proptech platforms can offer more personalized user experiences and facilitate data-driven investment strategies.

    Amira Sajwani, Managing Director of Damac Properties, Founder and CEO of Prypco, Founder and COO of Amali Properties.

    Amira Sajwani, Managing Director of Damac Properties, Founder and CEO of Prypco, Founder and COO of Amali Properties.

    Fortunately, the global proptech sector has been taking these capabilities seriously for some time. According to JLL’s report, AI and generative AI rank among the top three technologies likely to have the greatest impact on real estate, with investments in AI-related technologies reaching $630 million last year.

    As such, I anticipate AI will continue to play an increasingly important role in the evolution of proptech over the next 12 months.

    More choice for consumers

    The final trend I would like to highlight is the ever-increasing range of tools and products available to proptech consumers.

    Fractional ownership represents a central part of global proptech innovation, but it is by no means the only benefit offered. For example, Proptech-based mortgage tools allow users to get pre-approved in minutes. In the UAE, leading proptech platforms are also leveraging the latest technologies to enable eligible foreign professionals and real estate investors to streamline their visa application activities.

    In other market segments, innovators are developing equally impressive tools that are accelerating advances in smart home technologies, sustainable and energy-efficient systems, and much more. This proliferation of products and services has only been possible thanks to the rapid evolution of capabilities in the proptech space, and I fully expect to see even broader choices for consumers throughout 2025 and beyond.

    Although increased accessibility, improved precision and efficiency, and increased choice seem destined to strengthen the global proptech industry over the next year, one of the main reasons I find this sector so attractive is its ability to surprise me. I also relish the opportunity to drive new proptech-related advancements in collaboration with my colleagues, defining new trends that deliver previously untapped benefits to customers.

    With this in mind, whatever the future of global proptech in 2025, I expect an extremely bright new period for our sector.

    Amira Sajwani is Managing Director of Damac Properties, Founder and CEO of Prypco, Founder and COO of Amali Properties.



    Pabio
    View all posts

    You Might Also Like