PropTech Market

PropTech Market Size:

The global proptech market size reached USD 35.4 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 114.8 Billion by 2033, exhibiting a growth rate (CAGR) of 13.25% during 2025-2033. Asia Pacific represents the largest region owing to implementation of government support for smart city programs. Additionally, the market is experiencing rapid growth due to the increasing urbanization, shifting consumer preferences toward digital platforms, rising investment in property technology startups, rapid advancements in technology, and the growing focus on sustainability and smart building solutions.

Proptech industry is going through a quick changeover, and various technological advancements are deciding the way in which the real estate sector is transforming. Since real estate laws are getting more complicated, proptech companies are developing compliance technology that is facilitating faster legal procedures. Automated platforms are making it sure there is compliance with property laws, taxation policies, and tenancy conditions. Governments are promoting digital property registers, and businesses are responding by providing platforms that minimize documentation and shorten bureaucratic lag. Technologies for compliance are mitigating risks for investors and providing transparency for stakeholders. The adoption of proptech is growing across the world, with North America, Europe, and Asia-Pacific being at the forefront of innovation. Emerging markets are catching up as mobile-first consumers are demanding access to digital property solutions. Local ventures are incorporating international technologies into local markets, and foreign companies are expanding to new markets through acquisition and partnerships.

PropTech Market Trends:

Increasing Demand for Real Estate Digitalization

The proptech sector is expanding with the increasing demand for real estate digitalization. Customers are expecting more efficient processes, immediate access to property data, and open communication. Real estate firms are adapting by making property listings digital, facilitating virtual tours, and providing mobile-first platforms that are reducing complicated transactions. Buyers and renters are tapping into property information in real-time, and agents and brokers are servicing customer relationships more effectively with integrated platforms. Mortgage approvals, lease signings, and property management activities are becoming digital-first experiences, which is cutting delays and paperwork. The increasing use of digital platforms is tracking with the larger trend of digital transformation across sectors. In 2024, MagicDoor launched the first AI-native property management software platform in the industry, representing a major breakthrough for the prop-tech field. The firm effectively obtained more than $2 million in pre-seed financing, with backing from investors like Shadow Ventures, alongside significant angels, potential clients, and the founder's personal investment. This capital investment facilitated the enhancement of new features in MagicDoor's groundbreaking AI-driven software solution and advance sales, marketing, and onboarding initiatives.

Sustainability and Energy Efficiency Needs

The movement toward sustainability is impressively fueling the proptech market, with governments, investors, and consumers placing utmost importance on green real estate solutions. Property developers are embracing smart technologies that are tracking energy use, water consumption, and carbon outputs. Internet of Things (IoT)-powered sensors are monitoring the performance of buildings and enhancing energy efficiency in real time. Tenants are looking for green-certified premises, whereas landlords are incorporating sustainable practices to appeal to eco-friendly occupants. Proptech businesses are offering digital solutions that are assisting property owners in meeting ESG requirements and green building standards. Capital is being invested in technologies that are lowering environmental impacts and enabling long-term value creation. With regulatory environments tightening up across the world, the demand for sustainability-oriented solutions is growing fast. In 2025, The Earth Fund has partnered with Gruhas, led by Nikhil Kamath and Abhijeet Pai, to establish a new investment fund focused on sustainability and proptech, with a total corpus of Rs 200 crore and an extra Rs 100 crore in green-shoe option. The Fund created by Brigade Group’s Zoiros Projects Private Limited intends to invest in 10 to 15 startups, targeting an average investment of approximately $1-$2 million.

Rising Investment and Venture Capital Funding

The proptech industry is growing strongly as venture capital investment and fundraising are increasing. Investors globally are seeing the promise of digital solutions in revolutionizing conventional real estate procedures, and flows of capital are driving innovation across the industry. Startups are getting funded to build platforms scalable, analytics-driven by artificial intelligence (AI), and blockchain transaction systems. Large established companies are buying smaller ones to diversify products and stay competitive. This capital inflow is driving research and development, which is driving the entry of sophisticated technologies that are solving market problems. Since investors are looking for long-term value and potential for disruption, proptech is turning out to be a promising sector with high growth potential. The steady flow of capital is also pushing cross-border growth, with firms scaling up to new markets. IMARC Group expects that the global venture capital investment market is projected to reach USD 1,458.78 Billion by 2033.

Proptech Market Growth Drivers:

Changing Behavior and Expectations

The proptech sector is growing as changing expectations are progressing very quickly. Purchasers, tenants, and investors are more and more requiring speedier, clearer, and more personalized property experience. Digital-native generations such as millennials and Gen Z are looking for mobile apps, instant comparisons of properties, and virtual walk-throughs that are eliminating the need for on-site visits. Buyers are looking for 24/7 information access, frictionless communication, and fast decision-making tools. Real estate businesses are reacting with AI-powered chatbots, personalized recommendation engines, and mobile-optimized platforms. The conventional dependence on face-to-face interactions and paper documents is on the decline, as online engagement becomes the norm. With changing habits being aligned toward convenience and instant gratification, the need for sophisticated proptech applications is gaining momentum. This transformation is altering the dynamics of competition in the real estate space, as companies understand that staying abreast of digital expectations is not a choice but imperative to win over and retain contemporary consumers.

Artificial Intelligence (AI) and Data Analytics Advances

AI and data analytics are also focusing as a key growth driver for the proptech market, given that stakeholders are making decisions on the basis of data-driven insights. Businesses are employing predictive analytics to project rental demand, price products, and predict market trends with greater precision. AI programs are processing huge amounts of property information, consumer trends, and financial data to provide actionable insights in real time. Real estate investors are getting helped through risk analysis and portfolio optimization, while tenants are getting personalized suggestions based on budgets and preferences. Customer service is greatly enhanced as AI-powered chatbots are responding instantly to queries and minimizing response times. The capacity to analyze and interpret richer datasets is providing businesses with a competitive advantage, and innovation here is ongoing at a faster pace. With the sector focusing on wiser decision-making, combining AI and analytics is emerging as a bedrock of proptech innovation.

International Expansion and Cross-Border Real Estate Investing

The proptech industry is getting stronger as international expansion and cross-border real estate investing is on the rise. Foreign investors want to find opportunities in diversified real estate markets, and online platforms are facilitating easy access to international listings. Proptech firms are developing products that are making cross-border property transactions easier, ensuring local regulation compliance, and providing secure payment mechanisms. Virtual property tours, blockchain-based verification of ownership, and digital identity management solutions are facilitating transparent and efficient international real estate investments. Local startups are also teaming up with international platforms to scale solutions to local markets, and incumbent players are growing through acquisitions and partnerships. With mobility and digital connectivity on the rise globally, investors are also looking for real estate opportunities outside domestic markets.

PropTech Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the global, regional, and country levels for 2025-2033. Our report has categorized the market based on solution, deployment mode, property type, and end use.

Breakup by Solution:

• Software
• Services

Software accounts for the majority of the market share

The report has provided a detailed breakup and analysis of the market based on the solution. This includes software and services. According to the report, software represented the largest segment.

The proptech market latest trends indicate that software holds the largest segment due to its ability to streamline real estate processes and improve efficiency in property management, transactions, and data analysis. In addition to this, solutions such as property management software, customer relationship management (CRM) tools, and data analytics platforms are increasingly being adopted by real estate firms to enhance decision-making, automate workflows, and improve client interactions, driving the segment's dominance. Besides this, it enables real-time monitoring, better financial management, and seamless communication between tenants, landlords, and property managers, significantly reducing operational costs.

Breakup by Deployment Mode:

• Cloud-based
• On premises

On-premises holds the largest share of the industry

A detailed breakup and analysis of the market based on the deployment mode have also been provided in the report. This includes cloud-based and on-premises. According to the report, on-premises accounted for the largest market share.

Based on the proptech market outlook, on-premises deployment accounted for the largest segment, driven by the need for enhanced data control, security, and customization in real estate operations. Moreover, the growing preference among companies for on-premises solutions to maintain full ownership of their data and systems, particularly when dealing with sensitive financial and client information, is boosting the market growth. Along with this, this mode allows real estate firms to tailor the software to their specific operational needs, integrate it with existing systems, and ensure compliance with regulatory requirements.

Breakup by Property Type:

• Residential
• Commercial

Residential represents the leading market segment 

The report has provided a detailed breakup and analysis of the market based on the property type. This includes residential and commercial. According to the report, residential represented the largest segment.

As per the proptech market segmentation, the residential segment represented the largest share, driven by the rising demand for digital tools that streamline property buying, selling, and renting processes. Moreover, the increasing adoption of online platforms by homebuyers and renters for virtual property tours, digital transactions, and property management services is creating a positive outlook for the market. Besides this, the rising innovations such as artificial intelligence (AI)-powered pricing models, blockchain-based smart contracts, and the Internet of Things (IoT)-enabled smart homes that enhance convenience, security, and transparency are fueling the market growth.

Breakup by End Use:

• Housing Associations
• Property Managers/ Agents
• Property Investors
• Others

Housing associations exhibits a clear dominance in the market 

A detailed breakup and analysis of the market based on the end use have also been provided in the report. This includes housing associations, property managers/ agents, property investors, and others. According to the report, housing associations accounted for the largest market share.

Based on the proptech market report, housing associations represented the largest segment, driven by their need to manage large portfolios of residential properties efficiently. Moreover, these organizations rely on proptech solutions to streamline maintenance workflows, automate rent collection, and enhance tenant communication while ensuring regulatory compliance. Besides this, the rising adoption of property management software, IoT-enabled smart buildings, and data analytics that help housing associations reduce operational costs, improve tenant satisfaction, and optimize asset management is catalyzing the market growth.

Breakup by Region:

• North America
  • United States
  • Canada
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Others
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa

The report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Europe (Germany, France, the United Kingdom, Italy, Spain, and others); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa.

The Asia Pacific region is witnessing rapid growth in the proptech market, driven by increasing urbanization, rising property investments, and widespread digital adoption. Moreover, the heightened demand for smart buildings, property management software, and digital transaction platforms as residential and commercial real estate sectors expand is fueling the market growth.

In Europe, the proptech market is characterized by strong regulatory frameworks, sustainability initiatives, and a mature real estate market. Moreover, the increasing adoption of proptech solutions that enhance energy efficiency, property management, and real estate transactions is favoring the market growth. Additionally, the growing focus on sustainability and green building practices, propelling the integration of smart technologies into buildings, is enhancing the proptech market size.

The proptech market size is expanding in North America, driven by the early adoption of advanced technologies such as artificial intelligence (AI), blockchain, and big data in real estate. Additionally, the increasing utilization of digital tools for property management, real estate investments, and smart building solutions is favoring the market growth. Apart from this, the well-established real estate market, coupled with a strong venture capital ecosystem supporting proptech startups, is driving the market growth.

In Latin America, the proptech market is expanding as more real estate companies adopt digital solutions to address challenges such as property management inefficiencies, fragmented markets, and slow transaction processes. Furthermore, the growing investments in platforms that facilitate online property transactions, rental management, and construction technologies are boosting the proptech market share.

The proptech market in the Middle East and Africa is gaining momentum, driven by significant real estate developments and a growing focus on smart city projects. Moreover, the increasing adoption of proptech solutions in high-end residential and commercial real estate sectors is stimulating the market growth. Additionally, the rising utilization of digital platforms for property transactions and management to modernize the real estate industry across the region is fueling the market growth.

Competitive Landscape:

• The market research report has also provided a comprehensive analysis of the competitive landscape in the market. Detailed profiles of all major companies have also been provided. Some of the major market players in the proptech industry include Ascendix Tech, Guesty Inc., ManageCasa Inc., PropertyGuru Pte Ltd, PropTech Group (MRI Software), Vergesense Inc, Yanolja Co. Ltd, Zumper Inc., etc.
  
  (Please note that this is only a partial list of the key players, and the complete list is provided in the report.)
   
• The leading companies are focusing on innovation and strategic partnerships to gain a competitive edge. They are investing in advanced technologies such as artificial intelligence (AI), blockchain, the Internet of Things (IoT), and big data analytics to enhance property management, streamline transactions, and improve customer experiences. Moreover, key firms are developing smart property solutions, including digital platforms for virtual tours, online real estate transactions, and AI-driven property valuations. Additionally, they are focusing on sustainability by developing smart building technologies that improve energy efficiency and reduce operational costs.

PropTech Market News:

• In September 2025, Holo, a digital mortgage platform from the UAE, secured 22 million dollars in a Series A funding round led by Impact46, with backing from Mubadala and additional investors to enhance its growth throughout the GCC.
• In May 2025, Alt DRX, a tokenized marketplace for digital real estate, has secured $2.7 million (approximately Rs 23 crore) to grow its operations. On Monday, the company announced that it has "completed its Pre-Series A funding round, securing Rs 23 crore ($2.7 million)." The round saw involvement from investors including Qatar Development Bank, Times of India Brand Capital, Hindustan Media Ventures, Zee Group, WeFounder Circle Angel Fund, and nX Capital, along with angel investors like Harsha Bhogle (Golden Voice of Cricket), Parthasarathy (Founder of Mindtree), and Richard Rekhy (former CEO of KPMG India).
• In August 2025, Property Sense, a build-to-rent property provider located in Stockport, has obtained £1m in investment to further its ambitious initiatives and is now expanding the round by an additional £1m because of oversubscription and interest from early-stage VCs. The £2m funding round is a significant milestone for the rapidly expanding business, which aims to revolutionize residential lease-up with innovative, scalable technology solutions, mainly targeting the UK BTR market.
• In August 2025, Aawas Yojana, India’s rapidly growing housing technology platform, called on national policymakers, guided by the visionary leadership of Hon'ble Prime Minister Shri Narendra Modi, to support a nationwide PropTech Rehabilitation Mission. By effectively combining GovTech and PropTech elements—escrow-first payments, AI-verified titles, and blockchain-supported contracts—this untapped inventory can be quickly capitalized on, generating employment, revenue, and public confidence.
• In July 2025, Lone Wolf Technologies ("Lone Wolf"), the top provider of residential real estate software, has unveiled PropTech Pulse, a fresh bi-monthly podcast aimed at providing valuable insights regarding real estate technology in merely 20 minutes per episode. Led by Aaron Kardell, Kyle Hunter, and Jake Hamilton of Lone Wolf, PropTech Pulse includes comprehensive discussions with industry pioneers, leaders, and disruptors who provide practical insights on the technologies and strategies influencing real estate currently. The podcast discusses the difficulties real estate agents encounter in keeping up with tech trends while balancing busy schedules.
• In May 2024, Guesty Inc. acquired Rentals United, a Barcelona, Spain-based provider of a cloud platform to distribute and promote properties across several listing sites. The acquisition combines two software providers in the short-tern rental (STR) space to create a consistent offering that opens up new revenue opportunities for property managers. Rentals United will retain its independence and continue to operate as a standalone business with its executive team leading its operations and development.

PropTech Market Report Scope:

Key Questions Answered in This Report:

• How has the global proptech market performed so far, and how will it perform in the coming years?
• What are the drivers, restraints, and opportunities in the global proptech market?
• What is the impact of each driver, restraint, and opportunity on the global proptech market?
• What are the key regional markets?
• Which countries represent the most attractive proptech market?
• What is the breakup of the market based on the solution?
• Which is the most attractive solution in the proptech market?
• What is the breakup of the market based on the deployment mode?
• Which is the most attractive deployment mode in the proptech market?
• What is the breakup of the market based on the property type?
• Which is the most attractive property type in the proptech market?
• What is the breakup of the market based on the end use?
• Which is the most attractive end use in the proptech market?
• What is the competitive structure of the market?
• Who are the key players/companies in the global proptech market?

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the proptech market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the global proptech market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the proptech industry and its attractiveness.
• The competitive landscape allows stakeholders to understand their competitive environment and provides insight into the current positions of key players in the market.