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World Housing Market

  • July 2015
  • 242 pages
  • Freedonia
Report ID: 701944

Summary

Table of Contents

World demand to grow 3% annually through 2019

Worldwide construction of new housing units is forecast to increase 3.0 percent per annum to 62.6 million units in 2019. While global population growth is forecast to decelerate, declines in average household size will still allow the number of households in the world to increase 1.6 percent annually through 2019, boosting demand for new housing units. In addition, increased rural-to-urban migration, especially in developing countries, will spur construction of new housing units in urban areas.

North America, Western Europe to be fastest growing markets

North America and Western Europe are expected to experience the most rapid growth in new housing unit demand through 2019. In both cases, gains will rise from depressed 2014 bases, with many countries recovering from the collapse of housing bubbles. Several of the countries that experienced the most severe downturns, including the United States and some countries in Western Europe, will experience double-digit annual increases in new housing units, although in most cases 2019 levels will remain below those in 2004.

Multifamily housing units to outpace single-family units

On a global basis, multifamily units are forecast to experience faster gains in new construction than single-family units through 2019, the result of increasing urbanization in many developing countries. Rural-to-urban migrations will be particularly strong in the two most populous regions -- Africa/Mideast and Asia/ Pacific -- and those new urban residents will heighten demand for multifamily housing. Construction of new multifamily units worldwide is forecast to advance 3.7 percent per annum through 2019 with the Asia/Pacific and Africa/Mideast regions accounting for over 90 percent of the increases.

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