The total value of global real estate reached $393.3 trillion at the beginning of 2025, cementing its status as the world's most significant store of wealth. According to a new report from Savills, the property market's value is approximately four times the size of the global Gross Domestic Product (GDP).
This massive valuation, which includes residential, commercial, and agricultural land, highlights the asset class's importance for investors and the global economy. Despite its scale, the market experienced a slight contraction in 2024, influenced by regional economic shifts.
Key Takeaways
- The total value of global real estate was recorded at $393.3 trillion at the start of 2025.
- This valuation is greater than the combined worth of global equities, debt, and gold.
- The market saw a minor annual decline of 0.5% in 2024, primarily due to falling residential values in China.
- Commercial property and agricultural land demonstrated strong growth, increasing by 4.1% and reaching a value of $47.9 trillion, respectively.
- China and the United States together account for over 44% of the world's total real estate value.
The Scale of Global Property Wealth
A comprehensive analysis by Savills reveals that the world's real estate assets are valued at $393.3 trillion. This figure underscores property's role as the primary vehicle for wealth storage on a global scale. The value of real estate has largely tracked the growth of global GDP since 2019, indicating its close connection to worldwide economic activity.
To provide context for this immense number, the total value of all gold ever mined is estimated at $20.2 trillion. This means the precious metal represents just over 5% of the value of global property. Furthermore, the real estate market's worth surpasses the combined value of all global equities and debt securities, making it the single largest asset class.
Real Estate vs. Other Assets
The $393.3 trillion valuation of global real estate makes it significantly larger than other major financial markets. For investors, this scale offers a tangible and substantial asset class for portfolio diversification and long-term wealth preservation.
Market Dynamics A Mixed Picture in 2024
While the long-term trend shows growth, the global real estate market experienced a slight annual decline of 0.5% in 2024. This modest downturn was not uniform across all regions or sectors. The report identifies that the dip was primarily driven by a decrease in residential property values.
The global average was significantly influenced by market conditions in China, where residential values saw a notable fall. This offset price increases and new construction activity that occurred in many other countries. This dynamic serves as a reminder for investors that even within the world's largest asset class, regional risks and market-specific factors remain crucial considerations.
"While the pace of growth may vary across sectors and geographies, real estate’s long-term fundamentals remain strong," said Paul Tostevin, head of Savills World Research. "It is a store of wealth, a driver of economic growth and its ability to reflect global economic shifts ensures continued relevance in an evolving landscape."
Sector Performance and Growth Drivers
A closer look at the different components of the real estate market reveals varying performance trends. While the residential sector pulled the overall average down, both commercial and agricultural properties showed robust growth.
Commercial Real Estate Shows Strength
The commercial property sector, which includes office, retail, and industrial spaces, grew by 4.1% to a total value of $58.5 trillion. This positive performance was supported by new developments and stabilizing market conditions in key regions. In the United States, for example, increased investment in manufacturing facilities, as part of a trend toward onshoring production, contributed to the sector's growth.
Agricultural Land Gains Importance
Agricultural land also demonstrated solid growth, with its total value reaching $47.9 trillion. According to Savills, this trend is supported by fundamental drivers that suggest long-term resilience. These factors include:
- A constrained supply of usable farmland
- A consistently growing global population
- Increased per capita food consumption
These elements make agricultural land an increasingly important asset for investors seeking stable, long-term returns that can withstand broader market fluctuations.
Geographic Concentration of Property Wealth
The distribution of global real estate value is highly concentrated, with a small number of countries holding the majority of the wealth. The top ten markets collectively account for 71% of the total global real estate value, highlighting the economic dominance of these nations in the property sector.
Top 10 Real Estate Markets
- China (23.5% of global value)
- United States (20.7%)
- Japan
- Germany
- United Kingdom
- France
- Canada
- Australia
- South Korea
- Italy
China stands as the world's largest single real estate market, representing 23.5% of the global total. The United States follows closely behind at 20.7%. The significant share held by these two countries underscores their influence on global property trends.
Concluding his analysis, Paul Tostevin noted, "Long-term real estate’s position as the world’s most valuable asset class looks set to remain." This suggests that despite short-term regional challenges, property is expected to continue providing security and growth potential within the complex global economy.
