Inflation Rate in the United States decreased to 2.30 percent in April from 2.40 percent in March of 2025. This dataset provides - United States Inflation Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

This is not going to be an article or Op-Ed about Michael Jordan. Since 2009 we've been in the longest bull-market in history, that's 11 years and counting. However a few metrics like the stock market P/E, the call to put ratio and of course the Shiller P/E suggest a great crash is coming in-between the levels of 1929 and the dot.com bubble. Mean reversion historically is inevitable and the Fed's printing money experiment could end in disaster for the stock market in late 2021 or 2022. You can read Jeremy Grantham's Last Dance article here. You are likely well aware of Michael Burry's predicament as well. It's easier for you just to skim through two related videos on this topic of a stock market crash. Michael Burry's Warning see this YouTube. Jeremy Grantham's Warning See this YouTube. Typically when there is a major event in the world, there is a crash and then a bear market and a recovery that takes many many months. In March, 2020 that's not what we saw since the Fed did some astonishing things that means a liquidity sloth and the risk of a major inflation event. The pandemic represented the quickest decline of at least 30% in the history of the benchmark S&P 500, but the recovery was not correlated to anything but Fed intervention. Since the pandemic clearly isn't disappearing and many sectors such as travel, business travel, tourism and supply chain disruptions appear significantly disrupted - the so-called economic recovery isn't so great. And there's this little problem at the heart of global capitalism today, the stock market just keeps going up. Crashes and corrections typically occur frequently in a normal market. But the Fed liquidity and irresponsible printing of money is creating a scenario where normal behavior isn't occurring on the markets. According to data provided by market analytics firm Yardeni Research, the benchmark index has undergone 38 declines of at least 10% since the beginning of 1950. Since March, 2020 we've barely seen a down month. September, 2020 was flat-ish. The S&P 500 has more than doubled since those lows. Look at the angle of the curve: The S&P 500 was 735 at the low in 2009, so in this bull market alone it has gone up 6x in valuation. That's not a normal cycle and it could mean we are due for an epic correction. I have to agree with the analysts who claim that the long, long bull market since 2009 has finally matured into a fully-fledged epic bubble. There is a complacency, buy-the dip frenzy and general meme environment to what BigTech can do in such an environment. The weight of Apple, Amazon, Alphabet, Microsoft, Facebook, Nvidia and Tesla together in the S&P and Nasdaq is approach a ridiculous weighting. When these stocks are seen both as growth, value and companies with unbeatable moats the entire dynamics of the stock market begin to break down. Check out FANG during the pandemic. BigTech is Seen as Bullet-Proof me valuations and a hysterical speculative behavior leads to even higher highs, even as 2020 offered many younger people an on-ramp into investing for the first time. Some analysts at JP Morgan are even saying that until retail investors stop charging into stocks, markets probably don’t have too much to worry about. Hedge funds with payment for order flows can predict exactly how these retail investors are behaving and monetize them. PFOF might even have to be banned by the SEC. The risk-on market theoretically just keeps going up until the Fed raises interest rates, which could be in 2023! For some context, we're more than 1.4 years removed from the bear-market bottom of the coronavirus crash and haven't had even a 5% correction in nine months. This is the most over-priced the market has likely ever been. At the night of the dot-com bubble the S&P 500 was only 1,400. Today it is 4,500, not so many years after. Clearly something is not quite right if you look at history and the P/E ratios. A market pumped with liquidity produces higher earnings with historically low interest rates, it's an environment where dangerous things can occur. In late 1997, as the S&P 500 passed its previous 1929 peak of 21x earnings, that seemed like a lot, but nothing compared to today. For some context, the S&P 500 Shiller P/E closed last week at 38.58, which is nearly a two-decade high. It's also well over double the average Shiller P/E of 16.84, dating back 151 years. So the stock market is likely around 2x over-valued. Try to think rationally about what this means for valuations today and your favorite stock prices, what should they be in historical terms? The S&P 500 is up 31% in the past year. It will likely hit 5,000 before a correction given the amount of added liquidity to the system and the QE the Fed is using that's like a huge abuse of MMT, or Modern Monetary Theory. This has also lent to bubbles in the housing market, crypto and even commodities like Gold with long-term global GDP meeting many headwinds in the years ahead due to a...

In 2024, the average annual inflation rate in China ranged at around 0.2 percent compared to the previous year. For 2025, projections by the IMF expect slightly negative inflation. The monthly inflation rate in China dropped to negative values in the first quarter of 2025. Calculation of inflation The inflation rate is calculated based on the Consumer Price Index (CPI) for China. The CPI is computed using a product basket that contains a predefined range of products and services on which the average consumer spends money throughout the year. Included are expenses for groceries, clothes, rent, power, telecommunications, recreational activities, and raw materials (e.g. gas, oil), as well as federal fees and taxes. The product basked is adjusted every five years to reflect changes in consumer preference and has been updated in 2020 for the last time. The inflation rate is then calculated using changes in the CPI. As the inflation of a country is seen as a key economic indicator, it is frequently used for international comparison. China's inflation in comparison Among the main industrialized and emerging economies worldwide, China displayed comparatively low inflation in 2023 and 2024. In previous years, China's inflation ranged marginally above the inflation rates of established industrialized powerhouses such as the United States or the European Union. However, this changed in 2021, as inflation rates in developed countries rose quickly, while prices in China only increased moderately. According to IMF estimates for 2024, Zimbabwe was expected to be the country with the highest inflation rate, with a consumer price increase of about 561 percent compared to 2023. In 2023, Turkmenistan had the lowest price increase worldwide with prices actually decreasing by about 1.7 percent.

Inflation Rate in China remained unchanged at -0.10 percent in April. This dataset provides - China Inflation Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Inflation Rate in Colombia decreased to 5.05 percent in May from 5.16 percent in April of 2025. This dataset provides - Colombia Inflation Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Just as in many other countries, the housing market in the UK grew substantially during the coronavirus pandemic, fueled by robust demand and low borrowing costs. Nevertheless, high inflation and the increase in mortgage rates has led to house price growth slowing down. According to the forecast, 2024 is expected to see house prices decrease by three percent. Between 2024 and 2028, the average house price growth is projected at 2.7 percent. A contraction after a period of continuous growth In June 2022, the UK's house price index exceeded 150 index points, meaning that since 2015 which was the base year for the index, house prices had increased by 50 percent. In just two years, between 2020 and 2022, the index surged by 30 index points. As the market stood in December 2023, the average price for a home stood at approximately 284,691 British pounds. Rents are expected to continue to grow According to another forecast, the prime residential market is also expected to see rental prices grow in the next years. Growth is forecast to be stronger in 2024 and slow down in the period between 2025 and 2028. The rental market in London is expected to follow a similar trend, with Central London slightly outperforming Greater London.

Financial leasing revenue is expected to remain flat over the five years through 2024-25, sitting at £16.1 billion, including growth of 5.2% in 2024-25. Financial lessors have navigated a turbulent environment over recent years, responding to aggressive rate hikes from the Bank of England ratcheting up borrowing costs. The regulatory climate has also seen significant changes, with financial lessors seeing their accounting and reporting costs climb following changes to the International Accounting Standards. This involved putting leases of more than one year on the balance sheet of the lessee. A rising base rate environment through 2023-24 amid spiralling inflation has aided interest income despite demand being softened by subdued economic growth. Interest rates remained high in 2023-24 as inflation proved sticky, lifting interest income for each transaction, but softening demand as lessees faced greater interest payments, dampening revenue growth. Making things worse, lessors may choose to bear the brunt of interest rate hikes to sustain demand, threatening profitability. In 2024-25, with inflation contained, interest rates will continue coming down, supporting leasing activity through a reduction in interest payments for lessees. However, regulatory changes related to Basel III introductions and new International Accounting Standards will weigh on the average industry profit margin, though they have benefited the Financial Leasing industry's reputation. Lessors have also been proactive in limiting exposure to changes in the value of the pound, which has been particularly volatile in recent years. Lessors entering into forward contracts to lock in exchange rates for a future date have been better able to fend of fluctuations in the pound, supporting profitability. Financial leasing revenue is expected to grow at a compound annual rate of 4.3% to reach £19.9 billion. The higher base rate environment will become the norm for financial lessors, forcing them to adapt to higher borrowing costs to maintain healthy profit. Compliance with legislative changes related to Brexit will also place pressure on profitability. However, the delay of the Basel III reforms will provide banks with flexibility when lending, feeding into lower borrower costs for lessors and supporting profit. The rise of financial technology will also spur technological innovation related to big data analysis for data collected from asset monitoring systems.

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US Residential Construction Market Size 2025-2029

The US residential construction market size is forecast to increase by USD 242.9 million at a CAGR of 4.5% between 2024 and 2029.

The Residential Construction Market in the US is experiencing significant growth driven by increasing household formation rates and a rising focus on sustainability in new projects. According to the latest data, household formation is projected to continue growing at a steady pace, fueling the demand for new residential units. This trend is particularly evident in urban areas, where population growth and limited space for new development are driving up demand. Meanwhile, the emphasis on sustainability in residential construction is transforming the market landscape. With consumers increasingly prioritizing energy efficiency and eco-friendly features in their homes, builders and developers are responding by incorporating green technologies and sustainable materials into their projects.
This shift not only appeals to environmentally-conscious consumers but also offers long-term cost savings and regulatory compliance benefits. However, the market is not without challenges. Skilled labor shortages continue to pose a significant hurdle for large-scale residential real estate projects. The ongoing shortage of skilled laborers, including carpenters, electricians, and plumbers, is driving up labor costs and delaying project timelines. To mitigate this challenge, some builders are exploring alternative solutions, such as modular construction and automation, to streamline their operations and reduce their reliance on traditional labor sources. The Residential Construction Market in the US presents significant opportunities for companies seeking to capitalize on the growing demand for new housing units and the shift towards sustainability.
However, navigating the challenges of labor shortages and rising costs will require innovative solutions and strategic planning. By staying informed of market trends and adapting to evolving consumer preferences, companies can effectively position themselves for success in this dynamic market.

What will be the size of the US Residential Construction Market during the forecast period?

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The residential construction market in the United States continues to exhibit dynamic activity, driven by various economic factors. Housing supply remains a key focus, with ongoing discussions surrounding the affordable housing trend and efforts to increase inventory, particularly for single-family homes and new constructions. Mortgage and federal funds rates have an impact on residential investment, with fluctuations influencing buyer decisions and construction costs. The labor market plays a crucial role, as workforce availability and wages affect both housing starts and cancellation rates. Inflation and interest rates, monitored closely by the Federal Reserve, also shape the market's direction. Recession risks and economic conditions influence construction spending across various sectors, including multifamily and single-family homes.
Federal programs, such as housing choice vouchers and fair housing initiatives, continue to support home buyers and promote equitable housing opportunities. Building permits and housing starts serve as essential indicators of market health and future growth, with some sectors experiencing double-digit growth. Overall, the residential construction market in the US remains a significant economic driver, shaped by a complex interplay of economic, demographic, and policy factors.

How is this market segmented?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD million' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Product

  Apartments and condominiums
  Luxury Homes
  Other types


Type

  New construction
  Renovation


Application

  Single family
  Multi-family


Construction Material

  Wood-framed
  Concrete
  Steel
  Modular/Prefabricated


Geography

  US

By Product Insights

The apartments and condominiums segment is estimated to witness significant growth during the forecast period.

The residential construction market in the US is experiencing growth in both the apartment and condominium sectors, driven by the increasing trend toward urbanization and changing lifestyle preferences. Apartments, typically owned by property management companies, and condominiums, with individually owned units within a larger complex, contribute significantly to the market. The Federal Reserve's influence on the economy through the federal funds rate and mortgage rates impacts borrowing rates and home construction activity. The affordability of housing, particularly for younger generations, is a concern due to factors such as inflation, labor market conditions, and savings

In March 2025, inflation amounted to 2.4 percent, while wages grew by 4.3 percent. The inflation rate has not exceeded the rate of wage growth since January 2023. Inflation in 2022 The high rates of inflation in 2022 meant that the real terms value of American wages took a hit. Many Americans report feelings of concern over the economy and a worsening of their financial situation. The inflation situation in the United States is one that was experienced globally in 2022, mainly due to COVID-19 related supply chain constraints and disruption due to the Russian invasion of Ukraine. The monthly inflation rate for the U.S. reached a 40-year high in June 2022 at 9.1 percent, and annual inflation for 2022 reached eight percent. Without appropriate wage increases, Americans will continue to see a decline in their purchasing power. Wages in the U.S. Despite the level of wage growth reaching 6.7 percent in the summer of 2022, it has not been enough to curb the impact of even higher inflation rates. The federally mandated minimum wage in the United States has not increased since 2009, meaning that individuals working minimum wage jobs have taken a real terms pay cut for the last twelve years. There are discrepancies between states - the minimum wage in California can be as high as 15.50 U.S. dollars per hour, while a business in Oklahoma may be as low as two U.S. dollars per hour. However, even the higher wage rates in states like California and Washington may be lacking - one analysis found that if minimum wage had kept up with productivity, the minimum hourly wage in the U.S. should have been 22.88 dollars per hour in 2021. Additionally, the impact of decreased purchasing power due to inflation will impact different parts of society in different ways with stark contrast in average wages due to both gender and race.

The US residential real estate market, a cornerstone of the American economy, is projected to experience steady growth over the next decade. While the provided CAGR of 2.04% is a modest figure, it reflects a market maturing after a period of significant expansion. This sustained growth is driven by several key factors. Firstly, population growth and urbanization continue to fuel demand for housing, particularly in densely populated areas and emerging suburban markets. Secondly, low interest rates (historically, though this can fluctuate) have made mortgages more accessible, stimulating buyer activity. Thirdly, a robust construction sector, though facing challenges in material costs and labor shortages, is gradually increasing the housing supply, mitigating some of the upward pressure on prices. However, challenges remain. Rising inflation and potential interest rate hikes pose a risk to affordability, potentially dampening demand. Furthermore, the ongoing evolution of remote work is reshaping residential preferences, with a shift toward larger homes in suburban or exurban locations. This trend impacts the relative demand for various property types, potentially increasing the appeal of landed houses and villas compared to apartments and condominiums in certain regions. The segmentation of the market into apartments/condominiums and landed houses/villas provides crucial insights into consumer preferences and investment strategies. High-density urban areas will continue to see strong demand for apartments and condos, while suburban and rural areas are likely to experience a greater increase in landed property sales. Major players like Simon Property Group, Mill Creek Residential, and others are strategically adapting to these trends, focusing on both development and management across various property types and geographic locations. Analyzing regional data within the US (e.g., comparing growth in the Northeast versus the Southwest) will highlight market nuances and potential investment opportunities. While the global data provided is valuable for understanding broader market forces, focusing the analysis on the US market allows for a more granular understanding of the specific drivers, trends, and challenges within this significant segment of the real estate sector. The forecast period (2025-2033) suggests continued, albeit measured, expansion. Recent developments include: May 2022: Resource REIT Inc. completed the sale of all of its outstanding shares of common stock to Blackstone Real Estate Income Trust Inc. for USD 14.75 per share in an all-cash deal valued at USD 3.7 billion, including the assumption of the REIT's debt., February 2022: The largest owner of commercial real estate in the world and private equity company Blackstone is growing its portfolio of residential rentals and commercial properties in the United States. The company revealed that it would shell out about USD 6 billion to buy Preferred Apartment Communities, an Atlanta-based real estate investment trust that owns 44 multifamily communities and roughly 12,000 homes in the Southeast, mostly in Atlanta, Nashville, Charlotte, North Carolina, and the Florida cities of Jacksonville, Orlando, and Tampa.. Key drivers for this market are: Investment Plan Towards Urban Rail Development. Potential restraints include: Italy’s Fragmented Approach to Tenders. Notable trends are: Existing Home Sales Witnessing Strong Growth.

The rapid growth of the Peer-to-Peer Lending (P2P) Platforms industry has slowed in recent years, as the industry is maturing and the initial wave of firms entering the industry has begun to stabilise. Revenue is expected to remain fairly flat, growing at a compound annual rate of just 0.1% over the five years through 2024-25 to £342 million. Economic conditions, interest rates and regulation are all affecting P2P lenders’ performance. Revenue volatility is high because of the industry’s infancy and volatile economic conditions recently. Funding Circle dominates the industry, though it exited the retail market in March 2022. Zopa, previously a leading lender, exited the market in December 2021. Other lending platforms, like Ratesetter, have also left the industry or have stopped offering services to retail investors. The main reasons for this are the rising regulatory burden and heightened uncertainty. Economic uncertainty has deterred borrowing for investment purposes, increasing lenders' risk averseness and limiting revenue growth. Following an improvement in economic conditions in 2021-22, soaring inflation and heightened uncertainty in the two years through 2023-24 drove some investors to withdraw money from P2P platforms, denting revenue. A combination of falling interest rates and improving economic conditions – inflation is finally dropping – is set to drive investment activity in 2024-25, supporting demand for P2P lending and lifting revenue growth. However, with this will come less stringent lending criteria from traditional banks, intensifying competition and constraining growth. Revenue is anticipated to grow at a subdued rate of 6.9% in 2024-25. Revenue is forecast to swell at a compound annual rate of 13.8% over the five years through 2029-30 to reach £651.7 million. Growth will slow as the industry matures and market acceptance reaches saturation. At the same time, the regulatory burden is likely to mount, pushing more firms out of the market. Despite this, new lenders will continue to set up shop, because many market niches (like ESG) are yet to be filled. The industry is still likely to operate at a loss, though losses will gradually narrow. Larger lenders will likely consolidate to maintain growth and cement their positions.

Inflation Rate in Thailand decreased to -0.57 percent in May from -0.22 percent in April of 2025. This dataset provides the latest reported value for - Thailand Inflation Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

Inflation Rate in Spain decreased to 1.90 percent in May from 2.20 percent in April of 2025. This dataset provides the latest reported value for - Spain Inflation Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

Mid-America Apartment Communities Inc.'s strong financial performance is expected to continue, driven by increasing demand for rental housing and disciplined cost management. However, economic headwinds, including rising interest rates and inflation, pose risks to occupancy and rent growth, which should be monitored closely.

The number of home sales in the United States peaked in 2021 at almost seven million after steadily rising since 2018. Nevertheless, the market contracted in the following year, with transaction volumes falling to 4.8 million. Home sales remained muted in 2024, with a mild increase expected in 2025 and 2026. A major factor driving this trend is the unprecedented increase in mortgage interest rates due to high inflation. How have U.S. home prices developed over time? The average sales price of new homes has also been rising since 2011. Buyer confidence seems to have recovered after the property crash, which has increased demand for homes and also the prices sellers are demanding for homes. At the same time, the affordability of U.S. homes has decreased. Both the number of existing and newly built homes sold has declined since the housing market boom during the coronavirus pandemic. Challenges in housing supply The number of housing units in the U.S. rose steadily between 1975 and 2005 but has remained fairly stable since then. Construction increased notably in the 1990s and early 2000s, with the number of construction starts steadily rising, before plummeting amid the infamous housing market crash. Housing starts slowly started to pick up in 2011, mirroring the economic recovery. In 2022, the supply of newly built homes plummeted again, as supply chain challenges following the COVID-19 pandemic and tariffs on essential construction materials such as steel and lumber led to prices soaring.

Jewellery and watch wholesalers in Canada have experienced tepid growth in recent years because of a tough macroeconomic environment and soaring prices for precious metals. The COVID-19 pandemic and its associated economic volatility, including recovery, sent gold prices skyrocketing because of its status as a safe-haven asset. Gold is the most popular metal for fine jewellery and is even used to plate costume jewellery. This boosted prices at jewellery stores, which cut into demand from Canadians who were also dealing with sharp inflation from the pandemic-related recovery, which held per capita disposable income down. These two trends mostly offset each other and kept revenue mostly flat. Overall, revenue inched upward at a CAGR of 0.3% over the past five years to reach $4.2 billion in 2024. This includes a forecast 6.3% increase in 2024 alone as inflation began to slow, while prices remained high, boosting demand without a decrease in price. Wholesalers were able to pass on costs to retailers, which kept profit stagnant. The macroeconomic outlook over the next five years is mostly sunny, which will aid jewellery and watch wholesalers and accelerate revenue growth. Consumer confidence, consumer spending and per capita disposable income are all forecast to be on the rise, while inflation has been tamped down and interest rates are expected to remain lower, providing for a better environment for Canadians to make discretionary purchases, including fine jewellery. Wholesalers will also benefit from stabilized, albeit elevated, prices of gold, platinum and silver, preventing prices from falling too far. However, the specter of tariffs from the United States looms to buck these macroeconomic trends and also break supply chains, making jewellery and watches less available, as the country's imports represents a significant share of domestic demand. Revenue is forecast to climb at a CAGR of 2.6% over the next five years to reach an estimated $4.8 billion in 2029.

We use the yield curve to predict future GDP growth and recession probabilities. The spread between short- and long-term rates typically correlates with economic growth. Predications are calculated using a model developed by the Federal Reserve Bank of Cleveland. Released monthly.

Across the globe and in the United States, consumers tend to spend a considerable amount of money during specific festivities and seasonal events. During the winter holiday season of 2024, for instance, consumers in the United States expected to spend an average of about 902 U.S. dollars per person, making it one of the top U.S. shopping events of the year. That said, the top spot went to the back-to-college season, when average per capita spending was projected to reach nearly 1,365 U.S. dollars. What do back-to-college shoppers buy? Getting students ready for an academic year at college can be an expensive ordeal in the United States. In addition to paying tuition and rent, it is frequently the first time young adults leave their parents’ homes, which can translate to an array of items needing to be purchased. In 2024, U.S. consumers planned to spend a total of more than 12 billion U.S. dollars on back-to-college dorm and/or apartment furnishings. Only five years earlier, planned college furniture spending in the United States stood at less than seven billion U.S. dollars in total. The impact of inflation on consumption Although consumers consistently spend more money on products and services during specific seasonal events, the wave of inflation that has hit the world in the last couple of years has thrown a wrench into many consumers’ shopping plans. For instance, increasing numbers of holiday shoppers in the United States have been looking for more sales than usual or said they would be buying less expensive gifts.

The French residential real estate market, valued at €343.52 million in 2025, is projected to experience robust growth, driven by several key factors. Strong urban population growth, particularly in major cities like Paris and Lyon, fuels consistent demand for apartments and condominiums. Furthermore, a growing preference for sustainable and energy-efficient housing, coupled with government initiatives promoting green building technologies, is shaping the market. The landed houses and villas segment, while representing a smaller portion of the market, shows resilience due to a persistent desire for larger living spaces and suburban living, particularly among higher-income households. However, rising interest rates and inflation pose challenges, potentially impacting affordability and slowing down market momentum in the coming years. Competition among established players like Nexity, Bouygues Immobilier, and Vinci Immobilier, alongside emerging companies, ensures a dynamic market landscape. The market segmentation by property type reflects diverse consumer preferences and economic conditions, with the apartment and condominium sector likely dominating due to higher population density in urban centers. Geographic variations across France, influenced by regional economic activity and demographic shifts, also play a significant role in shaping market performance. The forecast period (2025-2033) anticipates sustained growth but with fluctuating rates reflecting economic cycles and policy adjustments. The projected CAGR of 6.75% suggests a considerable expansion of the French residential real estate market throughout the forecast period. This growth is expected to be unevenly distributed across different regions and property types, with metropolitan areas experiencing higher demand and potentially faster growth compared to rural areas. While the market faces potential headwinds from economic uncertainties, the underlying drivers of population growth and evolving housing preferences suggest a long-term positive outlook. Government policies related to housing affordability and sustainable development will play a crucial role in shaping future market trends. Continuous monitoring of interest rates, inflation, and consumer confidence will be essential to accurately predict short-term market fluctuations within the context of this long-term growth trajectory. Analyzing data related to construction permits, housing starts, and sales transactions will be invaluable for refining market projections and gaining a clearer understanding of market dynamics within different segments and regions. Recent developments include: January-2022: Nexity (a major integrated real estate group) and Meridiam (a purpose company specializing in sustainable infrastructure) partnered to support local authorities in the rehabilitation of city centers in France. This partnership supports major urban projects to rehabilitate run-down housing, clean up infrastructure (buildings and housing, etc.), and conduct urban renewal operations., June-2021: Fnac Darty (leading omnichannel player in Europe) and Nexity (a major integrated real estate group) entered a commercial partnership to meet their consumers' needs by combining their respective expertise and shared values of proximity, service quality, and accessibility.. Notable trends are: Detached Home Sales are Witnessing Lucrative Growth.

Over the five years through 2024-25, the Home Insurance industry's revenue is anticipated to remain flat over the five years through 2024-25, standing at £6 billion. Revenue is comprised of premium income and investment income. Insurers must maintain enough capital reserves to meet liabilities in the event of a claim; insurers invest premium income in a diverse range of asset classes to gain a return. Despite strong demand for home insurance, supported by a rising number of housing transactions and a strong rental market, the home insurance industry has endured challenging operating conditions in recent years, including intense competition from other financial institutions like retail banks, downward pricing pressures and a tightening regulatory environment. According to ABI, premiums plummeted by 6% in 2022 amid fierce price competition and the FCA's new pricing reforms. This was despite a rise in claims following numerous severe weather events and inflated building material costs. Premiums eventually jumped in 2023-24 as insurers sought to mitigate intense cost pressures amid the inflationary environment, supporting revenue. However, a downturn in the housing market due to rising mortgage rates eroded demand for insurance, partially offsetting higher premiums. In 2024-25, premiums will continue to rise as insurers desperately try to boost profit. The UK housing market is also positioned for a strong recovery, supported by falling mortgage rates and improving economic sentiment, contributing to revenue growth of 6.6% in 2024-25. Home insurance revenue is forecast to climb at a compound annual rate of 2.7% over the five years through 2029-30 to reach £6 billion. Although premium growth is set to slow as inflation normalises, the housing market is set for solid growth in the coming years thanks to the lower interest rate environment, lifting demand for home insurance. All insurers are set to be compliant with the Solvency II reforms by December 2024, which will unlock £100 billion of investment, lifting revenue growth over the coming years. Insurtechs will continue to lead the way in innovation offering greater personalisation for customers thanks to AI and big data.