China real estate tech startups took 26% of dollars going to real estate tech globally in the last 6 years.
Between 2010 and 2013, the United States captured the majority of investment going to real estate tech startups. However, in the past two years, the majority of dollars have shifted to overseas markets, and India, the United Kingdom, and China have all seen significant growth in investment.
Below are breakdowns for global deal and dollar shares, the US states seeing the most activity, countries outside the US seeing the most deals, and more.
By definition, real estate technology encompasses all dedicated software used by different participants in the real estate industry, including brokers, investors, property owners and managers, as well as buyers. The category includes online real estate rental and buying guides.
US commands 63% of global real estate tech deal share
Real estate tech global deal share was dominated by US-based startups.
- US real estate tech accounted for almost two-thirds of all deal share at 63%.
- Indian startups accounted for 8% of deal share.
- The United Kingdom accounted for 5% of global deal share (deal activity there spiked in 2014, as we’ll see later in this brief).
- China, Canada, and Australia all remain below 5%, as seen below.
China real estate tech dollar share hits 26%
Global dollar share was also led by investment into US startups, which received almost 50% of dollar share. Despite only receiving 4% of deal share, China took 26% of dollar share, indicating there were just a few but relatively large financing rounds into Chinese real estate tech startups. One example that stands out is China-based Fangdd, which raised a $223M Series C in September 2015.
Global dollar share vs. US dollar share
Deal share has varied considerably when looking at the US vs. rest of the world, but the general trend has been toward a greater share for markets outside the US: the US dollar share started at 90% in 2010, and stood at only 34% in 2015 year-to-date.
California, New York, and Texas attract the most investment in the US
- California leads real estate tech deal activity within the US, hitting a multiyear high of 34 deals in 2014, a 467% increase in deals over 2010. California deal activity looks to slow a bit in 2015 with only 18 deals completed as we head into Q4’15.
- New York deal activity has risen steadily since 2010, reaching a six-year high in 2013 with 17 deals completed. New York is on pace to equal the 2013 high this year.
- Texas ranged between 0 and 5 deals between 2010 and 2015 year-to-date.
Active countries outside of the US
India, China, and Canada were the countries outside of the US that have received the most deal activity since 2010.
- India leads all international countries with a total of 38 deals done since 2010, and is on pace to surpass its 2014 high of 11 deals, with 2015 already having seen as many deals as 2014.
- The United Kingdom has also seen steady growth since 2010, with deal count spiking to 13 in 2014, a 6-year high. Deal activity in the United Kingdom has slowed a bit in 2015, with 7 deals completed year-to-date.
- Activity in China has risen steadily since 2010, and like the United Kingdom, saw a spike in 2014 with 9 deals completed; activity looks more moderate this year, with only 5 deals completed year-to-date.
Want more real estate tech data? Check out our venture capital database below.
Feature image credit: MartinD, https://commons.wikimedia.org/wiki/File:Houses_for_sale_in_the_Nederlands.jpg