11
one car-share car equates to 11 fewer privately owned cars on the road
32%
IN INDIA in APRIL
2021, 32% of people booked and used
a car share
OF CARE-SHARE
VEHICLES ARE
ELECTRIC VEHICLES
21%
But other factors are also at play
FASHION
The fashion industry, which emits more greenhouse gas than all maritime shipping and international flights combined, now has a range of monthly rental and subscription services designed to make the industry more circular. In 2021, the clothing rental market was forecast to grow at a compound annual growth rate of 8.5% from 2022 to 2030 in the US. Global figures estimate year-on-year growth of 6% between 2023 and 2026.
Consumers are increasingly looking to
reduce their environmental impact
0%
CARS
TECH
2019
4.74%
2021
4.66%
2022
5.87%
2020
3.34%
2023
6.26%
2024
6.67%
2025
7.05%
PROPERTY?
FASHION
Home ownership has always been a part of the psyche in certain countries. In the UK and the US, for example, two thirds of homes are owned. In Austria, Germany and Switzerland, home-ownership rates are more like 50%.
But as wages fail to keep pace with rising house prices, owners are being forced to rethink their attitude to home renting.
European home
ownership rates
18*
HONG KONG
13.3*
SYDNEY
12*
VANCOuVER
The world's least affordable cities
75.8%
SPAIN
65.2%
UK
64.7%
FRANCE
73.7%
ITALY
49.5%
GERMANY
86.8%
PolAND
80.8%
NORWAY
by building multifamily developments tailored to renting that have:
The real estate industry is responding
smaller apartments
An average of 11,095 build to rent units were completed per year in the UK between 2011 and 2022.
In the more established US market, 330,667 multifamily units were completed annually between 2011 and 2022.
Big shifts from home ownership to rental between 2011 and 2022 ...
127%
NETHERLANDS
16%
UK
11%
AUSTRALIA
15%
PORTUGAL
point to a potential shortage of rental-specific accommodation
42.3%
SWITZERLAND
95.3%
ROMANIA
CARS
2019
25,000+
Source: https://www.mdpi.com/2071-1050/13/13/7384, Statista, World Economic Forum
cars serving 3 million drivers (Germany, as of 2021)
Car-sharing provides mobility with minimal
upfront cost. These schemes have been particularly successful in Germany in recent years:
8.5%
Forecast CAGR in
US clothing rental
market between
2023 and 2026
92m
Tonnes of textiles
waste produced
every year by the
fashion industry
Forecast global
year-on-year
growth from
2023 to 2026
6%
of car
share vehicles are EVs
Source: Music Magpie
1.
TV/video
streaming
5.
Storage
space
2.
Music
streaming
3.
Gym/fitness
4.
Car
The top two items UK residents most want to rent didn’t even exist 20 years ago
Tech
tops the
renting
wishlist
Source: Statista
MORE
SHARED SPACES
lounge,
co-working, laundry etc
more open floor plan design
better sustainability
more flexible spaces
outdoor spaces
amenities
storage,
gym, pool etc
smart technologies
Annual growth rate of UK build to rent sector (units)
In a bid to house everyone – from young families to senior singletons and nomadic workers – and keep their cities thriving, governments may offer incentives to developers. Reformed zoning laws, subsidies, tax breaks and public-private partnerships look set to be more common in the future.
Click on the yellow dots
54%
* Affordability ratios – calculated by dividing median house price by median income
4%
6%
High inflation has made everything more expensive, forcing people to rethink how they spend their money
COST OF LIVING ON THE RISE
Co-living spaces, in which only the bedrooms are private spaces, provide maximum flexibility for minimum cost. 21,599 extra co-living beds are currently planned in the UK.
2026
7.45%
Annual growth rate of US build to rent sector (units)
15%
0%
2%
8%
GROWTH OF GLOBAL
CLOTHING RENTAL MARKET
Global annual inflation rate
73.3%
GREECE