Fair share: The boost in demand for mortgages led to demand for industry services

The seas have been smooth sailing for the Real Estate Appraisal industry in Canada. A booming housing market and vastly improved economy overshadowed the collapse in commodity prices that occurred midway through the five-year period. The boost in demand for mortgages led to demand for industry services. Although the industry also comprises nonresidential markets, declining corporate profit totals, largely the result of falling oil prices, have resulted in contracted nonresidential construction activities. Over the next five years, conditions are expected to worsen for industry operators. While nonresidential markets are expected to be an area of growth during the five-year period, the housing market is expected to cool down due to rising interest rates and new mortgage regulations...read more.

Industry Statistics & Market Size
Revenue
$706m
Annual Growth 13-18
3.4%
Forecast Growth 18-23
Profit
Employment
2,964
Businesses
2,491
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Declining corporate profit totals have resulted in contracted nonresidential construction activities
  • Direct investment in real estate markets by pension funds has trended upward over the past five years
  • Profit margins are expected to remain high, attracting nonemploying operators and small enterprises
  • Industry Report - Industry Investment Chapter

    The Real Estate Appraisal industry in Canada is characterized by a low level of capital intensity due to the high-value added nature of services. In 2018, for every dollar spent on labour, the industry is projected to incur capital costs of $0.07. Generally, the value added in this industry comes from the high knowledge base, which requires a significant level of labour input compared with other industries to some other industries that require significant capital investment to support development and investment activities. Most of the services offered in the industry require a high level of human interaction and experiential knowledge, as well as accreditation from relevant authorities...purchase to read more.

    Additional Insights for the Real Estate Appraisal Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Real Estate Appraisal Industry are

  • Access to highly skilled workforce
  • Upstream vertical integration
  • Having a good reputation
  • IBISWorld analysts also discuss how external factors such as Value of residential construction and Housing starts in the Real Estate Appraisal industry impact industry performance..

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    What's in this report

    What is the Real Estate Appraisal Industry?

    Operators in this industry specialize in estimating the fair market value of real estate. Appraisers research a property or development to determine the characteristics pertinent to its market value. Valuations for a property are carried out when it is sold, mortgaged, taxed, insured or developed.

    Industry Products
  • Commercial appraisal services
  • Residential appraisal services
  • Consulting services
  • Appraisal management services
  • Brokerage and other services
  • Industry Activities
  • Commercial appraisal services
  • Residential appraisal services
  • Consulting services
  • Appraisal management services
  • Brokerage and other services
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Value of residential construction
  • Housing starts
  • Consumer Confidence Index
  • Value of nonresidential construction
  • Overnight rate

  • Current Performance
  • Nonresidential markets
  • Residential sales
  • Pension market growth
  • Strong profitability
  • Chart: Revenue Growth

  • Industry Outlook
  • Nonresidential construction
  • Consumer willingness to pay
  • Industry structure and profit
  • Table: Real Estate Appraisal Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Real Estate Appraisal Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Construction In Canada
  • Finance and Insurance In Canada
  • Commercial Leasing in Canada
  • Property Management in Canada
  • Law Firms in Canada
  • Consumers in Canada

  • Key Selling Industries
  • Database & Directory Publishing in Canada
  • Environmental Consulting in Canada
  • Real Estate Asset Management & Consulting in Canada
  • Software Publishing in Canada

  • Products & Services
  • Residential appraisal services
  • Commercial appraisal services
  • Appraisal management services
  • Consulting services
  • Brokerage and other services
  • Chart: Real Estate Appraisal Industry Products and Services Segmentation

  • Demand Determinants
  • Income and investment
  • Interest rates
  • Government regulation and investment

  • Major Markets
  • Corporations
  • Insurance companies and banks
  • Other
  • Pension funds and advisors
  • Government agencies
  • Individuals
  • Real estate investment trusts
  • Chart: Major Market Segmentation for the Real Estate Appraisal Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchases and depreciationRent and utilitiesOther
  • Chart: Cost Structure Benchmarking – Sector vs Real Estate Appraisal

  • Basis of Competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Real Estate Appraisal Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Real Estate Appraisal Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Real Estate Appraisal Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)
  • Housing starts (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Fair Market Value
  • The appraiser's opinion of value as written in an appraisal report.
  • Household Formation
  • The creation of new households, regardless of the number of residents.
  • Valuation
  • The determination of the economic value of an asset.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Real Estate Appraisal market research report provides the latest industry statistics and industry trends, allowing you to identify the products and customers driving revenue growth and profitability. The industry report identifies the leading companies and offers strategic industry analysis of the key factors influencing the market.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Real Estate Appraisal:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Real Estate Appraisal market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Real Estate Appraisal, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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