5.1 Global Demand for Real Estate Investment

Real estate has long been regarded as a safe haven for capital preservation and long-term wealth accumulation. Institutional investors such as pension funds, insurance companies, and endowments typically allocate 10%–25% of their portfolios to real estate. Retail investors, however, are often excluded due to high capital requirements and opaque processes. There is a growing appetite among everyday investors to access the same real estate opportunities enjoyed by institutions, particularly as inflation erodes the value of traditional savings and interest rates fluctuate unpredictably.

The rise of platforms like Robinhood, Coinbase, and eToro shows a strong trend toward democratizing finance, and real estate is the next frontier. Investors are seeking fractional ownership models that allow them to diversify their portfolios, gain exposure to real assets, and participate in passive income streams without the burdens of full ownership or property management.