I am a real estate developer, but I’ve always been fascinated by real estate terminology.
The terms real estate and real estate development have been around since the late 19th century, and in fact real estate itself originated in the U.S. as a development tool for the commercial farming industry.
But the terms “real estate” and “development” are now much more broadly understood.
The term “development”—which was first used in 1874 to refer to a land-leasing transaction between a developer and landowner—is also now used to refer more broadly to the process of land-granting to a private entity.
Real estate development is the process whereby land is allocated and acquired in a private venture by a private developer for private development purposes.
A new study by the real estate consultancy Knight Frank looks at these terms, as well as the terms real property and development, to try to define what’s happening in the real-estate market today.
For example, Knight Frank’s analysis of the U,S.
real estate market finds that the average price of a single-family home increased 7.3 percent in the second quarter of this year, the highest increase in more than a decade.
That is the fastest rate in almost five years, and Knight Frank says that home prices have surpassed the $1.1 trillion mark in real terms since September 2014.
That’s more than double the average pace of growth for the entire U.K. real-property market in the same period.
The increase in home prices in the United States and other developed countries is driven by two trends: 1) The pace of land acquisition and sale has increased and 2) the number of properties sold has increased.
In fact, Knight Franks data shows that home-price growth in the US has outpaced that of other countries over the past five years.
For example, in the first quarter of 2018, the average number of sales in the entire United States was just under 6,700 per month, the second-highest number since Knight Frank began tracking such data in 2009.
Meanwhile, the number sold in the country rose by just over 6,400 per month over the same time period, the fourth-highest rate since Knight Franks began tracking sales data in 2005.
Knight Frank’s research shows that, even as the U-S.
housing market continues to experience the sharpest rate of growth since the Great Recession, a few other countries, including Canada, have been doing much better than the United Sates.
In fact, the Canadian housing market, which has experienced its most rapid growth since 2008, has also seen its price increases slow down.
To find out more about the Knight Frank study, you can read the full report here.