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Over the past decade, Ukraine has faced a series of profound challenges that have significantly impacted its economy. Like other segments of the IT industry, the PropTech sector is currently adapting and actively seeking new avenues for sustainable growth.
Since 2021, the industry has faced several external challenges. Industry specialists are seeking new approaches not only to mitigate their impact but also to stay competitive.
2021 marked the beginning of a full-scale transition from simple classifieds boards to multifunctional platforms. A prime example is the DIM.RIA platform, which has integrated in-depth analytics, real-time tracking of construction progress, and property valuation tools.
At the same time, companies are testing AI-driven solutions, offering virtual tours, and integrating with government registries to secure a strong competitive edge.
Just as the country was beginning to recover from the impacts of the COVID-19 pandemic, russia’s full-scale invasion began in February 2022. Independent Ukraine’s economy faced an unprecedented crisis. The market has undergone a massive structural shift, accompanied by significant internal displacement across the country. To illustrate the depth of the crisis: although 683 residential complexes have been delivered since March 2022, more than 700 projects remain stalled.
Image source: Як змінився ринок новобудов України за роки війни: де будують, що купують та як змінилися ціни — аналітика DIM.RIA
Massive attacks on energy infrastructure have created another critical challenge: persistent blackouts. As a result, demand for autonomous power solutions is growing rapidly. PropTech companies have begun integrating autonomous energy supply systems into residential and commercial properties, providing a strong boost to smart home and energy-saving technologies.
Real estate prices are rising, citizens’ purchasing power is declining, and securing traditional investment for new projects is becoming increasingly difficult amidst high inflation. According to Ministry of Finance data, inflation stood at 10% in 2021 and rose to 26.6% in 2022. Between 2023 and 2026, inflation fluctuated between 5.1% and 15.2%. As a result, Ukrainians currently spend up to 84% of their household budgets on basic needs: food, medicine, and utilities. This figure significantly exceeds comparable metrics across European countries.
In addition, according to DIM.RIA statistics, the average cost per square meter in primary real estate has grown most significantly in Ukraine’s western regions over the past four years. Specifically, in Ivano-Frankivsk (+69.3%) and Lviv (+52%) regions. Compared to a nationwide average increase of +26%. Meanwhile, front-line and eastern regions show a decline: Zaporizhzhia (-33.3%), Mykolaiv (-17%), and Kharkiv (-14.2%). At the same time, demand for rental housing is rising amid a shrinking supply of available properties. As a result, rental rates are climbing, driving an acute shortage of affordable housing.
Image source: Як змінився ринок новобудов України за роки війни: де будують, що купують та як змінилися ціни — аналітика DIM.RIA
Among all the trends emerging under the influence of external economic factors and technological progress, several stand out for maintaining their market positions over the long term.
As recently as three years ago, fewer than 5% of global real estate companies were implementing artificial intelligence to optimize daily tasks. However, by 2025, the share of organizations actively using AI technologies in their workflows reached 92% (according to the JLL Global Real Estate Technology Survey).
Image source: Reality check: The true pace and payoffs of AI adoption in corporate real estate
Key tasks where artificial intelligence is applied in PropTech:
Alongside artificial intelligence, this trend remains a key driver in PropTech: real estate transactions involve substantial financial dealings and sensitive data processing, making security a critical priority. Previously, transactions involving high-value assets were rarely conducted through digital channels due to elevated security risks.
Blockchain technology has fundamentally changed these rules. Through data decentralization and cryptographic protection, it addresses chronic issues in the PropTech sector: fraudulent schemes, high intermediary fees, and low asset liquidity. To gain unauthorized access to funds and data within a blockchain network, an attacker would require massive computing power to seize control of the majority of network nodes. Furthermore, the technology is built on the principle of data immutability, making it impossible to edit or delete existing records undetected. Today, nearly 53% of real estate companies are already investing in integrating blockchain technologies into their business processes.
AR and VR technologies have long helped prospective buyers and tenants evaluate properties through immersive virtual tours. However, in a broader context, the use cases for immersive solutions in PropTech are far more diverse:
Daily routine operations in PropTech adopt a “mobile-first” approach, displacing paper-based workflows. For example, brokers gain real-time access to property databases, while tenants can quickly submit maintenance requests via mobile apps. This trend continues to gain momentum as it integrates with adjacent technologies: advanced analytics, cloud infrastructure, 3D/VR/AR, and drone-based monitoring.
While such solutions were previously associated exclusively with premium and luxury real estate, the “smart home” concept is now becoming a mainstream standard for comfort-class properties. For instance, by 2023, approximately 25% of new residential developments in Kyiv and Lviv were equipped with basic smart home systems, a figure that continues to grow steadily.
The primary “smart home” capabilities most frequently implemented in new Ukrainian residential developments include:
Trends and external macro factors shape the PropTech industry’s growth trajectory. The Ukrainian market is no exception, as domestic companies demonstrate remarkable adaptability in deploying advanced technologies, even under extreme operational conditions. Virtual tours are already widely used across the Ukrainian real estate market. They assure buyers and tenants that the property matches the listed description and the provided photos. Moreover, listings with a 360° view receive more views, which speeds up the sale or rental of the property.
An AI-powered mobile application designed for residential rental search is also actively gaining traction in the Ukrainian market. Algorithms recognize addresses, eliminate duplicate listings, aggregate data from the country’s leading real estate portals, render 3D building maps, and send automated notifications about new availability in targeted residential complexes.
Pricing management systems can also be fully automated. Real estate developers can calculate the optimal price per square meter based on in-depth market data analysis. The platform monitors daily sales trends and transaction rates and automatically updates apartment prices based on real-time market demand.
Ukrainian technology companies are also actively helping international PropTech businesses scale and grow. For instance, a notable case study involves a comprehensive UI/UX redesign of a mobile application and scaling its core feature set. This project is particularly interesting because it leverages blockchain technology — a key driver of transparency and security in today’s global real estate market.
