is a Real estate?
It is also called as Real property. Land and anything permanently
affixed to the land, such as building, fences and those things attached
to the buildings, such as light fixtures, plumbing and heating fixtures,
or other such items that would be personal property if not attached.
A portion of the earth's surface extending downward to the center to
the earth and upward into space, including all things permanently attached
thereto by nature or man and all legal rights therein.
Real Estate is a very large sector of the economy that encompasses many
jobs. There are over 5 million people employed in some sort of real
estate field. Some of these fields are title insurance, construction,
mortgage banking, property management, appraisals, brokerage and leasing,
One-third of the world's
wealth is tied up in real estate. Real estate is used for collateral
for mortgages and a large amount of financial assets. It is a very challenging
and rewarding career to pursue for those interested. Real estate is
a very large sector of the economy that encompasses many jobs.
Real estate investing can be a very profitable way of investing. Real
estate investing has created more million investors than any other type
of investing. It is a very popular way to invest for those who can afford
it because it allows investors to hedge against inflation. There are
also possible tax deductions and exclusions involved with real estate
investing. It is also very possible for the price of the real estate
to increase dramatically.
There are some risks to
consider as well, such as the principal could be at risk. Low-liquidity
can also be a problem at the asking price. Zoning laws and environmental
issues can have an economic effect on your real estate investments as
The “buy and hold” technique refers to buying real estate
and renting it to tenants, either residentially or commercially. This
can refer to homes, land, or business property. There are both advantages
and disadvantages to owning rental properties. Advantages include having
constant cash flow and collateral.
but are not limited to, property taxes, maintenance and the uncertainty
of tenants. Rental properties are probably not the best route for beginning
real estate investors or for the cash poor. However, rental properties
can be a very lucrative venture for those in the right circumstance.
The “buy and sell”
technique of real estate investing refers to buying and selling property
for a profit. This may mean buying a piece of real estate for a “good
deal” and in-turn selling it for a small profit with no investment
other than time; or it may mean buying a piece of property, investing
in improvements and re-selling for a larger profit. The timing of this
technique depends on the market, the profit margin wanted and the initial
investment. Many believe that with low interest rates, this method is
both the easiest and most lucrative way to begin real estate investing.
There are many facets of
real estate investment and it is extremely important to be familiar
with the real estate market and how it works and changes in order to
be successful. There are many, many sources available to anyone interested
in learning to invest in the real estate market. Like all areas of investing
there are no certainties with real estate. It is important to know that
even with the best of intentions, all of an investment could be lost.
Before buying a house keep in your mind the following :
- The first person you consult about
buying a home is a real estate agent or broker. Although real estate
brokers provide helpful advice on many aspects of home buying, they
may serve the interests of the
seller, and not your interests as the buyer. The most common practice
is for the seller to hire the broker to find someone who will be
willing to buy the home on terms and conditions
that are acceptable to the seller. Therefore, the real estate broker
you are dealing with may also represent the seller. However, you
can hire your own real estate broker, known as a buyer’s broker,
to represent your interests. Also, in some states, agents and brokers
are allowed to represent both
buyer and seller.
- Sometimes, the real estate broker
will offer to help you obtain a mortgage loan. He or she may also
recommend that you deal with a particular lender, title company,
attorney or settlement / closing agent. You are not required to
follow the real estate broker’s recommendation. You should
compare the costs and services offered by other providers with those
recommended by the real estate broker.