Real estate is another class of investment. According to Wikipedia, Real estate is “property consisting of land and the buildings on it, along with its natural resources such as crops, minerals or water; immovable property of this nature; an interest vested in this (also) an item of real property, (more generally) buildings and housing in general.”
Simply put, Real estate investment is investment in landed properties, buildings and housing. This class of investment, though offers huge returns, requires a large capital outlay. Real estate provides cash flows from rental properties or capital gains from buying and selling a property. There are a lot of benefits in investing in Real estate. As an investor, you can choose from four different types of property: Residential, Industrial, Commercial and Undeveloped Land
However, you should take note that when investing in real estate, location is very important. Value added to the property is also important. It makes it more attractive. Likewise, you should be knowledgeable about local real estate market, general economic forecast and tax realities.
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To your financial independence and freedom
Originally posted on June 25th 2018 on www.thefinancialliterate.wordpress.com (A previous version of The Financial Literate)