Over the last several working years of my life I have been employed in real estate property companies but behind the scenes doing all the accounts side of it for all the building works that have gone on etc… but it is a very exciting industry to work in and get to hear.
I am also a big saver, always have been since I was little and not a spender. It is not always the money you make In life, but the money you keep that will help you out in the future if you have plan in mind.
What is Real Estate Investing?
For those that don’t know, Real estate investing can or usually involves and falls into any of the below categories, the purchase, ownership, management, rental and/or sale of real estates for purely profit purposes. Improvement of realty property as part of a real estate investment strategy is generally considered to be known as a sub-specialty of real estate investing called real estate development.
Real estate is usually classed as an asset form, (an item of property owned by a person or company, regarded as having value and available to meet debts, commitments, or legacies) with limited liquidity relative to other investments, it is also capital intensive (although capital may be gained through mortgage leverage) and is highly cash flow dependent.
Whether you are looking to get rich quickly or just make an extra bit of income then getting into real estate investing could be a good start for you and your family. There are different ways to do it and get started up, but there are plenty of companies with advice out there to help you out step by step.
Have you ever heard of Rich Dad Poor Dad? This will give you a big head start as to how different people set out and that you don’t have to have a large amount of money to make money, it is what you actually do with it that helps you go further.
The Four Main Categories
There are four main categories that Real estate can fall in to, these are as below:
- Residential real estate: Residential real estate usually consists of single-family homes, multi-family homes, townhouses, and condominiums. Examples of these include freestanding homes, townhouses, and condominiums that occupants can own. Homes larger than four units are generally considered commercial property.
- Industrial real estate: As the name suggests, these properties serve an industrial business purpose. Such examples include shipping or storage warehouses, factories, and power plants.
- Commercial real estate: Commercial real estate is property that is normally used for the purpose of a business. Commercial real estate is classified as office space, retail space, or multi-family homes. Examples of commercial real estate properties include business offices (office), restaurants (retail), and also large apartment buildings (multi-family).
- Land: Land generally consists of undeveloped property with no structures on it at all. There are limited ways to earn money from land as an investment. Landowners can earn money through land usage, Which is covered with such as agriculture, or upon the development or sale of the land itself.