what is real estate investing
Best answer
Real estate investing is thepurchase of property with the goal of returning profit. Profit can come from the management, rental and/or sale of the investment property. This can be a short or long term strategy, depending on which avenue you take.
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What is investment real estate?
Investment real estate is real estate that generates income or is otherwise intended for investment purposes rather than as a primary residence.
Why should you invest in real estate?
Tangible: Real estate or properties are one of those investments which have a physical existence and can be touched and seen. Immune to Inflation: When economic inflation creates a negative impact on the value of other investments, investing in real estate is a fruitful option.
Is real estate a profitable investment?
The investor has the possession of a physical asset, hence providing financial security to the person. Value Appreciation: Real estate investment is the purchase of property which encounters capital appreciation in the long run. When real estate is a profitable investment, it has some limitations which are discussed below:
What does an a real estate investor do?
A real estate investor could also look to serve on the lending or funding side of projects with an expectation of a return on their investment. For example, investors could be the lenders behind hard money loans for real estate.