Real Estate
Real estate is the property comprising of land and the permanent improvements made to the land, including the construction of buildings, homes, compound walls or fencing, roads and bridges on it, and all the natural resources like water, crops, trees, etc. While some countries also consider minerals a part of the broader term of real estate, it should be noted that minerals found in the land are deemed to be State property in some countries.
In that sense, real estate is different from personal property that is not permanently attached to the land like furniture, jewellery, vehicles, boats, and tools.
In legal parlance, real estate is a term that designates the ownership rights of a person to the land and buildings and natural resources in the land. Most often, real estate means the land plus actual property, as defined by the town/city’s local legislation that governs the property’s ownership and usage.
In other words, one can say that land or actual property without ownership is not considered real estate.
Real estate is private property in the form of buildings and land. Real estate can be used for residential, commercial, or industrial purposes and includes any resources on the land such as water or minerals (as per regulations that govern the usage of such resources).
Depending on the type of usage, real estate is broadly categorized as:
Residential: Residential real estate is the land and the building within that is used for habitation
Commercial: Commercial real estate is the land and the buildings on that land used to run a business
Industrial: Industrial real estate is the land and the Factories, Work sheds, and Farms built or established in the land.
In many countries, real estate remains one of the most valued assets a person owns. Typically, the worth of real estate is an important economic indicator of a state or nation.