Many people wonder what real estate investment is, as it is considered one of the most successful types of investment, and it can also be said that it is one of the best types of investment anywhere in the world, because it has very good profitable returns, if the subject is studied. Very carefully, but before investing in real estate, you must first know about real estate investment.
And learning about the types of real estate investment, and also the method of investing in real estate. There are many questions that need to be asked to yourself or to the expert you seek to find out the best types of real estate investment in the area that you have chosen, and here you can seek help from Kinda Development Company, as it provides the best services. Including real estate investment service.
What is real estate investment
Many people wonder what real estate investment is, as it is considered, in a simple sense, to buy, own, manage, rent and sell real estate, in order to achieve high rates of profits.
Real estate investment can also be defined as collecting plots of land or assembling commercial or residential real estate, with the aim of selling or developing in the future, as real estate investment comes under the purchase of ownership, management, leasing and selling of real estate for the possibility of profit.
What are the types of real estate investment?
After we answered the question of what is real estate investment, we will now talk about the types of real estate investment, as it is divided into several main types and we will now get to know some of the types through the following:
Real estate investment in residential properties
- Investing in residential real estate is considered the safest investment, as it consists of investing in houses, residential apartments, building apartments, townhouses, villas, or palaces.
- With the increase in population and the great demand for renting and buying real estate as one of the main needs, this is what makes real estate investment the most widespread investment.
- This path is considered a very safe path, because it is a simple and direct investment without complexity, especially since the financial return is more guaranteed than others. You can also earn money by renting the property monthly to the tenant and obtain a guaranteed and stable income, or you can buy a unit and sell it after a period. From time to time when its price increases, you can obtain the real estate investment service through Kinda Development Company , the best company ever.
What are the types of residential real estate investment?
After the question of what is real estate investment has been answered, we will now talk about residential real estate investment, as residential investment varies according to its size, methods of investment, and also the target group, but what are its types and how can you identify the most suitable residential investment that may suit you?
Kinda development is What helps you determine the difference is through some points, which are as follows:
Real estate investment in residential lands
- Real estate investment in residential land is done by purchasing or owning a plot of land.
- After a period of time, the investor can sell the plot of land, with an increase in the price of the land or with a doubling of the original price, according to the average prices in the Egyptian local market, which may change depending on location factors, as well as the available services, and the residential and commercial development in the place.
Home rental
- Residential real estate is considered one of the types of real estate investments that is very safe, because there is a large and increasing demand for residential real estate due to the permanent increase in the population.
- Renting apartments and houses is considered a very simple investment, as renting houses produces a fixed financial income for the property owner, and the rent of the house or apartment rises with any increase in market rents.
- But it must be clarified that it is necessary to invest in an area with a guaranteed real estate future, meaning that it should be an area capable of development and growth with the presence of major and important facilities in the area so that there is continuity in leasing and the properties can be sold when needed.
Selling residential units
After we answered the question of what is real estate investment, we will now talk about selling residential units, as it is done by building or buying residential units and selling them and is done as follows:
- Building a residential complex, a building, an entire residential building, or a compound, and selling the entire building to the same person or selling each apartment separately.
- But this investment may require large capital, and this requires the presence of more than one partner, as they share profits in certain proportions or by obtaining a loan for the possibility of construction and residential investment.
- Purchasing residential units that are ready and offered for sale, so the investor seeks the help of a real estate broker, in order to find the best apartments and residential units at the lowest prices or at a price that allows him to sell them and collect a profit from the price difference.
- Many investors do not prefer this method, although it provides a high financial return, but it may require very large capital to purchase residential units and then sell them.
Commercial real estate investment
After the question of what is real estate investment has been answered, we will now learn and talk about commercial real estate investment through the following points:
- Commercial real estate investment may represent administrative or commercial offices or other investments, as stores are considered to be the second largest percentage of real estate investment after residential real estate.
- Commercial real estate investment may include various commercial properties, including commercial markets, commercial centers, as well as malls, warehouses, stores, and parking lots.
- The commercial complex or commercial building that includes a business of buying, selling and providing services.
- A number of factors may affect this type, including the following:
- Municipality conditions.
- Safety systems.
- Good designs.
- Parking.
- Marketing.
- Employment.
- Maintenance.
- Commercial real estate investment is considered one of the best types of real estate investment.
What are the types of commercial real estate investment?
After we answered the question of what is real estate investment, we will now talk about the types of commercial real estate investment, as it is considered one of the best types of investments, and you can use Kinda Development to help you obtain the best commercial real estate investment:
- Establishing a commercial building for rent
- It is considered a very excellent investment, as it is done by the investor purchasing a piece of land on which to build a commercial building, and then dividing the commercial building into smaller commercial units and renting them to a company, or renting them to an institution, or to an office, or to a bank, or other Commercial projects.
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Build a commercial building to sell
- This method may depend on the location and area of the building land, as the investor builds a huge commercial building, and then sells it at the highest price or sells it after it is divided into smaller commercial units in which the profit is higher but may require a longer time.
- Establishing a commercial building in partnership
- The real estate investor implements this project by purchasing or owning a plot of land and cooperating with a company or partner for the possibility of constructing a commercial building, but the partner receives a percentage of the profits or obtains in return a commercial unit or obtains a number of commercial units, in order to benefit. Of which.
Here we have reached the conclusion of our article, through which the question of what is real estate investment has been answered, and we have also learned about some of its types.