Tag Archives: UK

Understanding Real Estate Business

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Real Estate

The term real estate has many definitions. Usually people use it as land or property. Housing, building, and land are part of property. People, company, or government owns them. Private sector develops housing and sells to personal owner. This kind of business is common in estate field. Broader term include water, river, oils, and mineral as estate. It is like goods. Several countries have their own definition. Apartment in US is different from UK. Apartment has perimeter and lockable key. In Asian region, villa is big house and similar to resort but more private. However, other countries do not recognize villa.

Vast amount of money can be found in property business. Developers build housing and building. They require large land and others material. Bank, retailer, and other financial institution take part in real estate business. For them, this field is very tempting. With good marketing strategy, new housing can rise into high price. Luxury property is one of revenue source for particular developers. Market is small but has high profile customer. They build condominium, resort, and villa in good region. Rapid growth in emerging market is their target. Customers buy property as residential or investment. You know that land and house price is rarely going down. Sometime, price will increase exponentially.

Mortgage and leasing are two term that familiar in people mind. If they cannot buy with cash money, financial institution provide loan. Customers can pick it based on the financial ability. Risk buyer gets high rate. As investment, apartment or building is not flexible as real money. If you are in hurry, selling house is not good choice. You need some preparations before buyer take over your house. However, long-term financial reserve can be obtained with real estate. Land and building are part of real property and measure company assets. They become assurance to get loans.