Real estate is the buying and selling of property, where the property is used for some personal or official purpose. Real estate includes real properties like buildings, lands, or the structures on it, and its accompanying natural resources like water, rocks, or crops; immovable property of the same nature, buildings, or houses in general. Real estate also includes any improvements on the property, which may alter its character or utility. This includes structures like a building or a structure intended to be permanent or immovable, intended exclusively for living or dwelling, and built adjacent to another structure.
In contrast to the common belief that 房地產 deals only with properties of residential or business use, the term has much wider economic characteristics. The term covers any kind of economic development on the land, whether it is housing farming industrial or commercial development. As regards housing, properties include apartments, row houses, row homes, bungalows, condominiums, developments meant for leisure and recreational use, agricultural land intended for agricultural production, undeveloped land intended for infrastructure development, strip mall developments, industrial and office properties, farms, and plantations, as well as tracts of forests and other natural lands used for agricultural, environmental, and hydro-geological purposes.
As regards the natural resources, these include air, water, and land. All these natural properties have economic characteristics that are important in influencing the prices of real estate. These economic characteristics of land form the basis of land dealings, the purchase and sale of land, the availability of land for such transactions, land forms and their utilities, land ownership and easements, etc. These factors determine the prices of houses, plots, and other types of properties.
The factors that determine the prices of real estate include location, accessibility, amenities, and quality of buildings. This includes large buildings, like apartment buildings, row houses, condominiums, and townhouses, small buildings like houses, bungalows, villas, and other residential buildings. They also depend on the number of rooms, baths, amenities provided and their construction type. These factors influence the prices of homes, offices, and other types of residential real estate.
In United States, the residential population continues to increase. This is mainly due to various reasons, the most prominent among which are jobs, better living standards, higher education, and overall demographics. The rapid growth in the population of the state has resulted in the increased demand for property. As a result of this, many property developers and builders rush into the state to develop new residential estates. In order to meet the growing needs of the people, the state government seeks to release residential properties to such developers through various government programs and incentives.
For instance, incentives offered by the Federal government for first time home buyers, stimulate business investment and provide tax rebates to help in buying real estate. These incentives to attract individuals to buy property. Similarly, the government provides tax benefits to those individuals or organizations that purchase or construct housing and offer them as rentals.