Real Estate As an Economic Category
Real estate includes real property including the buildings and land on it, and its accompanying natural resources like water, rocks or plants; immovable property of that kind; an obligation to pay interest in exchange of the use of real estate as security for a loan, or a lien or right to use the real estate. Real estate can be individually and collectively owned, or may be part of larger organizations. The term real estate pertains generally to land. Other terms in common usage include: fixtures, buildings, structures, dwellings, motels, apartment buildings, row homes, studio apartments, industrial buildings, warehouses, shopping centers, strip malls and regatta facilities.
The scope of real estate ownership is broad, since it includes both man-made and natural properties. Man-made real estate can be built up from different kinds of supplies. Such properties can be either constructed by man, or by machine.
Whether natural or man-made, real estate continues to be a significant economic category. Today, it serves as a major resource for many people and is considered a valuable asset class. Its broad scope and critical importance make it important for everyone to consider its various economic characteristics to determine which types of real estate are most appropriate for their needs.