Snake: Hey Fred! This is a really nice pond you have here.
Snake: Really? Everything? I was just about to say that it maybe seems a bit on the small side.
Fish: Small? Well, maybe, but what would I do with a bigger pond?
We think Fred the Fish made a good call on not buying that meadow land. Their conversation got us to thinking about real estate, though.
Real estate refers to real property, which can include land, buildings, and the air and mineral rights above and below the land. In general, there are four main types of real estate: residential, commercial, industrial, and land.
Residential real estate includes homes of all types. Most residential real estate consists of single-family homes. However, it also includes multiple-family dwellings, such as condominiums, townhouses, and duplexes. If a property exists primarily to be used as a residence, then it would be considered residential real estate.
Commercial real estate is used primarily for business. Examples can include strip malls, hotels, office buildings, shopping centers, hospitals, and schools. Apartment buildings are often considered commercial real estate, despite the fact that they're residences, since they're owned to make money from rent.
Real estate is all around you. The home you live in is real estate. The schools you go to are real estate. The office building or factory you might work in one day is real estate.
Many people choose to work with real estate for a living. There are a wide variety of careers that depend upon the buying and selling of real estate. Some of these careers include realtors, real estate agents and brokers, developers, property managers, builders, mortgage bankers, urban planners, and appraisers.