An introduction to REAL ESTATE
WHAT IS REAL ESTATE?
Real estate refers to land, including any physical structures or improvements on that land, such as buildings, houses, apartments, and infrastructure. It encompasses both the tangible, physical aspects of property and the legal rights associated with owning or using that property.
Common tangible and physical assets of a property:
1. Land: The land itself is a tangible asset and forms the foundation of any property. It includes the ground and any natural features on it, such as soil, terrain, and vegetation.
2. Buildings and Structures: Buildings are one of the most prominent physical assets of a property. This includes houses, apartments, commercial buildings, warehouses, factories, and any other structures erected on the land.
3. Fixtures: Fixtures are items that are attached to the property in a way that they are considered part of it. Examples include built-in appliances, lighting fixtures, plumbing fixtures, and heating or cooling systems.
4. Improvements: Improvements refer to enhancements made to the property to increase its functionality or value. This can include additions or renovations to the existing structures, such as adding a new room, updating the kitchen, or expanding a warehouse.
5. Landscaping and Outdoor Features: Landscaping elements like gardens, lawns, trees, shrubs, patios, and swimming pools are part of the tangible assets of a property. Outdoor features can also include driveways, sidewalks, and fences.
6. Utilities and Infrastructure: The property's utility connections and infrastructure are tangible assets. This includes water supply systems, sewage systems, electrical wiring, gas lines, and telecommunications infrastructure.
7. Interior Finishes: Interior finishes contribute to the property's overall value and include features like flooring, wall coverings, paint, cabinetry, and countertops.
8. Furnishings and Equipment: In some cases, properties may be sold with furnishings and equipment included. This is common in the sale of furnished apartments or commercial spaces.
9. Parking Facilities: Parking lots, garages, and other designated parking spaces on the property are part of its physical assets, particularly for commercial and residential properties.
10. Signage: In the case of commercial properties, signage and branding elements may be considered tangible assets, as they are part of the property's physical presence and value.
11. Security Systems: Security systems, including alarms, surveillance cameras, and access control systems, are physical assets that contribute to the safety and functionality of a property.
12. Outdoor Storage or Accessory Buildings: Properties may have outdoor storage sheds, barns, or accessory buildings, which are also tangible assets.