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Types of real estate investment

The concept of real estate and property is much more than just finding a home. There are classifications of homes and commercial properties, as well as divisions of the types of real estate that are available to others. If you want to make different types of investments that you know you can profit from, then understanding the different types of real estate investments can help you.

There are two main types of real estate investments to begin with; commercial and residential. Each type has specific guidelines which will have an impact on the function of the real estate. After you have determined the type of real estate you are looking at, you can break out what is available.

If you are looking at a purely residential area, then the real estate will be divided up by the size of the homes. Typically, this will be referred to as single-family homes or multi-family homes. If you are looking at a multi-family unit, you can expect to have neighbors who share a wall with you, such as an apartment or townhome. Single-family homes will be completely separate and will usually have a different shape because the neighbors cannot cross the yard.

Commercial real estate also falls into several categories. These will often also be referred to as commercial properties and range from office buildings to manufacturing sites. Commercial buildings differ from residential buildings in that it will change the attitude toward regulations. Most likely, there will be zoning rules and the leases will be divided differently for things like taxes and insurance.

If you are in the right area, you may have the opportunity to have both a commercial and a residential zone in one. Areas such as land investments or areas that have been zoned for commercial use may have these types of regulations. With this, you may also want to consider renting. If you want to run a business from home or want to expand into a business, this may be a worthwhile consideration.

The investment you decide to make can be more than just your home. It can also be something that will provide a return on your investment. If you are interested in finding a space that is more than comfortable, then learning about the different types of real estate investments is the place to start.