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In real estate, investment is money used to
purchase property for the sole purpose of
holding or leasing for income and where there is
an element of capital risk. Minimise the risk...
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Residential Real Estate
The most common form of real estate investment
as it includes the property purchased as peoples
houses. In many cases the Buyer does not have
the full purchase price for a property and must
engage a lender such as a Bank, Finance company
or Private Lender. Different countries have
their individual normal lending levels, but
usually they will fall into the range of 70-90%
of the purchase price. Against other types of
real estate, residential real estate is the
least risky.
Commercial Real Estate
Commercial real estate is the owning of a small
building or large warehouse a company rents from
so that it can conduct its business. Due to the
higher risk of Commercial real estate, lending
rates of banks and other lenders are lower and
often fall in the range of 50-70%.
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