There actually exist 5 main categories of real estate in the real estate industry. Those 5 are commercial, industrial, raw land, residential and special use real estate. Residential real estate by far makes up the most common category and the one that our company primarily focusses on.
Commercial Real Estate or a commercial property is a property that is used only for business purposes. Some examples are apartment buildings, gas stations or convenience stores, grocery stores, hospitals, hotels and motels, office buildings, parking garages, restaurants, shopping malls or stores, and theaters.
Industrial Real Estate is real property that is used for the development, distribution, manufacturing, production or storage of a product.
Land is somewhat self explanatory. It could be agricultural lands, undeveloped property or vacant land.
Residential real estate is a property that is used for residential purposes. Most of this category will be single family homes, condos, townhomes, duplexes and multi family houses/dwellings.
Special purpose real estate is the least common. It includes cemeteries, churches, government buildings, libraries, public and private parks, and schools.
Every piece of real estate is a real estate investment property. A home or piece of land vacant or not is extremely expensive for the average consumer. Real estate investing other than a primary residence is most commonly done by a real estate investor. Most are novices searching for a project home or perhaps a small office space.
In our area residential property is often purchased solely as an investment and converted to a rental property. In other cases property owners will choose not to sell because of the housing market and convert their single family house into a rental property and use real estate professionals to manage it.
Real estate investment properties also include the occasional commercial real estate investor. These are few and far between and the unwise do not last long. Knowledge of a future development on or near commercial properties can be obtained in its early stages at the county level.
Some counties use a master plan that goes 20 years into the future development. Horizon West FL is a perfect example. World class shopping centers, medical and educational buildings and even industrial property development is all slowly showing up. This urban development is truly something to see, watch and research if you are developing an investment strategy.
You may be a real estate agent, real estate investor or you may even just now be considering taking a real estate class. There is money to be made in the real estate industry. Just remember, money is made often from whom money is lost.
Not everyone makes money. Long term real property usually goes up in value. Finding property to make money off of in a shorter term has greater reward and greater risk in today's housing market. This is one reason real estate agents stick to profiting from real estate transactions and do not buy the homes themselves.
In Florida there have been many land improvements in the recent years. New school districts, water and sewer systems and yes, many new residential markets have shown up. Namely in the areas you would normally find vacation homes near Disney.
Single family homes built around Disney will bring top dollar especially if it is located where short term rentals are allowed or in southern Winter Garden. For many years investors though only so many structures could be built but they were wrong.
Now there are new suburban office parks, medical centers and many new commercial development lots are showing up to support the community's residents. This area is a long term real estate investing dream and there is still raw land to the nearby west for more communities and commercial properties. We are waiting to see what comes next.
407-575-5392
Wendy Morris LLC
DBA Wendy Morris Realty
Licensed in the State of Florida
BK 3146762
16797 Broadwater Avenue
Winter Garden, Florida 34787
