Real estate is a sort of traditional outlet for investment. The current real estate industry in china is just at the age of a boy. The exploitation of real estate is an industry of high profit which leads to the interests of many investors. The characters of real estate greatly affect the decisions made by investors.
Ⅰ.Introduction of the investment of real estate
⒈ The concept of real estate and its character
Real estate can be defined in generalized way or narrow way. Generally, real estate means soil and the buildings on it with its infrastructures and natural resources such as water. Narrowly, real estate means the buildings on soil and the rights involved by them. Here, we will take about real estate narrowly that are permitted by national laws to be invested by individuals.
The character of real estate:
a) Expensive
b) Hard segment
c) Can not be moved
d) Can not be added
e) Can not be replaced
f) Maintenance
g) Can be invested and consumed at the same time
⒉ The character of investment of real estate
a) The dealing of investment of real estate is combined closely with real estate
b) The location and around area and individual difference of real estate determine the difference of profit and price made by grade.
c) The maintenance of real estate determines the credibility of the investment of real estate.
d) Large scale of investment and long cycle of exploitation. The slow turnover of the investment of real estate should be considered.
e) The investment of real estate keeps alive and brings increment with the development of society and increase of population and increasing demand of soil which lead a trend of increasing price of real estate.
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