Categories of property in which to invest
There are several categories of investment real estate you can invest in, each with its own characteristics and opportunities. Here are some common types of real estate investments:
Residential real estate
The traditional and best-known category of investment real estate includes properties such as single-family homes, apartments, condominiums and vacation homes. Residential real estate is often acquired for the purpose of generating rental income. It can include both long-term rentals and short-term rentals, such as through platforms like Airbnb.
Commercial real estate
Commercial real estate includes properties used for commercial purposes, such as offices, shopping centers, industrial buildings and warehouses. Commercial properties can be attractive because of long-term leases, higher rental income and opportunities for capital appreciation.
Operating property
Investment real estate, in this case operating real estate, refers to real estate properties that are acquired and used primarily for their operating income rather than for capital growth. This type of real estate investment emphasizes the generation of regular income from the operation of the property, such as rental income or other operating income.
Operating real estate includes several categories, including:
Hotel real estate
Hotel real estate refers to properties used specifically for the operation of hotels, resorts, motels, hostels, or other similar accommodations. It includes both the physical buildings and the associated facilities and amenities required for the guest experience. Hotel real estate can range from small bed and breakfasts to luxury five-star hotels and includes different types of accommodations, such as rooms, suites, restaurants, meeting rooms, swimming pools, and fitness facilities.
Learn more about the most important aspects of hotel real estate and view our Hotel Real Estate offerings here.
Healthcare Real Estate
This type of investment property includes real estate objects such as assisted living facilities, retirement flats and service flats. The operation of this property type is aimed at organizing activities and providing care and medical services to residents, who also live there.
Parking
Investing in parking lots or parking garages is a specific type of real estate investment that focuses on acquiring and leasing parking facilities. It involves taking ownership of parking lots or parking garages and leasing them to motorists on a short- or long-term basis.
Student Real Estate
Investing in student property is a specific type of real estate investment that focuses on acquiring and renting accommodations for students. It involves acquiring property suitable for student housing and renting it out to students during their study period.
Want to learn more about investing in student real estate? Then click here.
Conclusion - types of investment properties
Each of these types of investment real estate has its own characteristics and features, giving real estate investors a wide range of choices when investing in real estate. Therefore, inform yourself well when making your choice.