Real estate refers to any property, building and/or features on that particular piece of land. This also includes any improvements that have been made to the land, and any immovable improvements such as fences, out buildings, etc…The term real estate is generally used when discussing homes or property that is up for sale.
     When deciding to purchase real estate, there are quite a few important things to consider. These include; the potential of the property, the condition of the house, which can be evaluated by a professional home inspector, the value of the real estate, which can be determined by looking at the comps in the surrounding areas, and whether or not you will be buying into any type of homeowners association or taking on any unpaid taxes on the property or home. When looking into commercial real estate, this refers to buying such properties as those that have on them; shopping centers, office buildings, factories, apartment complexes and hotels or motels.
     Buying a home can be one of the most important buying decisions you will ever make, it is not a purchase to make lightly, rather it requires planning, thought, and a lot of looking. Buying is usually always a better option than renting, as you are paying toward something that you own, not a property that will never be yours no matter how much money you put into it. When you have a home picked out, the next step is getting a bank to give you a home loan towards the purchase of your new house. This loan is called a mortgage, and is generally set at either a 15 year, or 30 year loan. Most homebuyers make a down payment of some amount toward their new home. The more money put down, the less the mortgage amount will be for. If you can’t afford to make any down payment, some banks are willing to do a “zero down “home loan. This is a nice alternative for those who want to get into a home, but are unable to make a large initial payment. The monthly payment of a mortgage will usually be .75% to 1.75% of the initial purchase price of the home, and the payments will come due on the same date of each month. To qualify for a mortgage, there are usually four things you will need; a down payment, an income that exceeds 2-3 times the amount of your monthly mortgage payment, at least two years of a solid employment history, and a good credit history.
     Buying commercial estate requires a very reasonable down payment, better than good credit, you need excellent credit, proof of experience in the business you are undertaking, a written business plan that shows you know what you are doing, and are a good risk.  A business plan will show solid proof to the lender that you have goals, and have researched a way to achieve the goals. You must also have record of proof of your total income situation, as this is how the loan is going to be being repaid to the lender.