First and foremost, Real Estate can simply be defined as a form of Real Property. It’s the land along with any permanent improvements attached to the land, whether natural or man-made—including water, trees, minerals, buildings, homes, fences, and bridges.
Location is a primary factor when choosing to invest in real estate. It determine 90% of your success in this journey or failure.
The two categories of location for real estate investment are;
a. Prime location: Are locations in which the value of properties are already in their peak, hence further appreciation is feasible but not as fast rising as it where from the beginning of the curve. One major characteristics of this zone is the high cost of acquiring properties.
b. Promising location: These are choice location where affordable properties can be bought, whose future value would be high, in view of the fact that, the demand for properties around this zone is high, causing an increase in value and prices in properties, thereby leading to a higher return on investment (roi).
Note: while properties in this zone are affordable, they are not necessarily cheap.
For newbies whose longing is to start on the real estate investment ladder, it would pay more to invest in promising locations, that have an existing industrialization layout, which would shoot the value of the property upwards, leading to higher prices and a good return on investment (roi).