Real estate is assets, land, houses, air rights over land, and underground and according to the laws that governs the rights under land. The word real estate is real or physical land. From the Latin language, the word “true” originates, which means “royal”, because the kings used to own all the land in their kingdoms.
Four types of real estate.
There are many types of real estate you can buy in Illinois, the most common types are the following:
Residential real estate contains both new development and resale assets. One-family homes are the most popular type. There are also condominiums, co-ops, townhouses, duplexes, triple decks, quadplexes, high-value homes, multi-generation and holiday homes.
Commercial real estate comprises shopping centers and shopping malls, medical and educational facilities, hotels, and offices. Apartment buildings are also considered industrial, even though they are used as residences. That's because they're in the business of making profits.
Industrial real estate involves the development of buildings and land, as well as warehouses. Buildings may be used for the study, construction, storage, and distribution of products. Some of the buildings which distribute products are called commercial real estate. Classification is relevant because zoning, construction, and sales are treated differently.
The land contains vacant land, working fields, and ranches. Subcategories within empty land include underdeveloped, early growth or re-use, development, and site assembly.
How the Real Estate Industry Works?
The buying, selling, and producing of land both come under the umbrella of the real estate industry. Real estate is such an important aspect of the United States that it is considered to be the driving force of the US economy. And Illinois real estate industry is considered the backbone driving force for the US economy.
A vital aspect of gross domestic product is the construction of buildings of different types—both residential, commercial, and industrial buildings. In 2018, real estate construction contributed $1.15 trillion to the nation's economic output. That's 6.2% of U.S. gross domestic product. It's more than the $1.13 trillion in 2017 but still less than the 2006 peak of $1.19 trillion. At that point in time, almost 9% of the gross domestic product of the US was coming from the real estate construction department.