Real Estate
What are they?
Real estate refers to property that includes land and anything permanently attached to it — like houses, buildings, offices, shops, or any kind of structure that’s fixed to the ground. It’s one of the oldest and most popular ways to invest, mainly because it can generate long-term returns and protect your money from inflation.
Investing in real estate usually means buying, managing, and eventually selling these kinds of properties with the goal of making a profit. There are two main ways people earn from real estate:
Ongoing income: Like the rent you get from residential, commercial, or industrial properties.
Capital appreciation: That’s when the value of the property goes up over time — often thanks to higher demand, a better location, or overall economic growth in the area.
Key aspects to consider
Real estate investment can take several forms, including outright property purchases, participation in real estate investment trusts (REITs), or real estate crowdfunding, which allows small investors to access the real estate market with lower investment costs.
While real estate offers stability and a steady stream of income, it also presents challenges. These include holding costs, risks associated with the market (such as price fluctuations) and lack of liquidity compared to other financial assets. Therefore, it is essential to carry out a detailed analysis before investing, considering aspects such as the location, the condition of the property, the growth potential of the area and the time horizon of the investment.