Investment is a broad term; it could mean different things to people depending on the context being used. Based on finances investment means a certain amount of money that is put into another platform, with intentions of allowing that money to grow. This word is seen more from the 21st Century, as newer methods of making money were introduced. Companies would sell out part of their ownership to whoever can afford them, other areas of finances like stocks came into place. Investments can also mean putting effort or resources into something, with the hope of getting dividends from those elements spent. There are several platforms where investments can be made, from stocks, to bonds, and real estate, to mention a few. Due to the variations available, confusions may sometimes arise, in addition to the tendency of being cheated out of your money.
Money is difficult to make, and this is why it takes courage to invest it. Putting cash into platforms not entirely controlled by you is a risky venture, which could go either way. Things may work out fine, with many returns, things may also not be favorable. Regardless of either tendency, it’s always a wise decision to invest, and real estate is one of those places that ensure good return on investment. Real estate, just as the term sounds, is any real space, most often natural, that can be purchased. It ranges from land, to everything below it, in addition to the space above it, air-spaces inclusive.
Real estate is different from personal properties because they are unmovable, indestructible, and unique. Personal properties are those that can be carried around, like cars, watches, and mobile phones. Purchasing real estate in most cases can be a good investment as the human population increases, and more land mass will be occupied to handle the spread. It means that the value of land will always continue to be appreciated, which is interesting if you want to invest. People in real estate dealings purchase land and sell it after it has been appreciated. This may take a certain period of time, maybe years, but eventually, you can sell land 3-10 times more than the initial value, which is a good return on investment.
Purchasing land, with everything on and beneath it, is investing because there might be hidden minerals of interest in the soil. Cases like this have seen people move from handling thousands to billions of dollars. Real estate can be a liability in a few cases, like when you purchase a land, and sad events like natural disasters or wars occur in such areas. Instead of having an increase, a decrease will occur, this will lead to loss of primary cost, and zero returns. In other cases, the land may undergo some spoilage like radioactive waste from industries, oil spills, or erosions which can make it undesirable, requiring you get it in shape by spending. Such cases render real estate a liability.
Regardless of the few examples stated, real estate investment is a billion dollar one globally. It is more of an investment than a liability, an investment that can be enjoyed even now.