Real estate is a broad term that includes land and other permanent improvements. These improvements can include buildings, homes, and offices. Real estate can also include undeveloped areas. The construction of new buildings is one form of real estate, with developers often combining vacant land to increase density and value. For example, a strip mall might consist of several lots, each of which can be used as a business location.

Residential real estate includes single-family homes and apartments, as well as condominiums and townhouses. It also includes high-value houses and duplexes. In addition, commercial real estate includes shopping centers, offices, and medical facilities. Industrial real estate, on the other hand, includes warehouses, factories, and other buildings used for manufacturing.

Residential real estate is usually purchased with a mortgage. These loans can be obtained through many sources. They are traditionally backed by the federal government or by a private lender. In most cases, they require a down payment of between three and five percent of the price of a home. However, special loans may allow for a smaller down payment. In addition, buying real estate for investment purposes requires a mortgage or some other form of financing.

The National Association of REALTORS (NAR) is a professional association that brings together real estate professionals. This organization was founded in 1908. It is the largest association in the world. Its members have the right to use the collective membership mark “REALTOR(r)”.