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January 30, 2023

All About Real Estate Business and its Advantages.

All About Real Estate Business and its Advantages.

All About Real Estate Business and its Advantages.

Real estate business is an act of buying, selling, or renting real estate properties such as  land, buildings and  housing developments.

Real Estate business in the Philippines requires a broker License with the Department of Trade & Industry and the registered owner must have be Licensed Real Estate Broker. To be a licensed Real Estate Broker one must passed the Real Estate Broker Exam.

Types of Real Estate:

1. Land – the baseline for all property. Land refers to vacant and undeveloped property.

2. Residential Real Estate – refers to the housing for individuals and families which are generally used for the personal purposes.

3. Commercial – A real estate property such as land and buildings that are used for commercial business operations like hotels, shopping malls, office buildings and hospitals.

4. Industrial. –  A real estate property such as land and buildings that are used for industrial business operations and activities like warehousing, construction, factories and other business development.

Real Estate Investment

Real Estate investment refers to owning properties such as Land, houses, buildings, Condominium with the intention of using such properties for income generation instead of using it for personal use.

Real Estate investment is a profitable investment as its value does not lessen or diminish, rather it rises. Owning a real property guarantees that its value will gradually increase as the times moves on. There is no scenario that the value of your property goes down. The least scenario is that value of the property is just maintained as is.

Investment in Real Estate in the Philippines is a great move/decision for the following reasons.

  • Philippines economy is rapidly growing thus attracting more foreign investors.
  • The Philippines government offers various tax incentives to foreign investors.
  • The country has a large population which will provides a good market for properties
  • Philippines is home to a vast number of world class resorts thus making it a great destinations for tourist and foreign retirees.

Real Estate Industry

1. Brokerage – a firm that employs real estate agents that will facilitate the transaction between the buyers and the sellers of the property.

2. Development – Real Estate Development is the business process that manages all the people involved in the purchase or raw land and develop/ build, sale or lease the finish product to end users.

3. Sales and Marketing – a firm that works with the developers to market and sell buildings and   units they have created and will then earned commission upon completing a transaction.

4. Property Management – is the firm that manages & take care the property of the real estate owners. Its responsibility is to manage the lease contract, market the property and ensure that the property is properly maintained.

“Real estate investing is a way to earn passive income and acquire build wealth over time. “

Read Also: Certificate of Title in the Philippines

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Filed Under: Business Tagged With: Brokerage, Business on Real Estate, Land & Building, Real Estate, Real Estate Business, Real Estate Development, Real Estate Industry, Real Property, Realtor, Types of Real Estate

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