Hi everyone, I’m considering investing in a property and am confused about the terminology. I’ve been hearing a lot about “realty” and “real estate” but don’t quite understand the difference. Can someone explain what exactly “realty” entails compared to general real estate? Are there specific aspects of property investment I should be aware of that fall under “realty”? Thanks for your help!
1 Like
Hello Junita, Realty and real estate are often used interchangeably but have subtle differences:
Realty: Primarily used in legal contexts, focusing on the physical property itself, including land and improvements.
Real Estate: Commonly used in everyday language and business, encompassing land, improvements, and associated financial interests or rights.
Property Investment Aspects:
- Residential: Houses, apartments, condos.
- Commercial: Office buildings, retail spaces.
- Investment Property: Rental properties, vacation homes.
- Land: Vacant or undeveloped property.
- REITs: Companies investing in real estate.
- Real Estate Securities: Bonds, mortgages, and related financial instruments.
“Realty” refers to services related to buying, selling, leasing, and managing real estate. This includes the work done by real estate agents, property managers, and brokerages.