What Are the 6 Categories of Real Estate?

If you’re interested in real estate, you’ve probably heard of the six main types of property, namely commercial, industrial, mixed-use, and special-purpose. But what do these different types of property actually mean? Here are some examples. Listed below are some of the most common real estate types. Depending on the use for the property, a building can be classified as one of these six categories.


There are six main types of commercial property. Each type of property has different risks and rewards, and the risk/reward ratio is determined by the specific properties. For example, retail property can be considered commercial real estate if it is used for retail purposes. Industrial real estate is also commercial real estate, but only when it is used for industrial purposes. Multifamily properties are high-priority investments. Classified as either Class A, B, or C, they can be divided into different types of properties.


There are many different types of industrial real estate. Depending on the location, this type of property can include a manufacturing plant, warehouse, processing plant, or distribution center. However, it is important to note that the needs of an industrial property are often different from the needs of the office and retail market. Listed below are some of the most common uses for industrial property. For more information, contact a local industrial real estate professional to discuss your needs.


Investors looking for a good rental property should consider investing in mixed-use real estate. These developments usually feature multiple uses and may be more profitable. However, a thorough knowledge of the local market is necessary to choose the right property. The ROI potential for these types of properties is excellent, which is why many investors are turning to this type of real estate. The following tips can help you make the right investment decisions. If you have the right information, you can invest in mixed-use real estate and reap the rewards.


When valuing special-purpose real estate, it’s important to know the price range of comparable properties in your community. Research the market to identify which buildings are most expensive and which are bargains. While taking the average of local valuations can provide a general answer, the details that make a special-purpose property unique may not be as obvious. Here are some tips to help you get started:


One of the six basic types of real estate, multifamily properties typically have the largest tenant base. The number of tenants is generally diverse, making them less vulnerable to sudden drops in occupancy. One tenant leaving a 200-unit building, for example, will not substantially impact the investor’s ability to meet expenses and debt service. Multifamily properties are also typically located in desirable locations. The more units in the building, the higher the ROI will be.

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