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Real Estate
Marketing Online is often considered
synonymous with real property, in contrast with personal
property. However, for technical purposes, some
people prefer to distinguish Real Estate Lead
Generation, referring to the land and fixtures
themselves, from real property, referring to
ownership rights over Real Estate Marketing. The
terms
Real Estate Marketing Online and real
property are used primarily in common law, while
civil law jurisdictions refer instead to
immovable property.
In recent years, many economists have not
recognized that the lack of effective Real
Estate Marketing Online can be a significant
barrier to investment in many developing
countries. In most societies, rich or poor, a
significant fraction of the total wealth is in
the form of land and buildings. In most advanced
economies, the main source of capital used by
individuals and small companies to purchase and
improve land and buildings is mortgages -- bank
loans for which the real property itself
constitutes collateral. Banks are willing to
make such loans at favorable rates in large part
because if the borrower does not make payments
the lender can foreclose, that is file a court
action that lets them take the property and sell
it to get their money back. But in many
developing countries there is no effective means
by which a lender could foreclose, so the
mortgage loan industry as such either does not
exist at all or is only available to members of
privileged social classes.
In spite of the name, Real Estate Marketing
Online has no connection with the concept of
reality. It derives instead from the feudal
principle that in a monarchy, all land was
considered the property of the king. Thus
originally the term Real Estate Marketing Online
was equivalent to "royal estate", real
originating from the French royal, as it was the
French-speaking Normans who introduced feudalism
to England and thus to the English language;
cognate to Spanish real.
With the development of private property
ownership, Real Estate Marketing Online has
become a major area of business. Real Estate
Marketing Online requires a significant
investment, and each parcel of land has unique
characteristics, so the real estate industry has
evolved into several distinct fields.
Real Estate Marketing Online is, by its nature,
an expensive non-liquid asset. This means that
it costs a lot of money to own it, and it can be
difficult to sell. In development activity,
there are also the added costs of improvements
themselves and
the fees of various and sundry consultants
necessary to get the work done properly. Because expense
is high, sale is difficult, and return on
investment is delayed, Real Estate Marketing
Online is inherently risky. A large part of the
work of developers is the management of risk.
Because the amounts of money involved are
typically very large, a majority of
Real Estate
Marketing Online projects are financed with a
large amount of debt leverage. While more
leverage increases potential profit, it also
magnifies risks and builds in a periodic
negative cash flow. Projects will generally be profitable if
the upfront commitment of cash is kept to a
minimum and the project can quickly start
generating a positive cash flow sufficient to
cover debt service.
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