Real estate business: Difference between revisions

{{shortShort description|The professionProfession of buying, selling, or renting real estate}}

'''Real estate business''' is the profession of buying, selling, managing or renting [[real estate]] (land, buildings, or housing).<ref name="ReferenceA">"Real estate": Oxford English Dictionary online: Retrieved September 18, 2011</ref><ref>{{cite web|url=https://www.investopedia.com/terms/r/realestate.asp|title=What Is Real Estate?|author=James Chen|date=May 2, 2019|website=investopedia.com|access-date=May 13, 2019}}</ref>

It is common practice for an intermediary to provide real estate owners with dedicated sales and marketing support in exchange for [[commission (remuneration)|commission]]. In North America, this intermediary is referred to as a [[real estate brokeragent]], (orreal realtor),estate broker or a [[real estate agentrealtor]] in everyday conversation,; whilst in the United Kingdom, the intermediary would be referred to as an [[estate agent]]. In Australia, thethey intermediaryare is referred toknown as a real estate agent oragents, real estate representativerepresentatives, or simply the agentagents.<ref>{{cite web|title=Glossary of Terms|url=https://reia.asn.au/consumers/glossary-of-terms/|website=Real Estate Institute of Australia (REIA)|access-date=25 March 2018}}</ref>

There have been various studies to detect the determinants of housing prices to this day, mostly trying to examine the impacts of structural, locational and environmental attributes of houses.<ref>{{Cite journalbook|last1=Annamoradnejad|first1=Rahimberdi|last2=Annamoradnejad|first2=Issa|last3=Safarrad|first3=Taher|last4=Habibi|first4=Jafar|datetitle=2019 5th International Conference on Web Research (ICWR) |titlechapter=Using Web Mining in the Analysis of Housing Prices: A Case study of Tehran |date=2019|chapter-url=https://ieeexplore.ieee.org/document/8765250|journal=2019 5th International Conference on Web Research (ICWR)|location=Tehran, Iran|publisher=IEEE|pages=55–60|doi=10.1109/ICWR.2019.8765250|isbn=9781728114316|s2cid=198146435}}</ref>

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A '''[[real estate transaction''']] is the process whereby rights in a unit of property (or designated real estate) isare transferred between two or more parties, e.g., in the case of conveyance, one party being the seller(s) and the other being the buyer(s). It can often be quite complicated due to the complexity of the property rights being transferred, the amount of money being exchanged, and government regulations. Conventions and requirements also vary considerably among different [[Country|countries]] of the world and among smaller legal entities ([[jurisdictions]]).

In more abstract terms, a real estate transaction, like other [[financial transaction]]s, causes [[transaction cost]]s. To identify and possibly reduce these transaction costs, the [[Organisation for Economic Co-operation and Development]] (OECD) addressed the issue<ref>{{cite web|url=http://www.oecd.org/findDocument/0,3354,en_2649_34753_1_119814_1_1_1,00.html |title=Improving Competition in Real Estate Transactions, 2007 |publisher=Oecd.org |access-date=3 January 2012}}</ref> through a study commissioned by the European Commission<ref>{{cite web|url=http://ec.europa.eu/comm/competition/sectors/professional_services/studies/studies.html |title=Conveyancing Services Market, 2007 |work=Europa (web portal) |access-date=3 January 2012}}</ref> and through a research action.<ref>{{cite web|url=http://www.cost.esf.org/index.php?id=262&action_number=g9 |title=Modelling Real Property Transactions, 2001–2005 |publisher=Cost.esf.org |access-date=3 January 2012}}</ref>

The mentioned research action ‘Modelling Real Property Transactions’ investigated methods to describe selected transactions in a formal way, to allow for comparisons across countries /and [[jurisdictions]]. Descriptions were performed both using a more simple format, a Basic Use Case template,<ref>{{cite web|url=http://alistair.cockburn.us/index.php/Basic_use_case_template |title=Alistair A.R. Cockburn: Basic use case template |publisher=Alistair.cockburn.us |access-date=3 January 2012}}</ref><ref>{{cite web|author=Default |url=http://costg9.plan.aau.dk/UseCases/UseCasesSubdivision.html |title=WG Law and Modelling: UseCase descriptions of Subdivision Procedures, 2002 |publisher=Costg9.plan.aau.dk |access-date=3 January 2012}}</ref> and more advanced applications of the [[Unified Modelling Language]].<ref>{{cite web|url=http://www.iospress.nl/loadtop/load.php?isbn=9781586035815 |title=Ferlan, Sumrada and Mattsson: Modelling property transactions, pp. 27 – 79 in: Real Property Transactions. Procedures, Transaction Costs and Models. Edited by: J. Zevenbergen, A. Frank and E. Stubkjær |date=January 2008 |publisher=Iospress.nl |access-date=3 January 2012}}</ref><ref>{{cite web|url=http://costg9.plan.aau.dk/AalborgAug2005/WG2_presentations/Sumrada_Procedures.ppt |title=Rados Sumrada: Modeling methodology for real estate transactions, 2005 |access-date=3 January 2012}}</ref> Process models were compared through an ontology-based methodology,<ref>{{cite web|url=http://www.iospress.nl/loadtop/load.php?isbn=9781586035815 |title=Hess and Vaskovich: Ontology Engineering for Comparing Property Transactions, pp. 183 – 201, and Hess and Schlieder: Ontology-Based Development of Reference Processes, pp. 203- 219, both in: Real Property Transactions. Procedures, Transaction Costs and Models. Edited by: J. Zevenbergen, A. Frank and E. Stubkjær |date=January 2008 |publisher=Iospress.nl |access-date=3 January 2012}}</ref> and national property transaction costs were estimated for Finland and Denmark,<ref>{{cite web|url=http://www.iospress.nl/loadtop/load.php?isbn=9781586035815 |title=Vitikainen: Transaction Costs Concerning Real Property – The Case of Finland, pp. 101 – 118 in: Real Property Transactions. Procedures, Transaction Costs and Models. Edited by: J. Zevenbergen, A. Frank and E. Stubkjær |date=January 2008 |publisher=Iospress.nl |access-date=3 January 2012}}</ref><ref>{{cite news|title=Stubkjær: Accounting Costs of Transactions in Real Estate – The Case of Denmark. Nordic Journal of Surveying and Real Estate Research, 2:1 (2005) 11–36 |url=http://mts.fgi.fi/njsr/issues/njsrv2n12005.htm |publisher=mts.fgi.fi |url-status=unfit |archive-url=https://web.archive.org/web/20090205182021/http://mts.fgi.fi/njsr/issues/njsrv2n12005.htm |archive-date=5 February 2009 }} </ref><ref>{{cite web|url=http://www.iospress.nl/loadtop/load.php?isbn=9781586035815 |title=Stubkjær, Lavrac and Gysting: Towards national real estate accounts: The case of Denmark and other European jurisdictions, pp. 119- 139 in: Real Property Transactions. Procedures, Transaction Costs and Models. Edited by: J. Zevenbergen, A. Frank and E. Stubkjær |date=January 2008 |publisher=Iospress.nl |access-date=3 January 2012}}</ref> based on the directions of the [[United Nations System of National Accounts]].<ref>{{cite news |title=UN System of National Accounts 1993 |url=http://unstats.un.org/unsd/sna1993/toctop.asp |publisher=mts.fgi.fi |url-status=dead |archive-url=https://web.archive.org/web/20100813233713/http://unstats.un.org/unsd/sna1993/toctop.asp |archive-date=13 August 2010 |df=dmy-all }} </ref>

Real estate transactions: subdivision, conveyance, and mortgaging, as they are performed in the five [[Nordic countries|Nordic]] countries, are described in some detail.<ref>{{cite web|title=Ejendomsregistrering i de nordiske lande|url=http://www.kms.dk/NR/rdonlyres/667650C1-1C6A-49D0-B634-8CEEA7046422/0/Ejendomsregistreringidenordiskelande.pdf|url-status=dead|archive-url=https://web.archive.org/web/20070613093737/http://www.kms.dk/NR/rdonlyres/667650C1-1C6A-49D0-B634-8CEEA7046422/0/Ejendomsregistreringidenordiskelande.pdf|archive-date=13 June 2007|access-date=17 February 2018}}</ref> A translation into English is available for the Danish part.<ref>{{cite web|title=Property formation in the Nordic countries – Denmark. National Survey and Cadastre (2008).|url=http://www.kms.dk/NR/rdonlyres/631D6233-F747-4E1F-98DA-FED3EDAD963E/0/PropertyformationintheNordiccountries.pdf}}</ref>

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* [[Estate agent|Real estate agent]] (in the United Kingdom)

* [[Real estate broker|Real estate broker/agent]] (in the United States)

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