Real estate that generates income or is otherwise intended for investment purposes rather than as a primary residence.

2. Real estate that
generates income or is
otherwise intended for
investment purposes
rather than as a primary
residence. It is common
for investors to own
multiple pieces of real
estate, one of which
serves as a primary
residence, while the
others are used to
generate rental come
and profits through price
appreciation. The tax
implications for
investment real estate
are often different than
those for residential real
estate.

3. Common examples
of investment
properties are
apartment buildings
and rental houses, in
which the owners do
not live in the
residential units, but
use them to generate
ongoing rental
income from tenants.
Those who invest in
real estate also
expect to generate
capital gains as
property values
increase over time.