REAL2520ESTATE

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Table of Contents REAL ESTATE.................................................................................................................................... 5 Introduction ................................................................................................................................ 5 HISTORY OF REAL ESTATE ........................................................................................................... 6 land domain ................................................................................................................................ 7 Budding real estate market ........................................................................................................ 8 TAXATION OF A REAL ESTATE OR REAL PROPERTY....................................................................... 12 Role Number of a Property....................................................................................................... 12 Ways to Acquire A Property...................................................................................................... 14 Real Estate: Personal Property and Real Property ................................................................... 14 Have you ever wondered how the wealthy continue to amass wealth? ................................. 15 The Importance of Real Estate and Its Great Potential ............................................................ 15 Why is real estate investment a good business?...................................................................... 16 Seven compelling reasons to invest in property: ................................................................. 16 INVESTING IN REAL ESTATE ...................................................................................................... 17 How to start investing in real estate?....................................................................................... 18 What are the different sorts of real estate investments? ........................................................ 19 HOW TO INVEST IN REAL ESTATE WITHOUT MONEY? ................................................................. 21 Real Estate Investment Funds Are A Great Ally........................................................................ 21 How do they work?............................................................................................................... 22 Use Real Estate Crowdfunding Platforms. ............................................................................ 23 Remortgage Your Home ....................................................................................................... 23 Buy Houses at Foreclosures. ................................................................................................. 24 Start subleasing real estate................................................................................................... 24 HOW TO INVEST IN REAL ESTATE WITHOUT MONEY THROUGH SUBSIDIES................................ 25 LOANS ARE A VIABLE SOLUTION TO ACHIEVE YOUR INVESTMENT.......................................... 26 A practical guide to starting a real estate business .................................................................. 27 Ten real estate terms to know.................................................................................................. 29 TYPE OF REAL ESTATE TO INVEST ................................................................................................. 32 Three Types of Real Estate........................................................................................................ 32 Types of Properties for Types of Clients ................................................................................... 33 2

Preferred Real Estate for Generations...................................................................................... 35 Baby boomers ....................................................................................................................... 35 Generation X ......................................................................................................................... 35 Millennials............................................................................................................................. 35 Characteristics of real estate ........................................................................................................ 36 Well located .............................................................................................................................. 37 Durability................................................................................................................................... 38 Heterogeneity ........................................................................................................................... 39 Real Estate Law ......................................................................................................................... 40 Real estate law: definition .................................................................................................... 40 Real estate transactions (the sale and purchase of real estate). ......................................... 40 Real estate law: rental .......................................................................................................... 41 Real estate law: purchase/sale of real estate....................................................................... 41 Real estate law: co-ownership.............................................................................................. 42 Real estate law: building permit ........................................................................................... 43 Real estate law: the neighborhood....................................................................................... 43 Real estate law: taxes and levies .......................................................................................... 43 What is luxury real estate? ........................................................................................................... 45 Luxury and prestige real estate ................................................................................................ 45 REAL ESTATE AGENT ..................................................................................................................... 50 How to Become A Real Estate Agent? ...................................................................................... 51 Who is a real estate agent? .................................................................................................. 51 The requirements for exercising the business...................................................................... 51 The skills of the real estate agent ......................................................................................... 52 The personal requirements .................................................................................................. 52 The moral requirements ....................................................................................................... 53 WHY THE AGENCY AND NOT DO IT MYSELF ................................................................................. 54 Is It Worth Relying on A Real Estate Agent? ............................................................................. 55 The Benefits of a Real Estate Agent.......................................................................................... 56 Extensive customer network ................................................................................................ 56 A realistic estimate of the purchase price ............................................................................ 57 3

Negotiation skills and experience in negotiations................................................................ 57 The right real estate agent............................................................................................................ 59 ADVANTAGES AND DISADVANTAGES OF REAL ESTATE INVESTING ......................................... 59 Advantages of investing in real estate.................................................................................. 59 Disadvantages of investing in real estate ................................................................................. 61 Conclusion................................................................................................................................. 63 4

CHAPTER ONE REAL ESTATE Introduction Real estate, also called immovable property, is a physically attached value to the land. Although buildings are the first thing that springs to mind, we must remember that other properties such as land are also considered property and real estate, so they are also regarded as real estate. The name practically tells us that they are goods rooted in the soil where they are found. This is important since other assets such as trailer homes, despite being houses, are not physically tied to the ground, so they are not considered real estate. However, the so-called \"mobile homes\", or prefabricated, are regarded as real estate once settled on the foundations. Simply put, regardless of its use, what defines real estate is that it cannot be moved. However, in some legislation, there are exceptions. In these, ships or aircraft can be considered real estate. 5

The term real estate comes from a Latin word that refers to something intimately linked to the ground, united in inseparable ways, physically or legally, to the land. That is why a property is an asset, considered real estate, since it is a physical, an observable and touchable \"thing\" but cannot be transported from one place to another without causing damage. Some examples of property considered real estate are: ▪ land or site ▪ Tree ▪ House ▪ Edifice ▪ Mall ▪ Office ▪ Department ▪ Plot ▪ Parking lot Unlike personal property that can be tangible and intangible, which are not real estate, can be transported from one location to another without affecting its functionality or integrity. For example, a table, chair, computer, etc. HISTORY OF REAL ESTATE Acquiring real estate could be one of the oldest investments of humanity, which is why we go back to the depths of history to understand this real estate phenomenon better. Nowadays, if we want a house or a piece of land next to the beach to vacation with the family and have the necessary money, nothing is more accessible than looking for the right one, reaching an agreement with the seller, and buying it. If the government suddenly passed a law to limit our property rights, we would see it as an attack on our freedom. We would oppose it since we are accustomed, at least in most of our planet, to consider absolute ownership rights over our things as an inalienable right, only limited by law in some particular cases. But it was not always like this. 6

The sense of ownership is almost as old as humanity itself. Since the human being lived in caves (which, by the way, not all did, only those who were lucky enough to find one without inhabiting it) have known how important it was to have a place of their own and set out to protect it from any type of intruder upon finding it. Of course, initially, a territorial limitation is known as \"hunting territory\" was established, belonging to a particular social group, in which no foreign group or individual who wanted to take advantage of the available resources had access since these generally were not enough to sustain more people—a simple matter of survival. Keep in mind that not all regions of the cave are the same. From the beginning, there were \"lots\" better than others, and the boss was always at the top. In the future, this division would be called urbanism. Of course, this is not something unique to us. In practice, most animals develop a similar instinct. They take over a territory and defend it with all their might, either alone or in a group. And the primates, with whom we share a common ancestor, are specialists in this, so it is not uncommon for us to have taken this instinct to unsuspected levels. With the advent of agriculture, things changed. Human groups began to leave nomadism behind to settle permanently somewhere. Agriculture allowed population growth by facilitating a greater volume of food, but it also forced the group to look for better places to develop their new knowledge. This is how the first cities arose, usually located on the banks of a river. These, in addition to providing abundant water for crops, allowed the development of irrigation systems and high-speed transport routes, which also boosted commercial development. land domain The territory domain acquired a great sense of importance, seen as a symbol of power. In the first civilizations, the possession of the land began to be regulated, becoming the basis of the economic structure. An example is the city of Sumeria which was considered the cradle of urban civilization. The land was monopolized, nominally by the king of the town, and not only as a symbol of his divine power but also as a means of control. The same thing happened in pharaonic Egypt, where although there were privately owned lands, most of them belonged to the monarch. This, in turn, could grant them as a reward to his officials 7

and nobles, who were authorized to inherit it to their children but not to sell or divide it, with the added inconvenience that the pharaoh could take them away at any time. And to increase his power, the sovereign was the exclusive owner of all the stones used to construct the great temples and palaces; only he could give them away or sell them. In this way, there was almost absolute control of the real estate in Ancient Egypt, with which the pharaoh ensured that none of his subjects accumulated too much power to become a problem. Of course, they didn't always succeed. In general, this system prevailed in the great cultures of the East, such as China, Persia, or India. However, it would be in Europe where a different model would emerge. The Hellenes (better known as Greeks) had the misfortune to inhabit a small and rugged peninsula that did not allow the development of great empires like in Egypt or Mesopotamia, which prevented powerful kings from emerging. Greek culture was based on the polis, whose domain area usually extended only a few kilometers around its defensive walls. This situation meant that the polis citizens generally had the same rights regardless of their economic power. Of course, there were also slaves, but that was part of the time's financial system. Since no ruler monopolized all the land for his interests, it passed into private hands. The state only reserved a part for public buildings, but apart from that, the land belonged to whoever could buy it. Budding real estate market This possession allowed them to know that they were an essential part of the polis, thus ensuring citizens had a greater sense of belonging and solid social cohesion, which did not happen with the great eastern empires. The strength of the city lay in the loyalty of its citizens. Being landowners, the Hellenes feel free and are willing to fight for their freedom. They managed to defeat the mighty Persian Empire when it conquered them. This is when, according to all the evidence, what we could call a developing real estate market emerges. 8

Meanwhile, Rome went even further. Emerged as a small village in the Lazio region, in the center of the Italian boot, its contacts with the Greek cities of southern Italy (known at the time as Magna Graecia) and with the Etruscan cities that surrounded it allowed it to develop a system similar to the Hellenic one. Kings ruled Rome during its beginnings, but a popular rebellion deposed the seventh of them, Lucius Tarquin the Proud, and established the Republic. Although, at first, it was an aristocratic type of government, the truth is that it was based on private ownership of the land. This became the element of citizen power. Therefore, the worst punishment that could be imposed on one was confiscating their property to later auction them off in a public auction. This only happened in cases of treason. By the way, it will be in this same city where the first real estate agents appear, in charge of buying and selling real estate among the wealthy Romans. And since we are talking about this, it is necessary to remember that as in all previous civilizations, in Rome, economic power and social influence were demonstrated by possessing an excellent place to live. It was not the same to have a house on the aristocratic Palatine Hill as in the plebeian Trans Tiberis (Trastevere). Good location was everything, and the Romans knew it well. With the fall of this great Mediterranean Empire, the situation in Europe changed drastically. Many towns were abandoned, and small rural private estates gave way to large feudal estates. All for the sake of security, since there were troops of the feudal lord, which guarded a castle in the fiefdom and provided protection to the surrounding villages. Of course, in exchange for that, the nobleman becomes the owner of most of the land, which gives him great power. The problem was aggravated when these same nobles and high ecclesiastical dignitaries also became owners of most urban estates, which significantly impeded the development of the real estate market. But still, Within those impoverished and unhygienic cities, there were lots of lands more valuable than others. The power of a suitable location was still very present. All this began to change at the end of the Middle Ages, in the fifteenth century, when the cities, allied with the king, who sought to limit the feudal power of the nobles, regained prominence at the hands of the new bourgeois class (from burg: town). We will see how large properties began to decline in favor of small owners in the following centuries. This process accelerated with the 9

French Revolution and with the liberalism of the 19th century. This doctrine saw this land grab by the nobility and the Church as a hindrance to economic development. Meanwhile, in the case of the Mesoamerican cultures -particularly the Mexica-, the situation was similar to that of the great Eastern cultures. Being a form of absolute government, the lands in their entirety belonged to the Huey tlatoani, who distributed them into three groups: those that were assigned to him personally and used to reward his servants, relatives, warriors, or friends; those that were destined to support the temples or other public institutions and those granted to the towns in a communal way for their cultivation. In other words, the private and individual property was something exclusive to the elites. And yet, within all the region's urban centers. The elites occupied the properties near the temples, making them more expensive and exclusive. If we move to the south of the American continent, we will see that in the other great indigenous empire that existed at the arrival of the Spaniards, it was that of the Incas; things were similar, although with one difference: the village lands were not communal, since each father of the family was assigned an extension of land according to the number of children he had so that he could cultivate it. During the Spanish rule, the best land was taken over by large landowners who owned extensive agricultural properties and who, as was the case in Europe, owned many urban estates. Later, returning to Mexico during the 19th century, the lands accumulated by the Catholic Church and the indigenous communities were called \"dead-handed assets\" and were disentailed during the Reform, which paradoxically helped the increase of large estates to the detriment of small landowners, just what the Liberals wanted to avoid. At least the rural lands were back on the market and, as far as the cities were concerned, the time when a few people owned most of the houses was over. This gave a renewed impetus to the real estate market in our country and allowed the rapid enrichment of some of its agents. Finally, this is the position that succeeded. Those years in which the pharaohs, kings, or tlatoanis were the absolute owners of the land are behind us. With the bourgeois revolutions of the 19th century, it became clear that the possession of the land was linked to individual freedom. 10

Currently, the figure of the king was replaced by that of the Nation. All the lands belong to the Nation. But this only means that they cannot belong to a different country. Other than that, there is no limit to private property. Real estate markets as we know them today originated in Greece and were perfected in Rome, as mentioned above. However, it can be ensured that they acquired their modern form (houses dedicated exclusively to purchasing and selling real estate with specialized agents) until the end of the 18th century and the beginning of the 19th century, with all its advantages and disadvantages. Although we know that already in imperial Rome, on occasions, some speculated with the land or who, possessing privileged information, made great fortunes with the purchase and sale of land (such as the famous Crassus, one of the richest men in Rome) It will be in the 19th century when this reaches inconceivable levels. The housing market crisis will bankrupt more than one economy in those years of uncontrolled capitalism. For example, we have the case of the renovation of Paris carried out around 1860 by Baron Hausmann, who traced the famous Parisian boulevards by razing entire medieval neighborhoods. More than one became a millionaire buying whole apples at low prices and reselling them at high prices to the state. And that process has been repeated many times in different parts of the world. Currently, we can say that the real estate market is one of the main engines of any healthy economy. Still, as with everything, if it is not adequately regulated, it can cause more than one headache. Today as yesterday, it is not the same to buy an apartment on Fifth Avenue in New York on Avenida de Los Mártires de Almoloya, second section. Power continues to be demonstrated with the choice and accessibility of the place where you live. 11

CHAPTER TWO TAXATION OF A REAL ESTATE OR REAL PROPERTY In tax law, real estate may be subject to one or more taxes: • Territorial Tax (contributions) • Value added tax or VAT • Income tax. • Inheritance tax and donations. • Stamp taxes and stamps. Role Number of a Property The Role Number is an identifier that the Internal Revenue Service (SII) uses to identify a property or real estate. This identifier is unique at the community level. The Role number comprises two parts: block number and property number, and they are separated by a hyphen. For example, Role 932-24, of the Puente Alto commune, that is, it 12

corresponds to property number twenty-four of block nine hundred and thirty-two of that commune. The Role number is noted in the following documents issued by the Internal Revenue Service: 1. Tax appraisal certificate 2. Notice receipt of payment of contributions 3. Role of appraisal collection and contributions 13

Ways to Acquire A Property. Property or real estate can be acquired in two ways: 1. With Financing: ❖ Housing Subsidy. ❖ Mortgage Credit. ❖ Residential Leasing. ❖ Own resources. ❖ Collective Financing. 2. Without Financing: ❖ Acquisitive and Extinction Prescription. ❖ Regularization of Fiscal Property Domain Titles. ❖ Succession by cause of death (inheritance). Real Estate: Personal Property and Real Property First of all, we will differentiate between personal property and real property. Intangible assets, such as bonds, stocks, or other investments, are included in personal property, as are tangible goods, such as furniture, computers, mattresses, or clothing. Real property is a less commonly used term that refers to real estate as well as a variety of rights attached to it. This set of rights gives the owner the freedom to do whatever he wants with his property. In a nutshell, real property refers to physical objects as well as ownership of those objects, whereas real estate merely refers to material objects. The owner's rights to his property are classified into five categories: right of possession, right of enjoyment, right of control, exclusion, and right of disposal. • Possession: right to occupy the property. 14

• Enjoyment: right to use the property without outside interference. • Control: the right to determine one's interests. • Exclusion: Right to disregard the interests of others. • Disposition: the right to decide if the property is sold or transferred to another party and in what form. Have you ever wondered how the wealthy continue to amass wealth? The vast majority of people earn a decent living with the physical work they do daily, whether sitting in an office or standing in a factory, receiving a payroll at the end of the month to pay for their vital needs. In the end, they make a living based on what they produce with their time; this is what is known as active income since if you do not work, you do not generate more revenue. With this type of income, if you get sick or fired or you retire, you would stop receiving this money. Meanwhile, sophisticated investors have learned that passive income is key to financial stability. Passive income is the ability to earn a steady income stream and increase your wealth even when you're not working. Most people gain passive income through investing. The most deeply rooted form of investment in our society is in funds or shares of companies listed on the major world stock markets, but these do not have to be the best options to generate this passive income that we are talking about. While the average investor only invests in publicly traded stocks and bonds, high net worth investors also tend to invest in private assets to diversify their income streams, understanding that diversification is the most feasible way to mitigate risk. Risk and maximize returns. One of the most common differences between a wealthy investor's portfolio and the average investor's holdings is that wealthy investors own more private real estate investments. The Importance of Real Estate and Its Great Potential Real estate is an investment that has been with us for decades and decades and has always been an asset with high yields that generates constant income. It also has exciting long-term 15

appreciation potential since real estate is scarce and has limited land. And what is fixed in the long run, its value is appreciated. Food and shelter are the two most fundamental material human needs. They have intrinsic value, which means they can hedge against inflation. Additionally, as cities grow, demand for real estate increases as more people need more places to live, work, eat, and shop. This is the main reason why real estate has historically appreciated over time and produced wealth for those who own it. You already know that real estate yields are very high and will always tend to rise, but most of the population is not familiar with this investment family. I am not going to go into why people lack so much culture in this type of investment because it is a separate topic. But now that you know about it, I think it's time for you to dig deeper, build your portfolio and start generating passive money with this type of investment. Why is real estate investment a good business? Many individuals nowadays prefer to invest in real estate since it is nearly always safe and requires little work. One of the common reasons people purchase property is to rent it out or wait for its value to improve before selling it. Alternatively, you can modify a home or build on land to sell or rent it in the same way. Seven compelling reasons to invest in property: 1. In order to have a successful retirement. Because the government pension, at least in Mexico, is insufficient to meet all of our demands, the best alternative is to invest in a property to generate additional income from the monthly rent value. 2. It is more convenient than saving because the interest rate on a savings account may be below and is dependent on the state of the national economy. 3. It is less risky than investing in equities or precious metals like gold or silver because A property's value does not change much over time and always rises. 16

4. In times of crisis, local currencies may be worthless. Property, on the other hand, is measured in dollars. 5. You can save up to half the value of an auction by bidding on it. When a bank loan secures a property, and the loan is not fully repaid, the property is seized, and the bank auctions off the property to recoup its investment. 6. Pre-sale prices on new real estate can be leveraged for immediate profit by selling finished construction. 7. This does not necessitate being a professional. You must, however, seek the guidance of an experienced advisor. This way, problems arising from a lack of understanding of certain legal and notarial features and other factors that, if overlooked, could jeopardize the investment can be avoided. Furthermore, an advisor can assist you in making the most of your property, allowing you to generate tax-free cash flow while also lowering taxes on other kinds of income. Real estate investment is regarded as safe, rewarding, and low risk as long as you know how to pick the right property to buy. According to Forbes magazine, \"If a correct choice is made (in the investment) the advantage is to obtain profits of up to 30%, in an average period of three years.\" INVESTING IN REAL ESTATE In Mexico, the real estate sector constitutes the second economic force, representing 14% of the Gross Domestic Product (GDP). According to real estate associations, it is expected to grow constantly. That is why, among the existing options, investing in real estate is one of the safest and most beneficial, even in times of crisis. This is because real estate rarely loses its value; on the contrary, it increases as real estate demand increases. So that you can make safe investments, we invite you to learn how to invest in real estate in Mexico without being an expert and without having to make a significant investment. 17

How to start investing in real estate? • Create a budget plan • Learn about your investment options and determine your objective • Evaluate the risks • Create a budget plan The first step is to have a budget that can be invested without causing you any financial problems. Next, it is advisable to look at your finances and create an investment plan to make this possible. Research market pricing according to the sort of property you are interested in and the location where investing in real estate in Mexico appeals to you to get an idea of how much money you will require. Based on your research, start building a savings fund and put together the amount you think you need for the initial investment, including down payment, professional advice, notary fees and other additional expenses. If you will use a mortgage loan, choose the one that best suits your profile, compares interest rates and read the contracts carefully. This is essential to avoid over-indebtedness. Learn about your investment options and determine your objective. Investing in real estate is limited to buying and selling since there are multiple options, such as real estate types. To start, you can choose between the following types: 1. Residential real estate: it is a type of property-focused solely on serving as a home, so it provides all the comforts of home. Includes houses, apartments, residences, farms or vacation homes, as well as those lands intended for housing construction. 2. Commercial properties: they include commercial premises and office spaces. These properties are usually the best to rent since their rental price is higher than residential properties. In addition, it implies lower maintenance costs. 3. Industrial land: includes warehouses, warehouses, industrial buildings and all those spaces used to produce goods and services. Investing in real estate of this type requires considerable capital but usually represents excellent returns. 18

In turn, you must determine if you want to dedicate yourself to the sale or rental of real estate or to invest in small amounts in real estate projects. Once you have established your objective, you will create an investment portfolio. 4. Evaluate the risks: Although real estate investment could generate excellent returns, these will come as part of progressive growth. Therefore, initially, you should consider your earnings as additional income and not as a way to displace your current income. However, you should be aware of it during starting investing in real estate. Making your investment profitable may not be an easy task. To obtain a good result, you must consider factors that influence the capital gain, such as location, accessibility to services, and nearby places of interest. Usually, you will see long-term results, so you should not expect immediate liquidity. As a practical example, when reselling a property, it is recommended to wait for 3 to 5 years to obtain at least 30% profit. If you plan to rent the property in your case, it is also essential that you consider the maintenance costs. This includes paying taxes, such as ISR or predial, paying essential services or eventual repairs. What are the different sorts of real estate investments? a) buy to rent b) Resale of real estate c) Investment in vacation homes 19

a) Buy to Rent If you have already finished paying for your first house, an excellent option to invest in real estate is to buy a second house to put it on rent. In this way, the credit will be paid through rent, and you will be able to grow your assets and obtain long-term profits. Through this type of investment, you can receive a return of up to 20%, in addition to ensuring a continuous income. b) Resale of real estate In this investment style, the aim is to take advantage of the opportunities of the real estate market with respect to low prices, for example, by buying houses at bank auctions, auctions or pre-sales. Once the home is purchased at a price below market value, repairs are made to increase its cost, or the right time is awaited to put it up for sale again at a higher price. Although this investment generates excellent income, it may not be ideal if you are looking for options on investing in real estate without money since it requires a large budget. c) Investment in vacation homes When considering real estate investment, keep in mind that it does not always have to be done in the same place where you live. You can invest remotely through a real estate advisor or a property manager. In this case, choosing vacation destinations is one of the best options since the real estate value of these destinations increases frequently. In addition, you will be able to promote a vacation rental business and generate constant income. To buy vacation homes, it is advisable to emphasize the home's amenities. That is, choose those properties that include a pool, garden or terrace and even a Jacuzzi since this helps to attract a more significant number of tenants when renting. As if that were not enough, thanks to this investment option, you will have the possibility of using this house for your rest. 20

CHAPTER THREE HOW TO INVEST IN REAL ESTATE WITHOUT MONEY? When thinking about making a worthwhile investment, it is inevitable to have the option of buying a property within your possibilities. This frequently leads us to wonder how to invest in real estate without having any money. Well, believe it or not, some options can help you make your dream come true without having a large budget. Learn here several possibilities of investing in real estate without money before you discard the idea of achieving it. Real Estate Investment Funds Are A Great Ally Suppose you think about most lately, where to get the capital to pay the initial instalment of a property and how to invest in real estate without money, such as housing, commercial premises, 21

office, lot, warehouse, farm, etc. We tell you that if you currently have a small savings, whether from severance pay, part of your income or an extra payment that you will receive in the short term, there is an exciting investment alternative with little money. These are the Real Estate Investment Funds in Colombia. These are financial options in which you can participate in the Real Estate sector's purchase, operation, administration, and sale of properties. You must choose a fund and start with an investment of 2 SMLV. This will make you obtain a reasonable return with shallow risk, and per year it can be 11% of what you initially invested. How do they work? Its primary purpose is to collect and add the investment of its participants to buy properties such as homes, stores, shopping centres, office buildings, warehouses, among others and give a percentage of profit to its investors. 22

We recommend this type of fund if you do not want to take a high risk and if you want to receive high returns above inflation. This way, you will enjoy good profitability considering that the real estate market is much less volatile than the stock market. However, remember that in order to invest in these funds, you must meet certain criteria: Remember that the average commissions or administrative expenses are between 1.5% to 2% per year. In addition to this, some may charge you a percentage of your performance; we recommend that you find out very well the conditions of the fund you choose. You must have a minimum budget to enter the fund. This will vary according to the policies of each one of them; it can be from 2 SMLV to 10 million pesos. Remember that the most important thing is the profitability that you will obtain. Seeks to maximize your investment and knows very well the administrative costs for which you must respond when you are an investor of the fund you choose. Ideally, you should achieve a value greater than 11% annual return. Use Real Estate Crowdfunding Platforms. Real estate crowdfunding is a kind of collective funding through which real estate developers offer the option of financing their projects through small capital injections. Thus, through small investments, an inevitable return can be obtained. This type of investment in real estate is ideal for small or medium investors since it represents low risks. Experts analyze each real estate project available for investment in the field to ensure an excellent return on investment. Thanks to platforms such as 100 bricks, M2 Crowd or Briq MX, it is possible to make investments from one thousand pesos and obtain excellent results. Remortgage Your Home If you find yourself looking for ways to invest in real estate without money and have a property, remortgaging your home is a good option. Even if you have not yet finished paying the mortgage loan for which you obtained your first home, it is possible to request a mortgage extension. 23

Through this procedure, the bank will reassess your home and, if you initially obtained a loan for one million pesos, the bank could lend you up to 80% more. But, of course, this depends on the credit situation and the renovations you have made to the home, which could increase its value. You will obtain the budget you need to invest in real estate and start a property rental business through this option. Buy Houses at Foreclosures. The best option to invest in homes with a cost up to 70% below its real value is to search among the offer of mortgage auctions. This type of housing comes from credits that banks or Infonavit did not settle, so the institution sells them at discounted prices. To invest, a budget of less than a million pesos is required, and, once purchased, the home recovers its value immediately so that it can be resold at a better price. Therefore, it is vital to carry out this type of investment only with trusted institutions and, if necessary, with the help of a real estate advisor. On the other hand, pre-sale houses are houses under construction and are put up for sale in advance. This type of offer allows access to the best prices. Start subleasing real estate. If you don't have enough income to buy a second home, real estate generates other options. For example, renting a room unoccupied in your home or subletting a house. Subleasing real estate refers to being a kind of intermediary between the owner of the house and the tenant. In other words, as a tenant or lessee, you will be able to find a new tenant to whom you can sublease the exact property that you are renting. You will ask for a higher rental price that allows you to pay for the property and generate a profit by offering the house. It should be clarified that this is done with the lessor's prior consent. This type of business can be successful in university areas. 24

CHAPTER FOUR HOW TO INVEST IN REAL ESTATE WITHOUT MONEY THROUGH SUBSIDIES Another viable option in Colombia to invest in real estate is through the subsidies provided by the government through the Ministry of Housing, compensation funds, the National Savings Fund and banks. These are some subsidies that are currently in force: ▪ Priority Interest Housing (VIP): The cost must not exceed 90 (SMLMV) to apply for this subsidy. ▪ The housing of Social Interest (VIS): The value of the subsidy depends on the salary of the interested party. These homes cost more than 90 minimum wages and less than 135 SMMLV. ▪ Rural Housing Family Subsidy: The newly built house equivalent to 70 SMMLV is delivered. ▪ Mi Casa Ya: People with incomes not exceeding eight minimum wages can apply for this subsidy. 25

▪ Concurrent subsidy: The subsidies from Mi Casa Ya are combined with those from the family compensation funds. You can apply for this subsidy if your income is less than two minimum wages. ▪ Non-VIS Subsidy: The only requirement is that it be for new housing, and its price is above the VIS ceiling and below 500 SMMLV. LOANS ARE A VIABLE SOLUTION TO ACHIEVE YOUR INVESTMENT Last but not least, there is the option to apply for a loan. So, if you wonder how to invest in real estate without money, you can approach the bank you trust and ask a financial advisor about the possibilities and conditions that you must take into account to request it. A loan is a specific amount of money that a bank transfers to you, and you agree to repay at a particular time. You must assume an amount corresponding to the interest that the bank asks for, taking the risk of lending said money. 26

On the other hand, the loans have certain applicable benefits since you can choose the term best suits your needs. For home loans, you can apply to government programs; you can also purchase a portfolio and access preferential rates. The process is simple and will help you achieve goals that you saw as distant. As you can see, there are several ways to invest in real estate without having a large budget. You can also choose the project according to your interests and needs; it is just a matter of knowing the options and identifying the ideal one for you. A practical guide to starting a real estate business Investment in real estate is an option to face future economic crises; but, for this, it is necessary to educate yourself and know the trends of a real estate purchase. According to real estate marketer Agatha Premium Living, investing in one or more properties increases the ability to cope with economic crises; For this reason, he recommends taking advantage of the time of confinement to learn how to start a business in real estate. Therefore, he developed a small practical guide to starting this work: 1. Educate yourself in real estate Today there is a wide variety of courses, webinars, seminars, and training for budding and experienced investors, many of them free. Likewise, Agatha Premium Living specialists suggest reading books on investment strategies in general and the real estate sector; to define two essential aspects: If you want to be an owner, rehabilitator or recuperator. The former acquire new residential or multi-family properties to rent or resell once their value increases. The second is to fix them, improve them and sell or rent them at a higher cost. Repossessors buy properties that could not be liquidated in a mortgage, confiscated and auctioned off; after a short time, they put up for sale at a profit. The type of investor you want to be. That is, if you're going to buy independently or through Infrastructure and Real Estate Trusts (FIBRAs), the speed at which a return on investment is sought, as well as whether the properties will be for sale or rent. 27

2. Know the trends of a real estate purchase The ideal is to know about segments, locations, and architectures of greater preference, the business, and its surplus-value. Either in specialized media or industry eBooks organized by consultants. Experts estimate that the demand for sustainable housing will increase in Mexico City in the coming years, with home automation and systems for saving energy and water. In addition, according to the consulting firm Softec, in 2021, limited liquidity is expected to increase rental housing. In this way, those who start in real estate should focus on vertical developments or apartments with various technologies for the home. \"By learning about the sector, you will be one step ahead of your potential tenants or future buyers, depending on how you want to recover your investment,\" says Agatha Premium Living. 3. Start asset search Once the previous steps have been covered and in line with the type of investor you want to be, it is time to select where, when and how much you are willing to invest; to have a clear picture of what can be won. 4. Choosing a Real Estate Broker Brokers are people or entities that know the suitable developments and real estate; they know about costs, the value chain, and manage between a buyer and a seller. In addition, they will indicate in which real estate developments to put the capital, recover it and obtain the highest profits in the best possible time. 28

Ten real estate terms to know 1. Buy and sell The Federal Civil Code defines the sale as the process in which one of the parties agrees to transfer ownership of something to another individual. This other individual agrees to pay for the acquisition of this object. In real estate, the contract of sale refers to the real estate purchase. 2. Promise of sale You may have found the ideal house, and you are ready to buy it, but formalizing the purchase and scheduling its deed is not an immediate process. As long as the purchase contract is not standardized, the house of your dreams can continue to be sold to the public, and you could lose it at the hands of another. To avoid this situation, there are promises of sale, a contract made between the owner and the interested party, to ensure the future sale of the property, establishing its future conditions such as the date of signing the contract of purchase and price. 3. Capital gain When acquiring a property, you must pay the established commercial value of the property. Over time, this value can often increase thanks to external factors such as improving the service infrastructure, area development, or changes you make such as remodeling. The increase in the property's value is known as surplus value, and you must keep it in mind when purchasing a house, as this value could translate into a profit. 4. Appraisal When applying for a mortgage loan to buy a house, it is common for the bank to require an appraisal of the property. The appraisal is an appraisal of the property to determine its market value. The appraisals are carried out by certified appraisers who can evaluate the property following established methods. This allows the assessment to be impartial and reflect the property's actual value. 5. Assessment 29

A lien is a restrictive financial obligation that is placed on the property. A house is under lien if there is a mortgage on it, it is in lien, or there is some restriction such as having a right of usufruct. When applying for a mortgage loan, financial institutions will often require to know if the property is under lien. For this, you must request a Certificate of freedom from encumbrance in the Public Registry of Property. 6. Public Registry of Property A government body in charge of registering all properties on the national territory and their owners' data and making this information public is the Public Registry of Property and Commerce. The Public Registry of Property helps to provide transparency to real estate processes such as the sale, lease, inheritance, and the application for mortgage loans. 7. Mortgage credit When buying a house, likely, you do not have the capital to pay the price of it. According to the National Catalog of Financial Products and Services, more than 400 financial institutions offer loans to buy houses through mortgage loans in Mexico. The mortgage loan is a long-term loan where the financial institution takes the property purchased with the loan as collateral for payment. In the case of acquiring a mortgage loan to buy a house, the amount that the institution will grant will rarely be greater than the commercial value of the property. 8. Title deed The property deed is the document that guarantees the owner of a property as its owner. This document protects you if you apply for a mortgage loan on the property, lease it, or sell it. According to the National Association of Public Notaries, the cost of a deed is between 4 and 7 percent of the property's value, although it varies depending on the entity. This document must be made by a notary public and registered in the public registry of the property; otherwise, it will have no value before the law. 9. Property Acquisition Tax 30

The tax on the Acquisition of Real Estate (ISAI), also known as Domain Transfer, is a local tax paid to the Ministry of Finance to acquire real estate. Being a local tax, the rate to be paid varies depending on the state where the property is located, with Yucatan being the entity with the lowest rate, 0.02 percent. The notary public is in charge of collecting this tax when signing the property deed. 10. Real Estate agent The real estate agent is a professional dedicated to advising and managing real estate transactions such as the sale, lease, and administration of the real estate. Having a real estate agent can facilitate buying a home since they have experience in negotiating the price and can provide legal and financial advice throughout the process. Now that you know some of these terms entering the real estate world in search of a house will not be so difficult. Are you ready? Vivanuncios has the ideal home for you. 31

CHAPTER FIVE TYPE OF REAL ESTATE TO INVEST Investing in real estate is a great strategy to generate long-term income. However, these opportunities can be lost when the step is taken with little information and without proper advice. The first recommendation when deciding to invest in the world of real estate is to approach a company like RE/MAX Mexico, which has extensive experience in the market and is represented by a vast network of advisors capable of meeting the needs of any customer. Three Types of Real Estate Although the previous aspect is essential, the truth is that it is also necessary to have basic knowledge about it. In this game, it's critical to know what types of real estate are available on the market. With this in mind, we share three types of real estate that you must know to make a real investment in this land: 1. Real estate by destination and by analogy When buying a property, you come by destination on many occasions are included. These objects belong to the owner and are considered essential for using and exploiting the property or land. Along the same lines, real estate by analogy. are those that impose rights on other real estate types—for example, the mortgage on a house (because it is a debt on real estate). 2. Real estate by nature and by incorporation As its name implies, real estate by nature refers to those whose characteristics prevent them from being moved and that has been there before construction or modification was planned. Real estate incorporation refers to constructions or objects that are added to a piece of land and that, by becoming part of the properties, also become immovable. 3. Real estate by accession and by representation 32

The former refers to objects that can be moved or sneaked into different places, but they become real estate when installed. Finally, real estate by representation is all those documents that accredit a person or group of people as property owners. Types of Properties for Types of Clients It is essential to classify the types of clients and, in this way, offer a kind of property that suits the needs of people. 1. Properties for clients seeking security These buildings must have protection and must be located in safe development zones. Factors such as the seismic index of the area, if the site has surveillance, knowing what is in the surroundings, and the builder's reputation and the housing consultant must be considered. 33

2. Properties for clients seeking harmony The buildings must be part of a community; these spaces must have multipurpose rooms for events, children's areas, and areas for pets so that everyone can live connected with nature. 3. Properties for clients seeking status Preferably, they should be luxury properties located in the best exclusive areas. 4. Properties for clients seeking innovation Customers want them to have new areas and be surrounded by restaurants; they must be practical and innovative. 5. Real estate for clients looking to win Clients look for properties to be found in areas with capital gains and are offered at a reasonable price to acquire the best house according to their needs. 34

6. Properties for clients seeking an order Clients prefer that the properties are not in conflictive areas, have good access roads, have regulations, and pay maintenance to maintain control. Preferred Real Estate for Generations Baby boomers For this generation of people between 53 and 72 years old, building wealth is their primary purchase motivation; their preference is inclined towards houses with ample spaces, and vacation and rest homes are an investment opportunity. Generation X For these people between 41 and 52 years old, constructing a heritage is still not so important. Vertical housing begins to gain momentum, but they prefer houses with large spaces. Vacation and rest homes are more popular and are even established in other countries. Millennials People between 28 and 40 years old are interested in building a heritage, but even more interested in having a flexible lifestyle and more excellent quality in time. Vertical housing is the trend, as well as sustainability. They prefer to rent out of conviction and financial obligation. 35

CHAPTER SIX Characteristics of real estate By real estate, we mean everything built with foundations on the ground and, therefore, is immobile. Legally, the realization of such a property requires a building permit. Property is thus defined as the inseparable whole of construction and the land that supports it. Economically speaking, it is a product made with two factors of production, land and building. One question, which is up to the developer, is the optimal combination of construction and soil, especially concerning building density (COS). Bare land is also real estate, but it only has value through the use it may have, in particular when it enters as an intermediate good in the process of production of another sound, service, agricultural production, building, etc. From this definition derives several characteristics of real estate. 36

Well located The localized character results from the durable realization on the ground. It is not specific to real estate: jobs or sure public or private services are also located. This characteristic implies that the markets for these goods are localized and that it is the seekers of these goods who move around. The geographical set of real estate assets from which an economic agent chooses defines a local market, for example, a local housing market. The economic examination of diverse financial concepts of space considers the localized character. In particular, the demand for localization of agents, of households concerning their accommodation, of companies concerning their production premises is theorized. The determinants of location refer to the different economic conceptions of space: space as an object of preference and as a distance in a problematic of displacements, space as a support for public services and tax levies (local taxation), Space as support for amenities, in particular environmental characteristics. These amenities are often a source of externalities. An externality is an advantage or a disadvantage resulting from the action of an agent that another agent bore without compensation. In housing, an example of a negative externality is pollution. Another is the social costs associated with poor housing, such as delinquency, poor sanitation, educational level, etc. The cases of positive externalities usually mentioned are, for example, the capital gains enjoyed by the holders of real estate in the vicinity of other real estate renovated or replaced by new, or the existence of undeveloped land in the environment. of a dwelling. Ultimately, agents arbitrate between these different location factors. The arbitrations of each agent lead to a bidding curve for the various locations. The comparison of the bidding curves of the various agents determines both the effective prices of the goods and the allocation of the different interests to the buyers. The most attractive goods are the most expensive, and they are occupied by the agents with the highest resources, with identical preferences. 37

Durability Durability is a physical character of real estate that comes from the ground and the construction. The soil most often remains intact indefinitely (except for polluting activities). Construction is amortized; in other words, it loses its value over time. Depreciation is compensated or even over-compensated by the investment. For elaborating the accounts of assets, the national accountants estimated the depreciation rate of construction in housing at 1.68% per year. This gives the dwellings an average life expectancy of 118 years. The durable nature of real estate means that they can generate a service over time, a service that corresponds to the use of the property. This character distinguishes real estate from fungible products, which disappear during their first use. It is shared with other goods, such as machines, which can produce economic goods throughout their lifetime. The service generated by a property has an economic value. Over time, this recurring value gives real estate the dimension of a real asset. The rent is a monetary representation of the service's worth. That of the asset's value is the sale price of the property. It is the economic expression of the property right. There are, therefore, two ways of paying for the use of real estate: 1. Paying for it as it is consumed, i.e. Renting it. 2. Delivering all the rents at once by buying the Good. These two payment methods are financially equivalent: the price is the discounted sum of future net rents. If one of the statuses turned out to be more advantageous, the other would tend to disappear. This equilibrium also reveals the identity of the rates of return of the different forms of investment, except for risks. Ultimately, it can be shown that the rate of return on real estate is equal to the ratio rent/value of the dwelling plus the rate of valuation of the goods, assumed to be constant. As a real asset, real estate can be financed by a loan. Suppose the investor has the choice between borrowing or not. Only if the return on the investment is larger than the cost of the borrowing, i.e., if there is a leverage effect, is it in his best interests to do so. For the lender, the good constitutes the guarantee to recover his money. Therefore, the loan duration must not exceed the life of the asset. The loan terms can be final at the signature or modifiable during the 38

loan. The lender can impose a liquidity constraint on the borrower, i.e., the annuities must be covered by the rents (in the case of a lessor), or they must not exceed a fraction of his other income (Owner occupied). Finally, the loan/value ratio of the property depends on the nature of the borrower, Heterogeneity Real estate is heterogeneous firstly by its use: residential use (mainly or leisure), office use, agricultural or industrial production activity, or private or collective service (teaching premises, hospitals, churches, etc.). For the same use, they also differ by their location and physical characteristics (size, comfort, age, condition, etc.), or even by market characteristics (free or occupied, for example). Muth points out that housing is no different in this respect from many other goods. The heterogeneity of interests prevents them from being perfectly substitutable. Heterogeneity can be dealt with in several ways. The first consists of considering that goods are homogeneous at a particular observation level. This is what justifies the existence of a housing price index. The second consists in believing that if the dwellings are heterogeneous, the service they generate is, for its part, homogeneous (Muth-Olsen). Another way is to group goods into relatively more homogeneous subsets that constitute market segments. It is understood that each of these segments of goods calls for a specific clientele. This is the case, for example, when these segments result from public intervention, as in the HLM sector or the zero-interest loan sector. Another way consists in reasoning on the characteristics composing the housing good, called hedonic characteristics, in the manner initiated by Rosen. These are the requested and offered characteristics, possibly produced when they concern the building. The implicit price of the different characteristics can be estimated using the so-called hedonic price method. Ultimately, the different characteristics of real estate are shared by other economic goods. Therefore, in statics and short-term and long-term dynamics, real estate can be dealt with by standard economic theory of production, consumption, investment, and markets. 39

Real Estate Law Real estate law brings together all the specific rules concerning real estate. Rental, neighborhood disturbances, construction, buying and selling real estate, subletting, and co-ownership are addressed in real estate law. Real estate law: definition Real estate law brings together all the specific rules relating to real estate, that is to say, the rules concerning in particular: • Buildings and condominiums. • Real estate rental. Real estate transactions (the sale and purchase of real estate). The property regime and, in particular, the status of real estate purchased together. Neighborhood disturbances. Urban planning rules, including those concerning building permits. 40

The Construction and Housing Code, the Civil Code, and the Town Planning Code are the key texts relevant to real estate law. There is no specific Code for real estate in France, a \"Real Estate Code.\" Real estate law: rental A rental is a contract by which an owner undertakes to make his property available to another person against rent and charges. The rental agreement defines the obligations and rights of the lessor and the lessee. It binds the two parties, following the rules set out in the Civil Code, and establishes the principle and operating rules of the rental. Any property can be rented out: housing, commercial premises, land, infrastructure, equipment, etc. A rental contract must be drawn up in writing based on the standard model proposed in the Alur law. The rental contract, like any contract, has legal value. Either party can invoke it in the event of a dispute. The rental agreement defines obligations: The lessor, who must provide the tenant with decent accommodation, provides him with all the mandatory documents and send the receipts free of charge. The tenant must pay his rent and rental charges under the conditions and within the time limits set in the contract. Tenants of empty accommodation must also ensure capacity. Real estate law: purchase/sale of real estate The purchase and sale of real estate follow specific procedures. The buyer and the seller can use a real estate agency to find a property or a potential buyer. But the real estate agent is not mandatory for real estate transactions. Once agreed, the seller and the buyer must start by drawing up and signing a preliminary contract : Either a sales agreement, in which the buyer and the seller mutually agree to carry out the real estate transaction. It is a synallagmatic contract. 41

Either a promise of sale is a much less frequent case. Unlike the compromise of sale, the contract of sale is unilateral: it is the seller who, alone, undertakes to sell his property to the buyer. The buyer has no obligation to buy but must pay the seller compensation for immobilization which cannot be recovered if the sale does not take place. The compromise or the promise of sale can be established under private signature, that is to say, without a notary. The final sale deed is signed two to three months after the preliminary contract. The act of sale must be drawn up by a notary and signed in front of him. This sales contract concludes the real estate transaction. Once the deed is signed, the right of ownership is transferred from the seller to the buyer. The buyer must pay the total sale price when the sale deed is signed. Real estate law: co-ownership Co-ownership is very widespread in France. The country has over 60,000 condominiums, representing over 7 million people. We speak of co-ownership when the ownership of a building or a group of buildings is divided between different owners, each owner receiving a \"lot,\" that is to say, a part of the co-ownership. A co-ownership includes private portions, under the exclusive enjoyment of their owners, and common shares, belonging to all the co-owners and managed jointly. The common parts' happiness rules are contained in the co-ownership regulations. The co-ownership regulations define the rules of life and operation of the co-ownership. It must be respected by all residents of the condominium (co-owners and tenants). The co-ownership trustee is responsible for its proper application. It is also the syndic of co-ownership that daily manages the co-ownership and current affairs. Elected at a general meeting, the trustee may be volunteer co-owners or property management professionals. The syndic of co-ownership should not be confused with the syndicate of co-owners, which designates the meeting of all the co-owners. 42

Real estate law: building permit Real estate law is essentially a private law, a contract law. It establishes the legal relations between landlords and tenants, co-owners, buyers and sellers, etc. But it also contains rules of public law, in particular relating to the Town Planning Code. Among these rules, there is the obligation of the building permit for specific constructions. The building permit is an administrative authorization required for specific construction projects. Building permits must be applied for at the town hall where the construction site is located. The building permit is not compulsory for all constructions. Some can be done without a building permit. Finally, there are several variants of the building permit, such as the building permit equivalent to division or the amending building permit. Real estate law: the neighborhood In real estate law, \"neighborhood\" immediately refers to \"neighborhood disturbances.\" The greater or lesser promiscuity that the neighborhood presupposes by definition is the source of many disputes. A neighborhood disturbance is an abnormal nuisance caused by a neighbor and affects the tranquility of another or several other neighbors. The term \"abnormal\" is essential. The neighborhood implies promiscuity and, therefore, the possibility of a nuisance. Only abnormal annoyances are reprehensible. There are several types of neighborhood disturbances. The most common and well-known is noise pollution. Nuisances can also be olfactory, that is to say, caused by odors. Odor nuisances can also be reprehensible, even if they are by definition more difficult to measure. In the event of a neighborhood disturbance, it is strongly recommended to start by finding an amicable solution, possibly calling on a mediator. Legal proceedings are lengthy and sometimes very expensive. They should be the last resort. Real estate law: taxes and levies Real estate law deals with real property. Real estate is subject to taxes and duties : 43

The housing tax is payable to people who occupy the accommodation. If the accommodation is rented, it is up to the tenant to pay the housing tax (he is the one who lives in the accommodation, even if he does not own it). The property tax due by the owners of real estate. Landowners must pay property tax on undeveloped properties. Building owners must pay property tax on built properties. The business property contribution (the CFE) is payable by businesses. The CFE is integrated into the territorial economic contribution (CET), which replaced the business tax in 2010. The tax on vacant dwellings is payable by owners of vacant dwellings in certain urban areas. The household waste collection tax (TEOM) voted in certain municipalities to finance the household waste collection service. All taxes and duties relating to real estate are local taxes used to finance local authorities (municipalities, departments, and regions). 44

CHAPTER SEVEN What is luxury real estate? Contrary to the general idea, the high amount of real estate is not the only criterion. It's even possible to argue it's the end outcome. When a property combines certain qualities, it can be considered an \"exceptional property.\" The criteria are generally subjective, but most are common sense. Today there is no \"Prestige\" or \"Luxury\" label. And these terms are not copyrighted… The definition of luxury real estate obeys more than one criterion. Like the high-end market as a whole, luxury real estate connotes quality, refinement, and exclusivity. These concepts are changing and take into account trends economic and cultural developments. Luxury and prestige real estate Ten types of property can be associated with luxury real estate. 1. The castles 45

France has around 40,000 châteaux, of which 400 to 600 are for sale each year, ranging from €500,000 to €30,000,000, with variations. The castle or fortified castle corresponded to a fortified feudal residence in the Middle Ages. Above all, it is a military construction used to defend the castellans and the villagers. From the Renaissance, with the end of the wars, the architecture changed. The castles became royal or seigniorial residences, surrounded by turrets, parks, and formal gardens. The primary purpose of these prestigious properties is to support art and expose the lord's wealth. The local squires resided in 18th-century castles, which grew into massive houses with towers in the countryside with living areas of about 800m2. Today, castles are still famous, especially the part of the Supplementary Inventory of Historic Monuments. Chateaux with vines enjoy a good reputation, especially among Chinese clients who see a profit opportunity. The buyer's choice is also influenced by the construction date. From the 16th to the 18th century, castles are the most sought-after and, therefore, the most expensive properties. The attraction of the castle responds to very personal reasons: ▪ Childhood dream ▪ Love of old stones ▪ The image of social success 2. Protection of heritage These prominent property fans had one thing in common: a genuine, long-lasting passion. However, the future buyer should be warned. As Pierre Chassaigne, Chairman of the Mercure Group, often points out, \"A château is first and foremost a passion. Without the tiny flame that makes it possible to do great things, the investment threatens to be doomed. 3. The mansions The first mansions appeared in the 15th century, a period of renewed prosperity at the end of the Hundred Years War. More than 80,000 mansions in France, particularly in the North and the Center. 46

A mansion generally includes a main building and outbuildings and has an area of 600 to 800 m². Mansions are often compared to small castles. Like them, they are prestigious. These were beautiful homes, spacious and built with quality materials in the past. They were inhabited by the nobles or \"gentiles.\" This also explains the name \"mansion,\" sometimes used to name a manor. Its use distinguishes it from the castle. Farming was necessary and was overseen by the local lord. Unlike the castellans, the owners of the manors live only from their harvest. They do not have the authority to perform any significant military or administrative function. Subtlety can be found in the architectural structure of the mansions. Indeed, the owners were not allowed to build dungeons or towers. In the 19th century, the mansion was initially inhabited by notables or people from the bourgeoisie. This explains why it is also called \"Maison bourgeoise.\" They are first found in urban areas; then, they develop in the countryside. The mansions are distinguished by their square-shaped foundations. They typically contain a living area of 500 to 600 m2 on two levels, with high-ceilinged reception areas and bedrooms upstairs. At the entrance to the park with century-old trees, a large old wrought iron gate indicates access to the property. 4. Character houses A house of character combines charm quality construction and differs from classic homes. We are talking about a traditional place. Like the \"Chartreuses bordelaise,\" \"Chartreuses toulousaines,\" and farmhouses, they draw their materials from local resources: pebbles, bricks, tuffea. Which underlines their characteristics and their age? The part of subjectivity is essential when one speaks about the house of character. It will always bring together very personal but also fundamental criteria. The luxury, of course, and the materials used in the construction must be first-rate and the layout of the rooms. A house of character or charm will generally be decorated with a large garden, swimming pool, pool-house. 47

5. Luxury apartments This type of luxury real estate is mainly located in large cities, such as Paris or Lyon. Large numbers, the quality of materials, the services, the environment, and an extraordinary circumstance all qualify it. It is found mainly in Haussmann buildings. It is not uncommon to find large terraces in luxury apartments. We then speak of a penthouse. This is a top-of-the-range apartment located on the top floor of a building with a terrace and a landscaped roof garden, with a privileged panoramic urban view. In the south of France and Lyon, these terraces, also called \"Tropéziennes,\" are in great demand. Just like the lofts, which are meeting with genuine enthusiasm. Appeared in the United States in the 1970s, they gradually spread to France. Aloft is built in an abandoned industrial space. Its structure is often visible and formed of raw materials. They are usually very bright. In architecture, its margins are entirely open, that is to say, not partitioned into rooms. 6. Private mansions Already in the Middle Ages, \"hotel\" designated large princely residences. But it was in the 16th century that private mansions developed. These prestigious residences extend in the streets of Paris and the big cities until the XIXth century. Built-in cut stone, marble, or brick; these buildings are highly architectural. They offer large volumes and many parts. Today, there are still 400 mansions out of the 2,000 built-in Paris. 7. Architect's houses The architect's house is unique. It was designed especially for the owner. It is indeed the fruit of the imagination of a professional designer. The role of the architect is to propose constructions with innovative materials. He designs the project from A to Z to optimize the structure as much as possible. More than a modern house, the architect's home is out of the ordinary and has the particularity of adapting to the occupant's lifestyle. 48

At the forefront of new technologies, it can integrate ecological and economic components. Choosing to live in an architect's house can also be an environmental markdown. Because frequently, it is designed in close relation to the site and the space it will occur. It often has airy spaces, simple shapes, clean designs, and modular. 8. The villas The first villas appeared in Ancient Rome, inhabited by wealthy owners. The concept today has been widely democratized. A villa is defined as a dwelling or vacation home, large and including a garden. There are villas in the town, by the sea, in the countryside or the mountains. The real luxury of the villa is the space and the volume of the rooms. More or less vast, the garden is an integral part of the villa. 9. Contemporary houses The contemporary house is the house of today. In this sense, it corresponds to construction that uses current techniques, materials, processes, and knowledge. Transparency is predominant to let in light and enlarge spaces. The landscape participates fully in the luxury and harmony of the habitat. They can be built ad infinitum, while old residences are becoming scarce, thus maintaining their market value. 10. Atypical goods The originality of an uncommon property is what defines it. The phrase encompasses a wide range of features. In the constructions listed above, some habitats can be considered atypical. For example, a former artist's studio transformed into a loft is an atypical property. 49

CHAPTER EIGHT REAL ESTATE AGENT Choosing to undertake the profession of real estate agent is an important decision: it is a central role in the management of the purchase and sale of a fundamental asset such as the house and entering a complex market such as the current one, a broker must possess a series of skills that can make him capable, competent and trustworthy. But, in practice, how do you become a real estate agent? What skills do you need to have, and what qualifications do you need to take up this position? This dedicated guide aims to answer these questions, providing all the necessary information to those who want to pursue a career in the real estate field. 50