What is residential real estate?
If you’re managing, buying, or selling residential property, you should understand what types of properties are defined as residential. Residential property is real estate that has been developed or zoned for living, such as single – family houses, apartments, or mobile home parks.
What types of property are considered residential?
Any property that is available for occupation for a non-business purpose may be a residential property. This can include:
Condominiums: privately owned units within larger buildings or communities, similar to the structure of apartment buildings.
Townhomes: units that are usually larger than condos but still share walls with one or two other buildings.
Cooperatives: units within one building where everyone living in the building owns the building together.
Single- Family houses: usually built on a single lot without having to share space with other dwellings.
Multi-Family houses: usually range in size from two to four units, such as a
duplex or a four-plex, but anything larger than four units is considered commercial property.
Note that apartments are only residential property if they have fewer than five units. Additionally, locations like hotels, campgrounds, and other temporary living places are not included in the definition of residential property. These types of property are better categorized as commercial real estate.