CHARACTERISTICS OF REAL PROPERTY

Immobility

The immobility of real estate as a commodity prevents moving it to a better market. Landlords can only sell their product (shelter) in the market within which the property is physically located. The better the location in terms of ease of travel within the entire community, the higher the value of the land, all other things being equal.
-The immobility of real property means that land is subject to external effects, or externalities, which are enjoyed or suffered by people other than those who produce them.

-Residential property, whether vacant lots, houses, or apartments, is valued by market participants after considering the quality of surrounding developments and proximity to shops and bus routes, while commercial properties are valued according to surrounding developments, transportation and parking facilities.
-The immobility of land means that the amount of land, in terms of the surface of the earth, is fixed within any community.
The fact that the land area in a region is fixed does not imply that the supply of space for urban activities is equally fixed.

Durability of Improved Land

Although land lasts forever, its value does not. When considering the durability of structures, it is important to distinguish between the physical life and the economic life of the structure.

Indivisibility of Services

Elements of value cannot be separated into those derived from the land, the buildings, or the landscaping, since users regard the site as a single unit. This is reflected in the law of real property, where “land” includes the surface of the earth and all permanent improvements attached to it. In some cases however, land and improvements are considered separately.

Divisibility of Ownership

The ownership of a single parcel of real estate may be divided both physically and legally.