The term Real Estate primarily means the Immovable Property like a piece of land and everything that is permanently attached to it such as building construction etc. Real Estate Investment is now being considered as the significant case of capital budgeting by using the latest and hi-tech investment analysis which includes the future stream of income it may generate and the related risk modifications. Since 1970s, the investment experts revealed techniques like prospect, time value of money and efficacy into its study, are the best parts of the investment portfolios.

The real property could be distinguished as compared to the personal property or movable property wherein the right of transferring the title to the land whereas the title to the personal property could be maintained. Like in any investment, the risk involved in the real estate investment too in spite of the success of the particular scheme when the future stream of income will grow to the investor as well as the alternative investment opportunities. If considered a business process, the real estate investments usually prove to be lucrative, for instance, the property can generate income from its rent, or it could well be used as the collateral security for obtaining the secured loan for other business enterprise or even to set-off otherwise taxable business income through cash savings on tax-deductible interest rate losses or just from the profits gained through the resale of such estates.