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Canadian Financial, Real Estate and Mortgage Glossary

How often this word is used
50% - Moderately

Investment Property

Synonyms:money-making property, rental property
Filed Under: financial-banking, investments, mortgages, real-estate
Tags: banking, investment, mortgage, realty

Definition of investment property

investment property
1. A property purchased for the purpose of turning a profit. A buyer may purchase a home anticipating an eventual rise in price or for the purpose of renting it out. The buyer may also purchase and sit on a plot of land in hope that the price will rise.

Related Terms and Acronyms:

  • condominium (condo)   A structure of two or more housing units. The interior space of the units are individually owned. The balance of the property (land, building and other amenities) is owned in common by the owners of the individual units.
  • fixer-upper (fxr)   A house that needs a lot of work and which sells for a discount.
  • investment   Something you put your money into in order to make money.
  • land lot   A piece of land owned by an individual or entity.
  • property value   The worth of a piece of real estate, based on the price a buyer and seller would negotiate.
  • rental property (RP)   Property that is occupied by rent-paying tenants and not the owner.
  • starter home   A dwelling that is relatively small and inexpensive and bought as a first home.
  • subdivide   To split something (like a plot of land) into smaller sections.

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