The main segments of real estate, residential real estate, commercial real estate, industrial real estate. The residential sector specializiruetsya on buying and selling property used as a home or for professional purposes. The commercial sector consists of real property used for commercial purposes; common types include retail and office space. Industrial real estate consists of properties that are used for the manufacture and production of: factories, plants, etc.
Different segments have different indicators that investors and analysts use to assess the status of the real estate market. All three segments feature a publicly traded real estate investment funds or real estate funds, portfolios, properties of which the prices of stocks investors are often used to determine and analyze industry trends.
(Read more about them in “risks of real sector of property” and “what factors determine stock prices in the real estate sector?”)
Energy in the residential sector Essex property trust Inc. (NYSE: ESS) and national retail properties, Inc. (NYSE: NNN). Housing prices also serves as a gauge for the health of this segment.
In the commercial real estate industry’s largest REITs include Simon properties Group (Ticker NYSE: SPG) and rouse properties (Ticker NYSE: RGP). Investors in this sector also take a look at the sales data for office buildings and retail developments and rental dynamics of prices for office and retail space.
ProLogis (Ticker NYSE: PLD), Rexford industrial (NYSE Ticker: REXR) and PS business parks (NYSE Ticker symbol: PSB) are one of the most well-known real estate investment funds in the segment of industrial real estate. Apart from the price of Wright stock, leading indicators for industrial real estate sector include consumer goods, manufacturing, Maritime transport and cargo tonnage.