Which of the following best describes real property?

Real property is defined as the combination of land and any permanent structures or improvements that are attached to that land. This includes residential homes, commercial buildings, infrastructure, and other developments that add value to the land itself. The term emphasizes that both the physical land and the legitimate enhancements made to it are regarded as a single unit of ownership.

Land alone, without any developments or structures, does not fully encapsulate the concept of real property, as it excludes the value that improvements bring. Similarly, parcels that require development are just pieces of land that have not yet been enhanced and do not define real property in its entirety. Focusing only on commercial real estate also narrows the definition, as real property can encompass residential, agricultural, and mixed-use properties, in addition to commercial ones.

Thus, the comprehensive nature of real property includes both land and any structures that are permanently affixed, making it a broad and inclusive term in real estate finance.