What best describes the role of a real estate investor?

The role of a real estate investor is best captured by the notion of purchasing properties for the purpose of generating income or achieving capital appreciation. This means that a real estate investor actively seeks out properties that will either provide a steady stream of rental income or appreciate in value over time, allowing for potential profitable sales in the future.

Investors typically assess market conditions, property locations, and other economic indicators to make informed decisions. Their activities often involve a degree of risk, as the investor weighs the potential for profit against the realities of market fluctuations and property maintenance costs.

In contrast, the other roles mentioned do not align with the distinct function of a real estate investor. Carrying out property appraisals pertains to valuing properties and is focused more on analysis than investment. A homeowner seeking to improve their property value is primarily concerned with their personal residence and is not actively looking to generate income from multiple properties. An agent representing buyers focuses on the sales process and client representation rather than investment strategies. Thus, the chosen definition encapsulates the essence of what a real estate investor does.