Course Description
A course exploring the valuation of real property rights. Develops understanding of the appraisal process through traditional and advanced valuation methods, including market, cost, income capitalization, and DCF techniques. Emphasizes critical analysis, market data, risk assessment, and modern analytical tools to support real estate valuation and decision-making.
Athena Title
Principles of Valuation
Prerequisite
REAL 4000 or REAL 4000H or REAL 4000E
Semester Course Offered
Offered every year.
Grading System
A - F (Traditional)
Student learning Outcomes
- Students will construct and apply advanced valuation models, including discounted cash flow, direct capitalization, sales comparison, residual, and development analyses.
- Students will estimate market value using property-, market-, and capital-market information and justify key valuation assumptions.
- Students will assess the effects of uncertainty and risk through sensitivity, scenario, and leverage analyses.
- Students will integrate market analysis, demographic trends, spatial data, and other relevant economic information into real estate valuation decisions.
- Students will critically evaluate and employ professional software, real estate data platforms, and modern analytical tools in the valuation process.
- Students will clearly communicate valuation methodology, assumptions, limitations, and conclusions to others.
Topical Outline
- I. The Appraisal Process and Real Estate Markets
- II. Property Analysis: The Determinants of Value
- III. Estimating Value: The Sales Comparison Approach
- IV. Estimating Value: The Cost Approach
- V. Estimating Value: The Income Approach
- VI. Reconciliation and Appraisal Reporting
Institutional Competencies Learning Outcomes
Analytical Thinking
The ability to reason, interpret, analyze, and solve problems from a wide array of authentic contexts.
Critical Thinking
The ability to pursue and comprehensively evaluate information before accepting or establishing a conclusion, decision, or action.
