Course Description
The basic principles and analytical techniques related to the study of real estate - its practices, institutions, and participants. Topics focus on issues related to property rights, urban economics, market analysis, and brokerage, with an emphasis on decisions related to investment, asset management, and debt financing.
Athena Title
Real Estate
Equivalent Courses
Not open to students with credit in REAL 7100
Non-Traditional Format
This course will be taught 95% or more online. Students who have taken REAL 4000, REAL 4000E, or REAL 4000H should not enroll in this course.
Grading System
A - F (Traditional)
Course Objectives
As an introductory course, the primary objective is to acquaint the student with the basic concepts, principles, and analytical techniques related to the study of Real Estate. This course should provide the student with the tools of analysis that will enable her/him to be in a better position to make decisions regarding real estate. The course specifically concentrates on the real estate investments, the valuation of real estate, real estate finance, and the legal consideration regarding real estate and its transfer.
Topical Outline
I: Setting the Stage 1. The Nature of Real Estate and Real Estate Markets 2. Value and Real Estate Decisions II: Legal and Regulatory Determinants of Value 1. Legal Foundations to Value 2. Conveying Real Property Interests 3. Government Controls and Real Estate Markets III: Market Analysis and Appraisal 1. Market Determinants of Value 2. Forecasting Ownership Benefits and Value: Market Research 3. Valuation Using the Sales Comparison and Cost Approaches 4. Valuation Using the Income Approach IV: Financing Ownership 1. Real Estate Finance: The Laws and Contracts 2. Residential Mortgage Types and Borrower Decisions 3. Sources of Funds for Residential Mortgages V: Brokering and Closing the Transaction 1. Real Estate Brokerage and Listing Contracts 2. Contracts for Sale and Closing VI: Time, Opportunity Cost, and Value Decisions 1. The Effects of Time and Risk on Value 2. Mortgage Calculations and Decisions VII: Financing and Investing in Commercial Real Estate 1. Commercial Mortgage Types and Decisions 2. Sources of Commercial Debt and Equity Capital 3. Investment Decisions: Ratios 4. Investment Decisions: NPV and IRR 5. Income Taxation and Value VIII: Creating and Maintaining Value 1. Enhancing Value through Ongoing Management 2. Leases and Property Types 3. Development: The Dynamics of Creating Value