Real Estate Investment
Overview
This set of resources focuses on cash flows, returns, and value. It explores the theory and methods of investment analysis. Both financial and non-financial factors that affect the feasibility of investing in income-producing properties are thoroughly explored and discussed.
Learning Objectives
Real Estate Law: Understand different types of deeds, the role of a Deed of Trust, title insurance, forms of property ownership, trusts, and corporate legal structures in real estate transactions.
Real Estate Economics: Understand urban economic models, agglomeration economies, gentrification, theories of urban location, and the dynamics of user, investment, and development markets in real estate.
Advanced Time Value of Money: Calculate present and future values, payment amounts, and rates for annuities and loans, understand IRR, NPV, and Payback Period, and apply these metrics to investment decisions.
Real Estate Value: Analyze the definition of value, evaluate property attributes, and apply these concepts to real estate valuation scenarios.
Appraisal Methods: Apply the sales comparison, cost, and income approaches to property valuation and integrate valuation methods in a development proforma.
Market Analysis: Explain the use of market analysis in real estate, apply market segmentation, and evaluate market cycles and their drivers.
Financing Investments with Debt: Understand key mortgage components, perform mortgage calculations, analyze mortgage defaults, compare commercial loan types, and evaluate financial ratios for commercial lending.
Making Investments Using DCF: Understand the stages of real estate investment and the role of professional advisors and develop DCF models, including complex leases and taxes.
Making Investment Decisions: Identify and measure various real estate investment risks, apply sensitivity and scenario analyses, and explain strategies to mitigate or price these risks.
The Investment Industry: Differentiate real estate investment strategies, explain institutional portfolio asset classes, analyze risk and return, and understand the 4 Quadrants of the Investing model.
