Residential Real Estate Financial Analysis
The Course Will Teach You to
- Explain the impact of loan to value (LTV) on equity yield
- Calculate investment performance using gross rent multiplier; capitalization rate; before tax cash-on-cash; internal rate of return (IRR); and net present value (NPV)
Course Description
Residential Real Estate Financial Analysis is designed for residential agents who want to expand their business to include selling single-family homes, condos, duplexes, four-plexes, or small commercial properties to investors. This course is for residential agents interested in the commercial arena, new commercial agents looking to enhance their basic financial analysis skills, and private investors who want to learn basic financial analysis skills to apply to their investment portfolio.
Using custom Excel spreadsheets, students learn time value of money (TVM) and the measures of investment performance regularly used to analyze investment properties. Residential Real Estate Financial Analysis serves as your introduction to The CCIM Institute Cash Flow Model and its applications to make decisions based on wise investment fundamentals.
The course explains the impact of leverage on an investment and concludes with a case study involving a couple looking to purchase a single-family home as a rental property. Students use the case study to calculate the investment property's projected revenues and expenses and provide clients with a detailed financial pro forma to make an informed decision on whether to move forward with the purchase.
Tech Requirements
This course may require the use of a laptop or desktop computer with full Excel capabilities. Mobile devices, like iPads, tablets, and cellphones, will not run The CCIM Institute's macro-enabled spreadsheets.
PC: Microsoft Office 2000 or higher is necessary to run The CCIM Institute macro-enabled spreadsheets.
Mac: Mac versions of Microsoft Office 2004, 2011, 2016, or 365 are required to run The CCIM Institute macro-enabled spreadsheets.
Browser: The CCIM Institute courses are optimized for use with the Google Chrome web browser
"It's a wonderful time to be new in commercial real estate ... and certainly organizations like The CCIM Institute can help train someone in the industry" - Jay Olshonsky, President of NAI Global