Southern State Community College

Curriculum Committee –April2018

REST2275 – Real Estate Finance and Appraisal

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  1. COURSE TITLE: Real Estate Finance Appraisal
  2. COURSE NUMBER: 2275CATALOG PREFIX: REST
  1. PREREQUISITES: NoneCO-REQUISITE(S): None
  1. CREDIT HOURS: 3LECTURE HOURS: 3

LABORATORY HOURS: 0OBSERVATION HOURS: 0

  1. COURSE DESCRIPTION:Real Estate Finance and Appraisal is a study of the role of financing in the real estate industry, ranging from nation-wide cycles of the finance market to the particularities of PMI, Fannie Mae, and FHA loans. REST 2275 also focuses on the theory and methodology of real estate appraisal. Contextual materials, such as market analysis and mathematical study, and a detailed study of the three basic appraisal techniques are included. This course is required for the Ohio licensing exams.
  1. COURSE OBJECTIVES:

At the successful completion of this course the student will:

1.Recognize financing terms

2.Explain sources of real estate funding.

3.Distinguish the instruments of real estate finance,

4.Describe the qualification and administering processes of real estate lending.

5.Explain the appraisal process

6.Compare the three basic approaches, Cost, Sales Comparison and Income Capitalization

7.Differentiate between market value, market price and market cost.

  1. ADOPTED TEXT(S):

ESSENTIALS OF REAL ESTATE FINANCE

12th edition (or Current Edition)

by: David Sirota and Doris Barrell

Dearborn Real Estate Education

ISBN: 1-4277-8593-7

FUNDAMENTALS OF REAL ESTATE APPRAISAL

10th edition (or Current Edition)

by: William L. Ventolo and Martha R. Williams

Dearborn Real Estate Education

ISBN: 978-1-4277-7874-1

  1. OTHER REQUIRED MATERIALS:

Will be at the discretion of the instructor

  1. GRADING:

A = 90 - 100

B = 80 - 90

C = 70 - 79

D = 60 - 69

F = <60

  1. EVALUATION:

Sample Evaluation Format:

Grading Event / % of Grade / Frequency / Total Points
Participation / 15% / Weekly / 15
Summary / 15% / Weekly / 15
Project / 15% / End of Class / 15
Quiz / 15% / Weekly / 15
Final Exam / 40% / End of Class / 40
Total / 100% / 100
  1. COURSE METHODOLOGY:

The course will utilize the textbook as its primary pathway. Individual class sessions may include lecture, discussion, video, guest presenters, online and handout material, internet-based work assignments, student presentations, and quizzes and exams as determined by the instructor.

Section XII – Course Outline - is on the next page

  1. COURSE OUTLINE:

SAMPLE Calendar Outline:

Week / Topics / Learning Objective
1 / Sources of Money for Real Estate Financing / 1, 2, 3, 4
2 / What Determines the Cost of Mortgage Money / 1, 2, 3, 4
3 / The Mortgage Market and Financial Institutions / 1, 2, 3, 4
4 / Types of Mortgages / 1, 2, 3, 4
5 / Creative Finance and Seller-Assisted Finance / 1, 2, 3, 4
6 / Single Family Property Financing / 1, 3, 4
7 / Introduction to Real Property Appraisal / 1, 5, 6, 7
8 / Basic Real Estate Principles / 1, 2, 4, 5, 6, 7
9 / The Valuation Process / 5
10 / Analysis of Neighborhood / 5, 7
11 / Site and Improvement Analysis
Site Valuation / 5, 7
12 / Cost Approach / 6, 7
13 / Sales Comparison Approach / 6, 7
14 / Income Capitalization Approach, Residential / 6, 7
15 / Reconciliation / 5, 6, 7
16 / Final Exam
  1. SPECIFIC MANAGEMENT REQUIREMENTS:

Students are required to be in attendance in accordance with SSCC policy, and to participate fully in class activities and discussions. Reading is to be done as assigned, and homework tasks are required.

Classroom Conduct

Civility in the classroom is very important. As adults and professionals, students are expected to conduct themselves in a courteous and respectful manner. Disruptive, rude, sarcastic, obscene or disrespectful speech or behavior has a negative impact on everyone, and will not be tolerated. Personal electronic devices, such as laptops, Blackberries and cell phones, should be off or used only for class purposes. All students are expected to be aware of, and to follow, SSCC’s Academic Misconduct Policy.

  1. OTHER INFORMATION:

FERPA:Students understand that work completed for this class may be seen by others if used for demonstration or teaching purposes, during group activities, or while being distributed. Some work may be read aloud or copied for limited distribution.

DISABILITIES: Students with disabilities may contact the Disabilities Service Office, Central Campus, at 800-628-7722 or 937-393-3431.

GROWTH IN KNOWLEDGE, SKILLS, and ABILITIES: Students completing this course successfully can expect to improve in the following:

  • Administration and Management - Knowledge of business and management principles involved in strategic planning, resource allocation, human resources modeling, leadership technique, production methods, and coordination of people and resources.
  • Customer and Personal Service — Knowledge of principles and processes for providing customer and personal services. This includes customer needs assessment, meeting quality standards for services, and evaluation of customer satisfaction.
  • Computers and Electronics — Knowledge of computer hardware and software, including applications.
  • Problem Sensitivity - The ability to tell when something is wrong or is likely to go wrong. It does not involve solving the problem, only recognizing there is a problem.
  • Complex Problem Solving — Identifying complex problems and reviewing related information to develop and evaluate options and implement solutions.
  • Critical Thinking — Using logic and reasoning to identify the strengths and weaknesses of alternative solutions, conclusions or approaches to problems.
  • Systems Analysis — Determining how a system should work and how changes in conditions, operations, and the environment will affect outcomes.
  • Deductive Reasoning — The ability to apply general rules to specific problems to produce answers that make sense.
  • Inductive Reasoning — The ability to combine pieces of information to form general rules or conclusions (includes finding a relationship among seemingly unrelated events).

Revised 4/14/2018