Valuing Real Estate in a Changing Market

Course Outline – 8 Hours

Approved by FREC & FREAB

Set Yourself Apart From The Crowd

I.          Introduction

                        Timeline

                        Procedures

                        Goals and Objectives

II.         Valuation Principles

                        Change

                        Substitution

                        Contribution

                        Anticipation

                        Opportunity Costs

                                    Purchasing Power

                                    Competing Opportunities

                        Market Value

                                    Equilibrium Price

                                    Seller Concessions

III.       Indicators of Market Trends

                        Supply

                        Demand

                        Days on Market

                        Seller Concessions

                        Rising Foreclosure Rates

                        Delinquent Property Taxes

                        Increasing percentage of rental properties

IV.       Trend Analysis

                        Land Values

                        Price per square foot of improved real estate

                        Paired Sales

                        Regional and National Statistics

                                    Unbiased

                                    Biased

                                    Segmented

V.        Client Expectations

                        Owners

                        Financial Institutions

VI.       Summary & Conclusion