BUSN 2323 - Real Estate Finance

Credit hours: 3

Course Description:
This course examines the terminology, legislation, principles, and analytical techniques pertaining to financing of real estate from the perspective of a lender, a residential borrower, and an income property borrower.

Student Learning Outcomes:

Student will be able to:

Explain the relationship between finance and real estate, as well as the role that financial markets play in real estate finance, how the general economy impacts the level of interest rates, and how the level and volatility of interest rates have an effect on real estate activity and markets.
Calculate time value of money concepts as they are applied to real estate finance and explain the mechanics and terms of the standard fixed-rate mortgage and how federal laws regulate mortgages and financing of real property and protect the homebuyer from discrimination in the housing market.
Examine the workings and the importance of the secondary mortgage market in developing a more efficient allocation of funds in the real estate market and examine how the sub-prime mortgage crisis affected the major secondary mortgage market entities.
Explain lender controls of default risk and the steps in processing a loan application and closing.
Summarize the impact of federal and state income tax and the different forms of real estate financing may have on real estate investment project decisions.