Income Approach for Residential Appraisers

Some AI educational programs may not be approved in every state.

Students should check state approvals prior to registering for any Appraisal Institute program.

To register for this program, go to the bottom of the page.



Who should enroll Residential real property appraisers with an interest in the income capitalization approach
Description Do you want to expand into 2- to 4-unit income property appraisals? If so, you won’t want to miss this seminar! Using the income capitalization approach, you’ll learn how to derive a value from an income stream with confidence and become familiar with the usefulness of the less frequently used income capitalization approach in the realities of the residential market. For many, it will serve as a review of techniques learned but not used. For others, it will function as an introduction to the income capitalization approach, specifically the premise of the approach, the difference between gross and net rent, the difference between capitalization rates and multipliers, and the application of income capitalization using a gross rent multiplier. If your assignments are currently limited to performing mortgage appraisals, attend this seminar to learn how the income capitalization approach relates to value and watch your opportunities grow.
Objectives
  • Recognize the premises of the sales comparison, income capitalization, and cost approaches and describe how they relate to the valuation process.
  • Classify examples of rent based on gross or net characteristics.
  • Demonstrate the ability to analyze relevant characteristics of a rental contract.
  • Describe the difference between a rate and a multiplier, and when use of each is appropriate.
  • Solve a calculation by developing a rate and solve a calculation by developing a multiplier.
  • Construct a logical system for reporting the results of a simple income capitalization approach.
  • Assess the benefit of the multiplier and the rate in several situations.
Prerequisites None


Refer to this page for details of state approval hours for this course.

  • Attended Only:

    75
  • Attended Only:

    75
  • Attended Only:

    75
7 hours
No
No
N/A
Intermediate
N/A
None specified Online Requirements Synchronous Requirements
None specified
No additional information


Classroom Offerings

No offerings at this time

Synchronous Offerings

No offerings at this time