Practical Application of Fundamental Analysis

Description

NEW SEMINAR PREMIERING IN JUNE!
 
Do you find yourself hesitating before taking on an assignment requiring a Level C marketability analysis? Do you think the process is complex and time consuming? When market conditions are changing, an understanding of fundamental demand concepts and the ability to apply them is necessary to do the valuation competently. This
seminar simplifies and demystifies the process of fundamental demand analysis. After reviewing market cycles and the basic economic concepts underlying fundamental analysis, you willl learn how to implement the six-step process by applying the concepts to three practical case studies dealing with a general office market,
land development (subdivision), and a rental apartment building. You will use basic templates that can be used later in your daily work. By the end of the seminar, you should be better prepared to start including fundamental analysis in your work.
Sponsor Date Location Delivery Format State Approvals  
Utah Chapter June 3, 2022 Sandy, UT Classroom  Check Register
Tennessee Chapter August 10, 2022 Synchronous  Check Register

Who should Enroll

General appraisers who have limited knowledge of fundamental demand analysis, MAIs who haven’t taken current market analysis courses in the AI curriculum

Objectives

  • Distinguish between the fundamental (space-user) and capital (buy-sell) markets and identify the impact each has on real estate values.
  • Identify the four stages of the real estate cycle and recognize the characteristics of each stage.
  • Recognize the characteristics of a market at equilibrium, including equilibrium vacancy, feasibility/equilibrium rent, entrepreneurial incentive, and affordability index.
  • Name the six steps in the six-step marketability analysis process and describe the typical process in each step.
  • Given an equilibrium vacancy rate and quantified estimates of demand and supply, calculate residual demand and the ratio of demand to supply and interpret the result.
  • Calculate subject capture for a property based on a given ratio to pro-rata share of supply.
  • Recognize the strengths and weaknesses of fundamental analysis and identify situations when fundamental analysis should be included in the scope of work.



Prerequisites

None

Exam

No Exam

Level

Intermediate

Program State Approval & Hours

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

Classroom
Classroom Education - A course delivered entirely in one classroom location.
 
Synchronous
Synchronous Livestream Education - Any distance education course offered by Appraisal Institute chapter or Appraisal Institute national headquarters, where the instructor and students interact simultaneously online, similar to a phone call, video chat or live webinar, or web-based meeting.

Appraisal Institute CE Points

Attend: 35 AI Points

Class Time

7 hours

Assignments

No

Program Overview


Required and/or Recommended Equipment

Required equipment: 
Calculator such as the HP-12C
 
Strongly recommended:
Laptop or notebook computer with a spreadsheet program such as Microsoft Excel or Google Sheets.

System Requirements

None specified

Additional Information

No additional information

Book Recommendations

None specified