Contract or Effective Rent: Finding the Real Rent

Description

Work through real-world applications of common circumstances involving effective rent.  Distinguish between nominal and effective rent and further enhance your analysis by evaluating the way effective rent impacts property value.  Recognize how the integration of the effective rent measurement is used by market participants (landlords and tenants) for leases involving landlord concessions and non-market-based provisions in all three approaches to value.
At the end of the seminar, you’ll have a take-away model to use when incorporating effective rent into their valuation or consulting work. Attendees should have familiarity with discounted cash flow concepts and a working knowledge of Excel prior to attending the seminar. 
 
 
Sponsor Date Location Delivery Format Check
State Approvals
 

Program State Approval & Hours

Some AI educational programs may not be approved in every state and every delivery format. To see a list of all state approvals across all formats for this course, please use the link below.

View all approvals for this course

Who should Enroll

  • Real property appraisers and consultants
  • Property managers
  • Lease agents
  • Accounting professionals
  • Investors

Objectives

  • Define effective rent and distinguish between nominal rent and effective rent.
  • Identify how calculating effective rent impacts property value.
  • Recognize how familiarity with effective rent implications helps appraisers consult with landlords and tenants in lease negotiations.
  • Identify how integration of the effective rent measurement impacts all three approaches to value.
  • Evaluate proper methods of calculating effective rent and apply the conclusions in each approach to value.

Prerequisites

Participants should be familiar with discounted cash flow concepts and have a working knowledge of Excel prior to attending the seminar.

Exam

No Exam

Level

Intermediate

Appraisal Institute CE Points

Attend: 20 AI Points

Class Time

4 hours

Assignments

Classroom
Yes. After you register for this class, please go to your Education and Events page for details on what you must complete BEFORE class begins.
 
To access your Education and Events page, log on to the Appraisal Institute website at https://ai.appraisalinstitute.org/eweb (click on the three horizontal lines to the left of the AI logo and select “My AI Account” from the drop-down menu).
 

Synchronous
Yes. After you register for this class, please go to your Education and Events page for details on what you must complete BEFORE class begins.
 
To access your Education and Events page, log on to the Appraisal Institute website at https://ai.appraisalinstitute.org/eweb (click on the three horizontal lines to the left of the AI logo and select “My AI Account” from the drop-down menu).
 

Synchronous
Yes. After you register for this class, please go to your Education and Events page for details on what you must complete BEFORE class begins.
 
To access your Education and Events page, log on to the Appraisal Institute website at https://ai.appraisalinstitute.org/eweb (click on the three horizontal lines to the left of the AI logo and select “My
AI Account” from the drop-down menu).
 

Program Overview


Required and/or Recommended Equipment

  • A financial calculator is required. The accepted model used in the program is the HP-12C. AI education programs that require a financial calculator are developed with HP-12C keystrokes; using this model is highly recommended.
  • You must be familiar with calculator operation when the program begins. Do not enroll expecting to be taught how to use a financial calculator.
  • Free Review: Using a Financial Calculator: Formulas, Symbols, Math Review, and Sample Problems; and Financial Calculator Practice Exercises.
  • For additional help with the HP-12C calculator, take our online seminar Using Your HP-12C Financial Calculator.
  • HP-12C calculator User’s Manual.
  • A laptop computer is recommended.
  • Microsoft Excel 2007, 2010, or 2013 should be downloaded and operational. Download a trial copy of Excel here.

     

    Note. Versions prior to 2007 will not be taught.


System Requirements

Classroom & Synchronous
None specified

Synchronous

Additional Information

Classroom & Synchronous
Seminar Materials Include:
  • Seminar Handbook (97 pp.)
  • Pre-Class Downloads (50 KB)
  • Pre-Class Memo (1 p.)

Synchronous
Seminar Materials Include:
  • Seminar Handbook (97 pp.)
  • Pre-Class Downloads (50 KB)
  • Pre-Class Memo (1 p.) 
The live online synchronous session runs for 4 hours with at least 2 breaks during that time.

 

For specific offering details including exact dates and times, see “click here for details” under “Synchronous Class Schedule.”

Connection Information
Several minutes after you register, you will receive second e-mail which includes instructions in how to connect to the synchronous sessions.

If you did not receive the connection information, please check your junk, spam, or quarantine folder.

Connection e-mail reminders are sent 1 week, 1 day, and 1 hour prior to synchronous session start time.

For questions, please e-mail webinars@appraisalinstitute.org or call (312) 335-4473.

Disclaimer
I agree to the terms and policies set forth under the Appraisal Institute Online Education Policy. I also certify that I am the person identified above under Personal Data and that I will personally complete each assigned module of instruction and any examination(s). I understand and agree that if I misrepresent my identity or arrange for someone else to represent himself or herself as me at any time during the Appraisal Institute online course or seminar, I will be immediately removed from the course or seminar and I will not be entitled to any refund. I further understand that if I am a Designated member, Candidate for Designation, Practicing Affiliate, or Affiliate of the Appraisal Institute and participated in any misrepresentation of identity, by affirmative act or failure to act, I will be the subject of a peer review proceeding under Regulation No. 6 for violation of the Code of Professional Ethics and Standards of Professional Practice of the Appraisal Institute, and such peer review proceeding may result in termination of my Appraisal Institute membership, candidacy, and/or affiliation.


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