NC Elective

Investment FUNdamentals: What's my return on investment?


Description
This is a challenging course is designed for serious real estate practitioners, appraisers, and investor-wannabes who want to understand more about how to calculate returns on investment. Students receive a professional textbook and an Excel spreadsheet with enrollment in the course.

Students must use a calculator to class, but it can be a simple, hand-held calculator. We will work together step-by-step on creating a market analysis using the most sophisticated ROI--financial management rate of return.

If you are going to take this course on your phone or table, it will work better if you install the TalentLMS app. Download the TalentLMS app from your app store. Go here: https://www.talentlms.com/mobile to download the app from Google Play or the ITunes store.

Course Number: 3898 Name of elective cou...: Investment FUNdamentals: What's my retur...

Content
  • Section 1 INTRODUCTION AND HOUSEKEEPING
  • 1.1 Introduction from Debbie
  • 1.2 Video: How to navigate this course
  • 1.3 Course description
  • 1.4 Course objectives and goals
  • 1.5 Rules of engagement
  • 1.6 The instructor
  • Section 2 calculating Cap rates
  • 2.1 Topics for this section
  • 2.2 Qualifying investors
  • 2.3 Yield measurements
  • 2.4 Proformas and capitalization rates
  • 2.5 A closer look: a pro forma
  • 2.6 A closer look: calculating the capitalization rate
  • 2.7 A closer look: Pro forma on the condo
  • 2.8 A Closer look: Problems with cap rates
  • Section 3 calculating equity dividend rates
  • 3.1 Topics for this section
  • 3.2 Calculating the cash-on-cash return
  • 3.3 A closer look: Calculating the cash-on-cash return
  • 3.4 A closer look: Before-tax cash flow
  • 3.5 A closer look: Limitations of the cash-on-cash return
  • Section 4 calculating tax consequences
  • 4.1 Topics for this section
  • 4.2 Calculating taxable income
  • 4.3 A closer look: Calculating taxable income
  • 4.4 A closer look: Negative taxable income
  • 4.5 Calculating the after-tax equity dividend rate
  • 4.6 2019 tax brackets
  • 4.7 2020 Tax brackets
  • Section 5 calculating depreciation
  • 5.1 Topics for this section
  • 5.2 Calculating depreciation: a student asks a question
  • 5.3 A closer look: cost basis
  • 5.4 impact of depreciation on taxable income
  • 5.5 A closer look: Current residential depreciation rules
  • 5.6 A closer look: Current commercial depreciation rules
  • 5.7 A closer look: 1981 tax consequences
  • 5.8 A closer look: 1981 tax consequences if the 50% tax bracket still existed
  • 5.9 A closer look: How current depreciation rules affect the bottom line_24%
  • 5.10 A closer look: Current rules and the bottom line at 35%
  • 5.11 Wait...there's more!
  • Section 6 Calculating after tax consequences
  • 6.1 Topics for this section
  • 6.2 Calculating the tax savings on the equity dividend rate
  • 6.3 Calculating the tax savings on the equity dividend rate
  • 6.4 A few more pieces of the FMRR puzzle
  • 6.5 A closer look: Three potential taxes
  • 6.6 A closer look: Capital gains taxes
  • 6.7 A closer look: Depreciation recapture tax
  • 6.8 A closer look: Understanding the alternative investment's ROI
  • 6.9 A closer look: Understanding the alternative investment's ROI part 2
  • 6.10 A closer look: Understanding the alternative investment's ROI, part 3
  • 6.11 No more bananas
  • Section 7 Seeing the Future
  • 7.1 Topics for this section
  • 7.2 A trip to the future with Table A
  • 7.3 Let's say you receive an inheritance
  • 7.4 Let's say that property will appreciate by 3%
  • 7.5 Seeing the future using Table B
  • 7.6 Let's say you are saving for retirement
  • 7.7 You want your kid to go to a good college
  • Section 8 Analyzing case study #1_The otts buy a kiddie condo
  • 8.1 Topics for this section
  • 8.2 Starting the Worksheets
  • 8.3 Worksheets 2-4
  • 8.4 Calculating the FMRR, Worksheet 5
  • 8.5 Download Case Study #1 Answer Key
  • Section 9 Analyzing case study #2_Mr Radcliff buys a commercial investment
  • 9.1 Topics for this section
  • 9.2 Using the Excel spreadsheet
  • 9.3 Using the spreadsheet
  • 9.4 It's your turn: create the investment analysis for case study #2
  • 9.5 Answer key to case study #2
  • Section 10 Summary and housekeeping
  • 10.1 Assumptions of the FMRR and summary
  • 10.2 You're almost done!
  • 10.3 End-of-course survey
  • 10.4 Just click the complete button...
Completion rules
  • All units must be completed
  • Leads to a certification with a duration: until June 30