Basic Real Estate Finance On-demand Course

Basic Real Estate Finance is designed to provide entry level professionals with the skills necessary to analyze the financial feasibility of real estate investment opportunities. It provides a step-by-step approach for completing a financial feasibility analysis. Students will become more familiar with real estate market participants, valuation fundamentals, determinants of real estate returns, the impact of leverage on real estate investments, and interactions between the real estate space market and the capital market. This course is ideal for developers, asset managers and owners who have very little financial analysis experience. It will therefore emphasize fundamentals and will not delve into more complex issues that are covered in NAIOP's Advanced Real Estate Finance course.

Learning Objectives

  • Defining "space markets" and "capital markets"
  • Identifying the four quadrants of the capital market
  • Developing an operating statement
  • Understanding capitalization rates
  • Differentiating capitalization rates from total yield
  • Defining and calculating net present value (NPV)
  • Defining and calculating unlevered internal rate of return (RR)
  • Differentiating between gross leases and net leases
  • Incorporating tenant reimbursements into the operating statement
  • Identifying the factors that cause capitalization rates and discount rates to change over time
  • Identifying sources of discount rate and capitalization rate data
  • Examining the relationship between leverage and risk
  • Calculating loan payments and loan balance

If you would like to purchase an individual course module instead of the full course, visit the individual course page.

Tuition & Register

Payment for a NAIOP on-demand course entitles access for one person only to the course and all materials.

Course Tuition

Member TypeUSDCAD
Member$795$1,040
Nonmember$995$1,300
Developing Leader$595$780
Student Member$95$125
Student Nonmember$145$190


How to Register

  • Register online: Click on the green Register button. You will need to log in or create a free account in order to see the Register button.
  • Fax: Complete the registration form for US  or for Canada  and fax to 703-904-7003
  • Mail: Send check payments to: NAIOP, CL500060, PO Box 5007, Merrifield, VA 22116-5007
  • Register over the phone/questions: 800-666-6780

Confirmation

All registrations processed online receive an automatic order confirmation and receipt. If you register via fax, mail, or phone, a receipt must be requested by contacting education@naiop.org.

Login instructions to access the on-demand course are sent under separate cover . If you do not received the login instructions, please check your spam folder. If the login email is still not there, please contact the NAIOP Education Department.

Cancellation Policy

No refunds will be issued.

Key:

Complete
Failed
Available
Locked
BREFOD Module 1 - Introduction to Space Markets and Capital Markets
Module 1 Introduction to Space Markets and Capital Markets Class Recording
Open to view video.
Open to view video. This session focuses on the relationship between the space market and the capital market, which will be used as a framework for the entire course. We'll also discuss why real estate is a unique asset class and identify major property types and classifications along with key real estate investors. In addition, this session will introduce the four quadrants of the capital market, discuss investment strategies and examine historic real estate returns.
Module 1 Introduction to Space Markets and Capital Markets Presentation
Open to download resource.
Open to download resource.
BREFOD Module 2 - Real Estate Valuation Using Direct Capitalization
Module 2 - Real Estate Valuation Using Direct Capitalization Class Recording
Open to view video.
Open to view video. This section will focus on the basic structure of a real estate operating statement and how capitalization rates are used in conjunction with the operating statement to derive an estimate of value.
Module 2 - Real Estate Valuation Using Direct Capitalization Presentation
Open to download resource.
Open to download resource.
Module 2 Belmont Office Building Spreadsheet
Open to download resource.
Open to download resource.
BREFOD Module 3 - Real Estate Valuation Using Discounted Cash Flow Analysis
Module 3 - Real Estate Valuation Using Discounted Cash Flow Analysis Class Recording
Open to view video.
Open to view video. In this section, we will differentiate discounted cash flow analysis from direct capitalization when the technique is presented to provide students with a clear understanding of the relationship between the two approaches to valuation.
BREFOD Module 3 Real Estate Valuation using Discounted Cash Flow Analysis
Open to download resource.
Open to download resource.
Module 3 Belmont Office Building Spreadsheet
Open to download resource.
Open to download resource.
BREFOD Module 4 - Real Estate Leases
Module 4 Real Estate Leases Class Recording
Open to view video.
Open to view video. This section will cover the legal aspects of real estate leases and focus on how each type of lease structure influences cash flow/value.
Module 4 Real Estate Leases Presentation
Open to download resource.
Open to download resource.
BREFOD Module 5 - Determinants of Real Estate Returns
Module 5 Determinants of Real Estate Returns Class Recording
Open to view video.
Open to view video. Capitalization rates and discount rates will be broken down into their component parts to help students estimate potential changes in the rates over time.
Module 5 Determinants of Real Estate Returns Presentation
Open to download resource.
Open to download resource.
Module 5 Reference - In Class Worksheet Example
Open to download resource.
Open to download resource.
BREFOD Module 6 - Introduction to Debt Financing
Module 6 Introduction to Debt Financing Class Recording
Open to view video.
Open to view video. This session will emphasize mortgage terminology and basic skills such as calculating mortgage payments and balances in this module. We'll also discuss the relationship between leverage and investment risk.
Module 6 Introduction to Debt Financing Presentation
Open to download resource.
Open to download resource.
Module 6 Class Example - Clayton
Open to download resource.
Open to download resource.
BREFOD Module 7 - Levered Real Estate Investments
Module 7 Levered Real Estate Investments Class Recording
Open to view video.
Open to view video. Leverage is incorporated into the reconstructed operating statement in this section to analyze the financial performance of a real estate investment.
Module 7 Levered Real Estate Investments Presentation
Open to download resource.
Open to download resource.
Module 7 Reference - In Class Exercise - Word Worksheet
Open to download resource.
Open to download resource.
Module 7 Reference - In class Exercise - Pro Forma Valuation example with Debt
Open to download resource.
Open to download resource.
BREFOD Module 8 - Analyzing Debt Financing Options
Module 8 Analyzing Debt Financing Options Class Recordings
Open to view video.
Open to view video. We'll discuss the skills necessary to estimate the maximum loan amount a property will support and to choose between financing options with different terms.
Module 8 Analyzing Debt Financing Options Presentation
Open to download resource.
Open to download resource.
Module 8 Case Study - Concord Commons #1
Open to download resource.
Open to download resource.
Module 8 Case Study - Concord Commons #2
Open to download resource.
Open to download resource.
Module 8 Case Study - Concord Commons 1 and 2 Student Spreadsheet
Open to download resource.
Open to download resource.
Module 8 Case Study - Concord Commons 1 and 2 ANSWER KEY
Open to download resource.
Open to download resource.
Module 8 Resource - Lender Yield & Borrowing Cost
Open to download resource.
Open to download resource.
Module 8 Resource - Lender Yield & Borrowing Cost - Completed Sample
Open to download resource.
Open to download resource.
Module 8 Resource - Underwriting Ratios
Open to download resource.
Open to download resource.
End of Course Items
Module 8 Resource - Underwriting Ratios - Completed Sample
Open to download resource.
Open to download resource.
BREFOD Exam - Required for Certificate Candidates
30 Questions  |  3 attempts  |  24/30 points to pass
30 Questions  |  3 attempts  |  24/30 points to pass If you are a NAIOP certificate candidate, the test is required. You must get 24 out of 30 questions correct in order to pass the test. You have five attempts to pass the test.
BREFOD Skipping the Exam Acknowledgement
Agree to terms to continue.
Agree to terms to continue. If you are not planning on taking the test, please click the Read Terms button. Then you will be able to complete the Evaluation and print your transcript.
BREFOD Evaluation
7 Questions
BREFOD Transcript
16.00 CEUs credits  |  Certificate available
16.00 CEUs credits  |  Certificate available