CI 101: Fin Anal of CRE
1. Advantages of Using Cap Rate - ANS-1. Quick and Simple
2. 2. Takes into account vacancy losses and operating fees. Composition of Annual Cash
Flows and Sales Proceeds - ANS-
3. Disadvantages of Using Cap Rate - ANS-1. Does no longer remember financing or tax
effect
4. 2. Cap rate makes use of 1st yrs NOI = SNAPSHOT
5. ANS-1: Discounting. The method of determing the prevailing fee of cash to be recieved
within the destiny (both lump sums or bills)
6. 2. Reflects the lack of profits over the time you needed to look forward to your cash
7. 3. Aplies a reduction reate (poortunity fee) to sums to be acquired
8. Discounting (mod 3) - ANS-1. PV of a Single Sum
9. 2. PV of a Series of Payments
10. three. PMTs had to Amortize a PV
11. Discounting Signals - ANS-1. What is its cutting-edge price? 2. How much would you
be inclined to pay?
12. Three. What is the prevailing cost of?
13. Four. How a good deal might you invest?
14. Five. How an awful lot is required to be deposited today? Feasibility Analysis Model -
ANS-Figure 2.2
15. Geospatial Data - ANS-"area, region, area". Gis is a spatial spreadsheet. Assists w/
record preserving, visualization, tactical evaluation, stategic decision help.
16. Data transformation into maps is known as GIS or ANS. Any device that captures,
shops, analyzes, manages, and affords records that are connected to place.
17. Internal Rate of Return (synonymous with) M4 - ANS-Yield, Interest Rate, Return on
Invest., Opportunity Cost, Discount Rate
18. Investors - ANS-folks that make choices regarding funding in properties that
19. are or might be leased to users
20. Projeting Future Sales Price Using Capitalization (M4) - ANS-1. "Disposition Cap Rate"
21. 2. Investors use subsequent year's NOI to determine price through Capitalization
22. three An Investor shopping our belongings five years from now will in all likelihood use
the subsequent yr's NOI to determine cost
23. 4. If we undertaking a sixth yr NOI on a five year evaluation we are able to use it to
estimate a sales charge for the cease of yr five the use of Capitalization
24. Pros and Cons of IRR - ANS-CON: IRR doesn't calculate what occurs if $$ (n
income/bills) remains in an investment
25. Psychographics - ANS-aka Lifestyle Segmentation Profile (LSP). TAPESTRY is a LSP
database supplied by means of CCIM. Psychographic records is primarily based upon
intake patters.
1. Advantages of Using Cap Rate - ANS-1. Quick and Simple
2. 2. Takes into account vacancy losses and operating fees. Composition of Annual Cash
Flows and Sales Proceeds - ANS-
3. Disadvantages of Using Cap Rate - ANS-1. Does no longer remember financing or tax
effect
4. 2. Cap rate makes use of 1st yrs NOI = SNAPSHOT
5. ANS-1: Discounting. The method of determing the prevailing fee of cash to be recieved
within the destiny (both lump sums or bills)
6. 2. Reflects the lack of profits over the time you needed to look forward to your cash
7. 3. Aplies a reduction reate (poortunity fee) to sums to be acquired
8. Discounting (mod 3) - ANS-1. PV of a Single Sum
9. 2. PV of a Series of Payments
10. three. PMTs had to Amortize a PV
11. Discounting Signals - ANS-1. What is its cutting-edge price? 2. How much would you
be inclined to pay?
12. Three. What is the prevailing cost of?
13. Four. How a good deal might you invest?
14. Five. How an awful lot is required to be deposited today? Feasibility Analysis Model -
ANS-Figure 2.2
15. Geospatial Data - ANS-"area, region, area". Gis is a spatial spreadsheet. Assists w/
record preserving, visualization, tactical evaluation, stategic decision help.
16. Data transformation into maps is known as GIS or ANS. Any device that captures,
shops, analyzes, manages, and affords records that are connected to place.
17. Internal Rate of Return (synonymous with) M4 - ANS-Yield, Interest Rate, Return on
Invest., Opportunity Cost, Discount Rate
18. Investors - ANS-folks that make choices regarding funding in properties that
19. are or might be leased to users
20. Projeting Future Sales Price Using Capitalization (M4) - ANS-1. "Disposition Cap Rate"
21. 2. Investors use subsequent year's NOI to determine price through Capitalization
22. three An Investor shopping our belongings five years from now will in all likelihood use
the subsequent yr's NOI to determine cost
23. 4. If we undertaking a sixth yr NOI on a five year evaluation we are able to use it to
estimate a sales charge for the cease of yr five the use of Capitalization
24. Pros and Cons of IRR - ANS-CON: IRR doesn't calculate what occurs if $$ (n
income/bills) remains in an investment
25. Psychographics - ANS-aka Lifestyle Segmentation Profile (LSP). TAPESTRY is a LSP
database supplied by means of CCIM. Psychographic records is primarily based upon
intake patters.
