(F1002) 24 CE Hours 

Real Estate Finance

A broker pre-license elective course designed to give licensees an overview of the finance aspect of real estate.

Course Overview

This 24-hour continuing education (CE) course is a broker pre-license elective designed to provide real estate licensees with a comprehensive understanding of the financial aspects of real estate transactions and investments.

Course Objectives

By the end of this course, participants will:

1. Understand fundamental concepts of real estate finance
2. Learn about various types of mortgage loans and financing options
3. Gain insight into the mortgage application and approval process
4. Explore real estate investment analysis and strategies

Key Topics

1. Fundamentals of Real Estate Finance

• Basic financial concepts and terminology
• Time value of money
• Real estate market economics

2. Mortgage Loans and Financing Options

• Conventional loans
• Government-backed loans (FHA, VA, USDA)
• Adjustable-rate mortgages (ARMs)
• Fixed-rate mortgages
• Commercial real estate financing

3. The Mortgage Process

• Loan application procedures
• Credit scoring and its impact on financing
• Underwriting and loan approval
• Closing processes and documentation

4. Real Estate Investment Analysis

• Cash flow analysis
• Return on investment (ROI) calculations
• Capitalization rates
• Risk assessment in real estate investments

5. Alternative Financing Methods

• Owner financing
• Lease options
• Hard money loans
• Crowdfunding in real estate

6. Legal and Ethical Considerations

• Truth in Lending Act (TILA)
• Real Estate Settlement Procedures Act (RESPA)
• Ethical considerations in real estate finance

Benefits

This course will equip real estate professionals with the knowledge and skills necessary to:

• Advise clients on financing options
• Understand and explain complex financial concepts to clients
• Make informed decisions in real estate transactions and investments
• Enhance their professional credibility in the field of real estate finance

By completing this course, real estate licensees will gain a valuable edge in understanding the financial intricacies of the real estate market, ultimately benefiting both their careers and their clients.