Date(s) - 16 Jul '18 - 17 Jul '18
Aims of the course:
The aim of this course is to provide participants with working knowledge of how residential and commercial real estate is financed.
Residential real estate finance:
- Fixed rate mortgage loans the mechanics.
- Alternative mortgage instruments.
- Financing and property values.
- South African housing policies institutions and relevant legislation.
- The secondary mortgage market.
- Controlling default risk, borrower qualification, mortgage underwriting.
- Loan origination, processing and closing.
Commercial real estate finance:
- Tax shelters and real estate tax regulations.
- Sources of funds for commercial real estate- debt and equity financing.
- Acquisition, development and construction loans.
- Permanent financing of commercial real estate.
- Ownership structures for financing and holding real estate.
At the end of the course the student should be able to:
- Identify and explain the role of real estate institutions in financial markets.
- Analyse the characteristics of different types of residential real estate lending.
- Model different types of residential lending in spreadsheets.
- Analyse the sources and characteristics of commercial real estate lending.
- Apply local regulations to analysing the impact of taxes on the value of real estate financing.
- Identify and explain the role of ownership structures for financing and holding real estate in the South African context.
- Describe loan origination, processing and closing in a South African context.
- Explain the causes of the subprime crisis and discuss the role of financial regulation in financial market stability.
Method of Assessment:
An assignment (50%) and examination (50%) is compulsory.
Number of Notional Study Hours: 200.
The University regards this as NQF Level 7.
R16 313.40 (SAPOA members, including VAT).
R22 857.00 (SAPOA non-members, including VAT).