402 - Introduction to the Income Capitalization Approach
- Course Number: C402
- Course Title: Introduction to the Income Capitalization Approach
- Course Level: Core
- IRWA Credits: 8 QEU / CEU
- AQB Credits: Not Applicable
- Prerequisites: Not Applicable
This course introduces the income capitalization approach,
which is a method of evaluating an investment by estimating future cash flows
and taking into consideration the time value of money. This approach is
presented in a concise, easy-to-understand format, and combines lecture, case
studies and exercises to teach participants how to apply income capitalization
in a variety of situations.
- A course that can be applied towards recertification.
- Specialist: An elective for the R/W-AC program.
- The relationship between the Valuation Process and the Income Capitalization Approach
- The applicability and reliability of the approach
- The characteristics of Direct and Yield Capitalization
- The components of Direct Capitalization (determining gross income, estimating vacancy and credit loss, calculating effective gross income, estimating expense and estimating value)
- Capitalization Rate Development
- Determining Just Compensation
Course Tuition IncludesParticipant Manual