Chabot College
Fall 2007
Course Outline for Real Estate 85
REAL ESTATE ECONOMICS
Catalog Description:
85 – Real Estate Economics
3 units
Economic factors influencing real estate. Effects of real estate and business cycles on commercial
and residential markets. Government fiscal and monetary policies. Urban development and renewal,
regulation of land uses. Prerequisite: Real Estate 80. 3 hours.
Prerequisite Skills:
Before entering this course, the student should be able to:
1. identify each of the steps and stages in a typical residential home sale;
2. list the services that a real estate agent provides to home buyers;
3. distinguish between real property and personal property;
4. list the three major methods used to describe land in legal documents.
5. describe the methods of holding title;
6. define the term “easement”;
7. list the different types of categories into which zoning ordinances divide a community;
8. define the term “eminent domain”;
9. explain the statute of frauds;
10. define the term “listing agreement”;
11. describe the agency relationship;
12. recall the four essential elements of value;
13. recognize the purpose and importance of an MAI appraisal;
14. differentiate between a “Seller’s” market and a “Buyer’s” market;
15. compare the advantages of renting to the advantages of buying;
16. solve capitalization problems using the capitalization approach to value.
Expected Outcomes for Students:
Upon completion of this course, the student should be able to:
1. demonstrate a basic understanding of the social and economic forces affecting real estate;
2. identify business cycles;
3. categorize effects of business cycles on real estate markets;
4. list different land usages;
5. describe how government policies impact real estate trends and values;
6. explain federal, state and municipal regulations effecting real estate.
Course Content:
1.
2.
3.
4.
5.
6.
7.
Characteristics of value
Forces influencing value
Business cycles
Supply and demand
Government regulation
Social Influences of real property
Money markets
Methods of Presentation:
1. Lecture
2. Discussion
3. Guest speakers
Chabot College
Course Outline for Real Estate 85, Page 2
Fall 2007
Assignments and Methods of Evaluating Student Progress:
1. Typical Assignments
a. Compare the primary difference between the U.S. Federal Reserve monetary policy and
fiscal policy. Cite examples of how these policies affect your local neighborhood and
community property values.
b. Locate 4 internet sources for leading economic indicators and explain how this information
may be used in deciding to monetize real estate assets.
c. Explain three or more methods whereby the U.S. Federal Reserve controls the real estate
activity in a particular market and in the United States as a whole.
2. Methods of Evaluating Student Progress
a. Examinations
b. Assignments
c. Final Examination
Textbook(s) (Typical):
The Essentials of Real Estate Economics, 5th Edition , McKenzie and Betts, Thompson SouthWestern Publishing, 2006
Special Student Materials:
None
JM/Sept2006
Revised 10/12/06, 11/3/06
RE85