TROY UNIVERSITY
MASTER SYLLABUS
SORRELL COLLEGE OF BUSINESS
FIN 4440
Real Estate Finance II
Prerequisites
FIN 3336.
Description
Second course in a sequence on real estate finance. Continuation of FIN 3336. Prerequisite: FIN
3336.
Objectives
On completion of the course, the student should be able to:
1. Explain the relationship between real estate and finance, including the areas of managerial
finance, investments, and financial markets, institutions, and instruments.
2. Explain the determination of interest rates and property valuation in real-estate finance.
3. Explain the creation of the fixed-rate mortgage and alternative mortgage instruments.
4. Explain how federal legislation and taxation affect affordability, efficiency, and competition
in the housing and mortgage markets.
5. List the financial markets, institutions, and instruments of the secondary mortgage market.
6. Calculate the value of mortgage securities.
7. Describe how default risk is controlled through borrower qualification and underwriting.
8. Explain the process of loan origination, processing, and closing for real-estate finance.
9. Explain mortgage default insurance, foreclosures, and title insurance.
10. Discuss the relationships among valuation, financial leverage, and capital structure in the
commercial real-estate market.
11. Discuss liability, agency problems, fraud, and ethics in real-estate finance.
Purpose
To provide a comprehensive study of real estate finance. This is the second course in a sequence
that follows the prerequisite course FIN 3336 (Real Estate Finance I). Taken together, the two
courses cover the entire range of topical areas in real estate and real-estate finance. This is an
excellent elective for anyone who wants to understand the important areas of real estate and realestate finance for purposes of business management or personal financial planning.
BABA/BSBA Finance major specified elective.
Master Syllabi are developed by the senior faculty in each business discipline. This Master Syllabus must be used as the basis for developing the
instructor syllabus for this course, which must also comply with the content specifications outlined in the Troy University Faculty Handbook.
The objectives included on this Master Syllabus must be included among the objectives on the instructor’s syllabus, which may expand upon the
same as the instructor sees fit. The statement of purpose seeks to position the course properly within the curriculum and should be consulted by
faculty as a source of advisement guidance. Specific choice of text and other details are further subject to Program Coordinator guidance.
1 August 2005
Master Syllabus: FIN 4440
2
Approved Texts
Clauretie, T. M., & Sirmans, G. S. (2006 or current). Real estate finance: Theory and practice
(5th ed.). Mason, OH: Thomson/South-Western.
Supplements
As deemed appropriate.
Troy University Faculty Handbook (2010): Section 3.9.2.8 [extract] — essential elements of the syllabus (somewhat modified for space):
1. Course title
2. Course number +
section
3. Term
4. Instructor
5. Prerequisites
6. Office hours
7. Class days, times
8. Classroom
location
9. Office location +
e-mail address
10. Office telephone
11. Course
description,
objectives
12. Text(s)
13. Other materials
14. Grading methods, 16. General supports
criterion weights,
(computer works,
make-up policy,
writing center)
mid-term grade
17. Daily assignments,
reports
holidays, add/drop
15. Procedure, course
& open dates, dead
requirements
day, final exam
18. ADA statement
19. Electronic device
statement
20. Additional
services,
statements
21. Absence policy
22. Incomplete-work
policy
23. Cheating policy
24. Specialization
requirements
(certification,
licensure, teacher
competencies)