COURSE TITLE:
RELE 1225-271 REAL ESTATE MATHEMATICS
SEMESTER/YEAR:
FALL SEMESTER 2013
COURSE DATES:
1st Eight Weeks – Fast Track
INSTRUCTOR:
Al Sechrist
OFFICE LOCATION: SPC Lubbock, ATC 3201 Avenue Q, Room 157
OFFICE HOURS:
Tuesday, Thursday 1:00–2:00 PM and 3:30–5:30 PM
Monday, Wednesday 3:00-5:30 PM
OFFICE PHONE:
716-4653
email Address:
asechrist@southplainscollege.edu
COURSE
DESCRIPTION:
This course covers mathematical logic and basic arithmetic skills
including percentages, interests, time valued money, depreciation,
amortization, proration, and estimation of closing statement costs.
COURSE LEARNING OUTCOMES:
The student will calculate estimates of closing costs and prorations;
calculate loan amortization problems; demonstrate proficiency in
calculating area and volume problems; perform commission
calculations and sales price problems; and apply the concepts of total,
part, and percent in problem solving when applicable.
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GENERAL INFORMATION
I.
TEXTS AND OTHER MATERIALS
Tamper, Ralph MASTERING REAL ESTATE MATH, Eighth Edition. (2012).
Chicago: Dearborn Real Estate Education. ISBN #1-4277-3143-8
A calculator is needed for this course.
II.
ATTENDANCE POLICY
Punctual and regular class attendance is required. Whenever absences become excessive
and, in the instructor's opinion, minimum course objectives cannot be met due to
absences, the student will be withdrawn from the course. No student will receive credit
for the course if he/she does not attend a minimum of two-thirds of the total class time.
When an unavoidable reason for a class absence arises, the instructor may permit the
student to make up work missed. In such case it is the student's responsibility to
complete work missed within a reasonable period of time as determined by the instructor.
RELE 1225 Real Estate Mathematics
III.
Page 2
EXAMINATION POLICY
There will be four examinations, including a final examination, composed of the types of
questions that are in the textbook. Questions will be math questions. Students may use a
silent, non-programmable, non-printing calculator for all exams and other assignments.
From time to time pop quizzes may be given.
IV.
GRADING POLICY
The student's final grade will be derived as follows: Examinations 80%, Class
Participation 20%. Class participation grade will be based on attendance, participation in
discussions, and pop quizzes if any. Each absence, tardy, or leaving at break will subtract
from participation grade. Each examination including the final will count equally toward
the student's final grade. The students's final letter grade will be determined by the
following scale: 90-100 = A, 80-89 = B, 70-79 = C, 60-69 = D, and 59 and below = F.
V.
ASSIGNMENT POLICY
At each class meeting, you should have read and understand the material in the chapter or
chapters to be covered and be prepared to discuss this material.
VI.
COURSE OBJECTIVES
A.
B.
C.
D.
E.
F.
By actively participating in this course the student will learn to understand and
apply the mathematical computations that are important in day to day real estate
transactions.
The student who studies and works the problems in this course should be able to
perform the necessary mathematical calculations to pass the Texas Real Estate
Commission License Examination.
Students who complete this course will be familiar with and able to operate a
financial calculator to perform common real estate calculations.
Students who apply themselves in this course will be able to understand and
calculate and complete a real estate closing statement.
Students who successfully complete this course will understand and be able to
apply the rules for percentages, fractions and decimals.
Students who actively participate in this course will be able to calculate areas,
volumes, depreciation and appraisal problems, interest, amortization, and discount
points.
RELE 1225 Real Estate Mathematics
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CONTENT OUTLINE
I.
II.
First eight classroom hours
A.
Course Introduction (C 1,2,3,5,6,9)(F 1,5,6,10,15)
Objectives: 1. Familiarize students with each other & instructor
2. Introduce & discuss financial calculators
3. Outline the course & policies
B.
Introduction (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Review of Basic Math Skills
Objectives: 1. Pre-assessment evaluation
2. Learn the order of operations, units of measure and balancing
equations
C.
Chapter 1 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Fractions, Decimals, and Percentages
Objectives: 1. Apply adding, subtracting, multiplying, and dividing fractions,
percentages, and decimals
2. Converting from fractions to decimals, etc.
D.
Chapter 2 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
List Price, Sales Price, and Net Price
Objectives: 1. Net price
2. Percent of profit
3. Percent of loss
E.
Chapter 3 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Appreciation and Depreciation
Objectives: 1. Uses of Depreciation
2. Straight-Line Method
B.
Chapter 4 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Compensation
Objectives: 1. Methods of Compensation
2. Splitting Commissions
Second eight classroom hours
A.
Review Chapters 1-4 and First Examination (C 4,7)(F 1,2,3,4,5,8,9,10,12)
B.
Chapter 5 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Ad Valorem Taxes
Objectives: 1. Taxes based on assessed value
2. Mills and equalization factors
3. Delinquent taxes and exemptions
RELE 1225 Real Estate Mathematics
III.
C.
Chapter 6 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Property Transfer Taxes
Objectives: 1. Evaluation
2. Tax rates
D.
Chapter 7 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Legal Descriptions
Objectives: 1. Rectangular Survey System
2. Metes and Bounds
E.
Chapter 8 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Area and Volume
Objectives: 1. Linear
2. Area
3. Volume
Page 4
Third eight classroom hours
A.
Review Chapters 5-8 and Second Examination (C 4,7)(F 1,2,3,4,5,8,9,10,12)
B.
Chapter 9 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Interest
Objectives: 1. Applying simple interest
2. Applying compound interest
C.
Chapter 10 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
The Mathematics of Real Estate Finance
Objectives: 1. Loan-to-value ratios
2. Calculate payments
3. Mortgage insurance premiums (MIP,FF,PMI)
4. Mortgage loans.
D.
Chapter 11 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Appraisal Methods
Objectives: 1. Sales Comparison Approach
2. Cost Approach
3. Income Approach
E.
Chapter 12 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Tools of Investment Analysis
Objectives: 1. Real Estate as an Investment
2. Capitalization Rates
RELE 1225 Real Estate Mathematics
IV.
Page 5
Fourth eight classroom hours
A.
Review Chapters 9-12 and Third Examination (C 4,7)(F 1,2,3,4,5,8,9,10,12)
B.
Chapter 13 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Prorations
Objectives: 1. Prorating interest, taxes, insurance, water bills, fuel and rents
2. Prorating to vs. through
3. Calculating prorations
C.
Chapter 14 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Closing Statements
Objectives: 1. Closing statement forms
2. Credits and debits
3. Reconciliation
D.
Chapter 15 (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Lease Calculations
Objectives: 1. Percentage lease
2. Index lease calculations
3. Rent per square foot
E.
Time Value of Money (C 3,5,6,7)(F 1,3,4,5,7,9,10,11,12)
Objectives: 1. Compound interest and compound discount
2. Ellwood tables
3. Using a financial calculator
F.
Course Wrap-up and Review for Final Examination
G.
FINAL EXAMINATION (C 4,7)(F 1,2,3,4,5,8,9,10,12)
RELE 1225 Real Estate Mathematics
Page 6
SCANS COMPETENCIES
C-1
C-2
C-3
C-4
TIME-Selects goal relevant activities, ranks them, allocates time, and prepares and follows schedules.
MONEY-Uses or prepares budgets, makes forecasts, keeps records, and makes adjustments to meet objectives.
MATERIALS & FACILITIES-Acquires, stores, allocates, and uses materials or space efficiently.
HUMAN RESOURCES-Assesses skills and distributes work accordingly, evaluates performances and provides
feedback.
INFORMATION-Acquires and Uses Information
C-5
Acquires and evaluates information
C-6
Organizes and maintains information.
C-7
Interprets and communicates information.
C-8
Uses computers to Process information.
INTERPERSONAL-Works With Others
C-9
Participates as members of a team and contributes to group effort.
C-10
Teaches others new skills.
C-11
Serves clients/customers-works to satisfy customer’s expectations.
C-12
Exercises leadership-communicates ideas to justify position, persuades and convinces others, responsibly
challenges existing procedures and policies.
C-13
Negotiates-Works toward agreements involving exchanges of resources resolves divergent interest.
C-14
Works with Diversity-Works well with men and women from diverse backgrounds.
SYSTEMS-Understands Complex Interrelationships
C-15
Understands Systems-Knows how social, organizational, and technological systems work and operates effectively
with them.
C-16
Monitors and Correct Performance-Distinguishes trends, predicts impacts on system operations, diagnoses
systems performance and corrects malfunctions.
C-17
improves or Designs Systems-Suggest modifications to existing systems and develops new or alternative systems
to improve performance.
TECHNOLOGY-Works with a variety of technologies
C-18
Selects Technology-Chooses procedures, tools, or equipment including computers and related technologies.
C-19
Applies Technology to Task-Understands overall intent and proper procedures for setup and operation of
equipment.
C-20
Maintains and Troubleshoots Equipment-prevents, identifies, or solves problems with equipment, including
computers and other technologies.
FOUNDATION SKILLS
F-1
F-2
F-3
F-4
F-5
F-6
F-7
F-8
F-9
F-10
F-11
BASIC SKILLS-Reads, writes, performs arithmetic and mathematical operations, listens and speaks
Reading-locates, understands, and interprets written information in prose and in documents such as manuals,
graphs, and schedules.
Writing-Communicates thoughts, ideas, information and messages in writing, and creates documents such as
letters, directions, manuals, reports, graphs, and flow charts.
Arithmetic-Performs basic computations, uses basic numerical concepts such as whole numbers, etc.
Mathematics-Approaches practical problems by choosing appropriately from a variety of mathematical
techniques.
Listening-Receives, attends to, interprets, and responds to verbal messages and other cues.
Speaking-Organizes ideas and communicates orally.
THINKING SKILLS-Thinks creatively, makes decisions, solves problems, visualizes, and knows how to learn and
reason
Creative Thinking-Generates new ideas.
Decision-Making-specifies goals and constraints, generates alternatives, considers risks, and evaluates and
chooses best alternative.
Problem Solving-Recognizes problems and devises and implements plan of action.
Seeing Things in the Mind’s Eye-Organizes and processes symbols, pictures, graphs, objects, and other
information.
Knowing How to Learn-Uses efficient learning techniques to acquire and apply new knowledge and skills.
RELE 1225 Real Estate Mathematics
F-12
F-13
F-14
F-15
F-16
F-17
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Reasoning-Discovers a rule or principle underlying the relationship between two or more objects and applies it
when solving a problem.
PERSONAL QUALITIES-Displays responsibility, self-esteem, sociability, self-management, integrity and honesty
Responsibility-Exerts a high level of effort and preservers toward goal attainment.
Self-Esteem-Believes in own self-worth and maintains a positive view of self.
Sociability-Demonstrates understanding, friendliness, adaptability, empathy, and politeness in group settings.
Self-Management-Assesses self accurately, sets personal goals, monitors progress, and exhibits self-control.
Integrity/Honesty-Chooses ethical courses of action.
CAMPUS GUIDELINES
CHILDREN ON CAMPUS
Many of the students attending classes at South Plains College are also parents who value the opportunity to
participate in higher education. Sometimes students are faced with the decision of whether to remain at home with
their children, bring children with them to class, or be absent from class. The following guidelines address concerns
for the safety of children on campus and provide for an environment conducive to learning:
1.
Students are not allowed to bring children to class and will be asked to leave in the interest of providing an
environment conducive for all students enrolled in the class. Students are responsible for adherence to the
attendance requirements set forth by the instructor in the course syllabus.
2.
Children may not be left unattended. In order to provide for the safety of children on campus, parents or
other guardians are responsible for supervising children while utilizing services or conducting business on
campus.
3.
Disruptive children will not be allowed to interfere with college business. Parents or other guardians
are responsible for supervising and controlling the behavior of children they have brought on campus.
AMERICANS WITH DISABILITIES ACT STATEMENT
“Students with disabilities, including but not limited to physical, psychiatric or learning disabilities, who wish to request
accommodations in this class should notify the Special Services Office early in the semester so that the appropriate arrangements
may be made. In accordance with federal law, a student requesting accommodations must provide acceptable documentation of
his/her disability to the Coordinator of Special Services. For more information, call or visit the Special Services Office in rooms
809 and 811, Reese Center Building 8, 885-3048 ext. 4654.
DIVERSITY STATEMENT*
In this class, the teacher will establish and support an environment that values and nurtures individual and group
differences and encourages engagement and interaction. Understanding and respecting multiple experiences and
perspectives will serve to challenge and stimulate all of us to learn about others, about the larger world, and about
ourselves. By promoting diversity and intellectual exchange, we will not only mirror society as it is, but also model
society as it should and can be.
(*Developed by the Title III summer 2001 participants as part of the training opportunity, May-June 2001, South
Plains College).
GENERAL SAFETY ON CAMPUS
RELE 1225 Real Estate Mathematics
Page 8
South Plains College recognizes the importance of safety on campus. The protection of persons and property is a
responsibility which we all share. Personal safety begins with the individual. The following guidelines are intended
to assist you in protecting yourself and to encourage practices that contribute to a safe environment for our campus
community.
e
e
e
e
Never leave your personal property unsecured or unattended.
Look around and be aware of your surroundings when you enter and exit a building.
Whenever possible, avoid walking alone, particularly after dark. Walk to your vehicle with other
class members or request that the Security Guard walk you to your car.
When approaching your vehicle, keep your keys in your hand; look under your car and in the back
seat and floorboard. Lock the doors as soon as you are inside your car.
FOOD AND DRINK IN CLASSROOMS
It is the policy of South Plains College not to permit food or drink in the classrooms or laboratories.
In case of emergency, contact the following numbers but DO NOT leave a voice mail message:
894-9611, ext. 2338 - Levelland Campus 747-0576, ext. 4677 - ATC 885-3048, ext. 2923 - Reese Center (mobile 893-5705)