Real Estate QUIZMASTER
Definitions Analytical Acronyms Numerical Formulae
100
100
100
100
100
200
300
400
500
200
300
200
300
200
300
200
300
400
400
400
400
500
500
500
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner
500

Real Estate QUIZMASTER
Definitions Analytical Acronyms Numerical Formulae
100
100
100
100
100
200
300
400
500
200
300
200
300
200
300
200
300
400
400
400
400
500
500
500
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner
500

Definitions for 100
This term refers to the ability of an investor to increase the returns on equity through the use of debt
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Definitions for 200
The rent that can be collected on an annual basis assuming that a property is completely occupied
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Definitions for 300
_______ real estate investment refers to owning the investment via the public markets and securities which may be traded
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Definitions for 400
This “basis” of a real property is what the owner has invested in it, which includes the portion bought with debt, less accumulated depreciation
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Definitions for 500
The average increase in all prices weighted based on typical consumption
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Analytical for 100
How aggressively an investor tries to accumulate wealth depends on his _____
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Analytical for 200
The IRR is a number which causes the discounted sum of all future returns to be exactly equal to ___
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Analytical for 300
Riskfree investments are estimated by _______ securities
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Analytical for 400
More leverage ________ the variability of returns
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Analytical for 500
When mortgage payments are made, principal repayment enhances the investor’s equity in the property unless…
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Acronyms for 100
G I G O
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Acronyms for 200
N O I
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Acronyms for 300
I R R
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Acronyms for 400
Y M
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Acronyms for 500
R O A
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Numerical for 100
The IRR required by most real estate investors for the last several years has tended to run about ____ for conservative low risk investments
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Numerical for 200
A bond purchased for $900 which pays an annual end of year coupon of $90 per year with a maturity value of $1,000 in exactly two years has a
Current Yield of _____
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Daily Double
Numerical for 300
A bond purchased for $900 which pays an annual end of year coupon of $80 per year with a maturity value of
$1,000 in exactly two years has a YM of _____
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Numerical for 400
If we bought a property for
$200,000 with $50,000 down as equity and the first and second year before tax cash flows are
$6,000 and $8,000 respectively, then the Year Two ROE =
__________
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Numerical for 500
If we bought a property for
$200,000 with $50,000 down as equity and the first and second year before tax cash flows are
$6,000 and $8,000 respectively, then the Year One ROA =
__________
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Formulae for 100
Gross Rent – Vacancy =
??????????
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Formulae for 200
Stock Current Returns
= ??????????
Stock Price
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Formulae for 300
NOI - ??????????? =
Cash Flow (before tax)
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Formulae for 400
Bond Current Returns
= ???????????
Bond Price
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner

Formulae for 500
????????? –
Operating Expenses
= NOI
“Real Estate Principles for the New Economy”: Norman G. Miller and David M. Geltner