REAL 5080 UGA Test 1
Exam Coverage
Exam coverage for REAL 5080 UGA Test 1 includes foundational real
estate concepts typically covered in the early portion of graduate or
upper-level real estate coursework at the University of Georgia. It
focuses on real estate principles, property rights, market analysis,
valuation basics, legal considerations, financing concepts, and the
structure of real estate markets. The exam also evaluates
understanding of investment fundamentals, risk and return, contracts,
land use, and economic factors affecting real estate decisions.
Emphasis is placed on applying real estate theory, interpreting market
information, and analyzing property-related decisions in professional
and academic contexts.
,Who Uses Estimates of Value
Buyers; Sellers; Bankers; Financiers; Brokers; Government (Ad Volerum
Property Tax)
Real Estate Appraisal Definition
A written statement independently and impartially prepared by a
qualified appraiser setting forth an opinion of defined value of
adequately described property as of a specific date, supported by the
presentation and analysis of relevant market information
,Sales Comparison Approach
We focus on precedent transactions. The basis is that equivalent
goods should sell at equivalent prices (law of one price).
Two Steps of the Sales Comparison Approach
Collection of Information (key characteristics) of subject and
comparable properties; adjust prices of comparable properties to
account for differences between each comparable and the subject
, Complications of the Sales Comparison Approach
There is no perfect substitute (heterogeneous product); Few
comparable properties; Which comparable properties to use; How to
use information to make adjustments
The Cost Approach
The price of an existing property should not exceed the cost
(including normal profit) to purchase a comparable site and
comparable improvements made
Exam Coverage
Exam coverage for REAL 5080 UGA Test 1 includes foundational real
estate concepts typically covered in the early portion of graduate or
upper-level real estate coursework at the University of Georgia. It
focuses on real estate principles, property rights, market analysis,
valuation basics, legal considerations, financing concepts, and the
structure of real estate markets. The exam also evaluates
understanding of investment fundamentals, risk and return, contracts,
land use, and economic factors affecting real estate decisions.
Emphasis is placed on applying real estate theory, interpreting market
information, and analyzing property-related decisions in professional
and academic contexts.
,Who Uses Estimates of Value
Buyers; Sellers; Bankers; Financiers; Brokers; Government (Ad Volerum
Property Tax)
Real Estate Appraisal Definition
A written statement independently and impartially prepared by a
qualified appraiser setting forth an opinion of defined value of
adequately described property as of a specific date, supported by the
presentation and analysis of relevant market information
,Sales Comparison Approach
We focus on precedent transactions. The basis is that equivalent
goods should sell at equivalent prices (law of one price).
Two Steps of the Sales Comparison Approach
Collection of Information (key characteristics) of subject and
comparable properties; adjust prices of comparable properties to
account for differences between each comparable and the subject
, Complications of the Sales Comparison Approach
There is no perfect substitute (heterogeneous product); Few
comparable properties; Which comparable properties to use; How to
use information to make adjustments
The Cost Approach
The price of an existing property should not exceed the cost
(including normal profit) to purchase a comparable site and
comparable improvements made
