HBA 433 - Seminar in Finance Fall 2025

 Class 6: Time Value of Money in Real Estate Time Value of Money (TVM) — the essentials, how they fit together, and  why real estate runs on them. PV ------------------------>  Int Rate /Time ------------------->  FY Payment (inflow/Outflow) Calculator Core ideas & definitions Time Value of Money (TVM) A dollar today is worth more than a dollar tomorrow because you can invest it and earn a return (or avoid paying financing costs). TVM turns cash at different dates into comparable values using an interest (discount) rate . Interest rate (r) The growth (or discount) rate per period that moves money through time. It can be: Compounding : annually, quarterly, monthly, etc. Nominal vs. effective : effective rate reflects compounding (e.g., 6% nominal compounded monthly ≈ 6.168% effective annually). Required return/discount rate when valuing investments (includes risk and opportunity cost). Present Value (PV) What a future cash flow is wort...

  Class 5: Introduce the Future - AI, Blockchain AI Chat GPT 5.0 and creating better prompts. Blockchain and having each student create a digital wallet. Python and other software code and its use in this potential future real estate financial market __________________________________________________________________________ Definition of Artificial Intelligence (AI) Artificial Intelligence (AI) is the branch of computer science that focuses on creating systems capable of performing tasks that normally require human intelligence. These tasks include learning, reasoning, problem-solving, understanding language, and recognizing patterns. AI relies on data, algorithms, and computing power to simulate aspects of human intelligence. Key characteristics of AI: • Machine Learning (ML): Systems that improve performance through data and experience. • Reasoning: Making logical decisions or predictions. • Natural Language Processing (NLP): Understanding and generating human language. • Compute...

  Class 4: Data Sources & Market Intelligence Sources for sales comps, rents, vacancy, and absorption. Example: Using MLS and assessor data to validate cap rate trends.   _______________________________________________________________________________________________________________ Data is the most valuable asset in financial modeling and asset management. PAY Some State Data (https://www.gsccca.org/) Commercial Realtors: CBRE, JLL, Collier MLS CREXI, Loopnet Marshall & Swift FREE County Data          Federal City Data                State Data Gov’t Reports  Commercial Companies overall Data Realtors     Real Estate Professionals Sources PUBLIC PRIVATE Kind of Data Individual Properties Market Data ( area, city, county, state & region) Ratios Area History Construction Costs Area Leases Area Expenses Cap Rates ROI

  Class 3: Property Types & Income Mechanics NOI fundamentals across multifamily, office, retail, and industrial. Definitions: effective gross income, net operating income.  -------------------------------------------------------------------------------------------------------------------- FINANCIAL SYSTEM HOW TO GET WEALTHY IN THIS COUNTRY AND  CREATE MULTI-GENERATIONAL WEALTH 401K Example of:  Correct Way ----------------------------------------------------------------------------------------------------- Real Estate Categories and Key Financial Definitions Real Estate Categories Single Family House A residential property designed for occupancy by one household or family.  It typically has its own lot, yard, and is not attached to another dwelling unit. Multifamily A residential property containing more than one housing unit within a single building or complex. Examples include duplexes, triplexes, townhouses, and apartment buildings. Office Commercial pro...