About This Chapter
Commercial Real Estate - Chapter Summary
In this chapter, you'll study key concepts related to the commercial real estate industry, beginning with the economic cycles of commercial real estate. You'll review how to estimate income-producing property values and cover the documentation required in commercial real estate transactions. This chapter also includes a review of the Federal Reserve System and the Consumer Price Index. By the end of this chapter, you will be able to:
- Define commercial real estate and outline it's economic cycles
- Discuss working with investors, developers, and users of commercial property
- Prepare commercial real estate documentation
- Analyze the risks and opportunities in commercial property
- Understand the role of the Federal Reserve System
- Explain how cost of living and inflation are monitored
Our experienced instructors present this information with clear, concise language that allows you to maximize your study time. By testing your knowledge with our self-check quizzes at the end of each lesson, you will have a good indicator as to whether you are ready for exam questions. You can access these materials 24/7 on any computer or mobile device.
1. Commercial Real Estate: Definition & Economic Cycles
This lesson explores economic cycles of commercial real estate and examines real estate market drivers, including economic growth, competition, and education.
2. Commercial Real Estate: Estimating Income-Producing Property Values
What are valuation models for income-producing properties? In this lesson learn how to determine the value of real estate based on the income stream, as well as how capitalization rates (cap rates), gross income multipliers and comparable price valuations are involved.
3. What is the Federal Reserve System?
Have you ever wondered why interest rates go up and down, seemingly at random? Of course you have! Discover what the Federal Reserve is, what its goals are and how those goals are achieved in this introductory lesson explaining the central bank of the United States.
4. Consumer Price Index: Measuring the Cost of Living and Inflation
In this lesson, you'll learn what the Consumer Price Index is and how it measures changes in the level of prices in an economy. You'll also learn about the important economic concepts of inflation and deflation. Why do prices always seem to be going up?
5. Working with Investors, Developers & Users of Commercial Property
This lesson will explain how to identify the goals of investors, developers, and users of commercial and industrial property. You'll also learn about the different types of income properties and the interests of commercial purchasers.
6. Commercial Real Estate Documentation: Purpose & Preparation
This lesson will explain how to prepare specialized commercial real estate documentation and discuss dealing with 1031 Exchanges, permits, and regulatory approvals.
Earning College Credit
Did you know… We have over 200 college courses that prepare you to earn credit by exam that is accepted by over 1,500 colleges and universities. You can test out of the first two years of college and save thousands off your degree. Anyone can earn credit-by-exam regardless of age or education level.
To learn more, visit our Earning Credit Page
Transferring credit to the school of your choice
Not sure what college you want to attend yet? Study.com has thousands of articles about every imaginable degree, area of study and career path that can help you find the school that's right for you.
Other chapters within the Alabama Real Estate Broker Pre-License Exam: Study Guide & Practice course
- Alabama Real Estate Licensure
- Alabama Real Estate Law & Statutory Requirements
- Alabama Real Estate Violations & Disciplinary Actions
- Understanding Agency Relationships & Agreements in Real Estate
- Ethical Conduct & Professional Duties in Real Estate
- Fundamentals of Business Planning
- Human Resource Management for Real Estate
- Real Estate Licensee Training & Supervision
- Real Estate Sales Contracts for Buyers & Sellers
- Property Disclosures in Real Estate
- Closing & Settlement Real Estate Transactions
- Overview of Real Estate Negotiation
- Fundamentals of Real Estate Financing
- Risk Management for Real Estate
- Advertising Laws in Real Estate
- Valuation of Real Property
- Overview of Property Management
- New Construction Real Estate
- Alabama Real Estate Broker Pre-License Exam Flashcards