ATTENTION ALL SUMMER SEMESTER REAE 3325 ONLINE STUDENTS AND PROSPECTIVE STUDENTS!
PLEASE READ THE FOLLOW BEFORE REGISTERING FOR THIS SECTION:
- This is an ONLINE LEARNING SECTION. Students registering for this section should be highly motivated, disciplined, and capable of self-study and independent learning. Also, you should expect to put in 50% to 100% more time into an online class over and above a traditional face-to-face class. If you have any doubts about your motivation, discipline, ability to learn independently, or available time, I highly recommend that you consider taking this course during a full semester where we offer several traditional face-to-face sections (mornings, afternoons, evenings, and even Saturday sections on occasion).
- 8-WEEK SUMMER SESSION WARNING: This course will cover a lot of material and move very quickly. In fact, we will cover the same amount of material in this 8-week Summer Session as we do in a normal 16 week semester. This course should be your primary focus over the Summer Session period.
- THREE OF FOUR EXAMS WILL BE HELD ON CAMPUS! See below for examination dates and location (all on-campus exams will be held in room 147 Business Building). All exams will be objective style (multiple-choice) questions. Only the final exam is cumulative. In addition, there will be one Internet based exam. You must be available on-line for this exam (see exam dates and times below).
- Your primary information sources for this course will be your (1) textbook, (2) video clips, (3) practice problems, and (4) student blog. In addition, I will have office hours for additional help. Please note that WebCT is used for administering Exam 2 and posting grades. Never contact me through the WebCT e-mail function. Always use reae3325online@gmail.com.
- TVM ANNOUNCEMENT: You must complete the Time Value of Money (TVM) Finance Tutorial to receive credit for this course. The TVM Finance Tutorial is a Department requirement of all REAE 3325 and FINA 3313 students. If you have already completed the TVM Finance Tutorial in FINA 3313 you DO NOT have to do it a second time. You may submit a TVM Finance Tutorial prior completion sheet to Mr. Yongho Seo, Department of Finance and Real Estate, Room 424 COBA, Box 19449, Arlington TX 76019-0449. Click here to download a pdf of the TVM Prior Completion Form.
- FINANCIAL CALCULATOR: You will also need a basic financial calculator which can be purchased at the UTA bookstore, Wal-Mart, Circuit City, Fry’s, and other retail outlets. Most students use a Texas Instruments (TI) or Hewlett Packard (HP) brand calculator. Exam 1 will cover the TVM material, so you need to move quickly on this.
- VIDEO CLIP VIEWING INFORMATION: You must have a reliable computer, Internet connection, and a recent version of MS Internet Explorer (IE) browser (video clips can be viewed in IE only). For video clip viewing, the Firefox browser will not work. I cannot help you with any technical problems so please look into your available resources before registering for the course. If you have trouble with your computer, Internet connection, or browser, this distance learning format will not be convenient to you. You can reach the University HelpDesk at (817) 272-2208 or e-mail helpdesk@uta.edu. Or, visit the HelpDesk in person at the first floor of the Main Library (the best way if you are on campus).
Orientation Assignment (Please do this before registering for the class or ASAP.))
- Read and review this website.
- Visit the student blog site (blog will be setup for Winter session as soon as the Fall semester ends) http://reaeonline.blogspot.com
- Down load, print-out, and read the syllabus carefully.
- View Orientation video clip (1 hour 9 minutes).
- Purchase textbook, TVM tutorial, and financial calculator (you need to learn how to use your own financial calculator).
- Record the four exam dates in your calendar (also include the TVM deadline date).
IMPORTANT CLASS DATES AND DEADLINES:
(put these dates in your calendar at the start of the semester! No make-up exams.)
Exams and Assignment Deadlines (Please record these dates in your personal calendar at the start of the semester! No make-up exams!)
- EXAM 1 Saturday, June 20, 2009 at 10 AM On-campus in room 147 Business Building.
- TVM Tutorial Deadline Saturday, June 20, 2009 (will be collected at the start of the exam).
- Census Date Monday, June 8, 2009.
- EXAM 2 Saturday, June 27 at 10:00 AM On-line. (must be on-line at 9:50 AM for 10 AM start using a reliable Internet connection)
- Last Day to Drop Thursday, July 16, 2009.
- EXAM 3 Saturday, July 18, 2009 at 10 AM On-campus in room 147 Business Building.
- Final deadline for Blog Post Extra Credit assignment is July 18, 2009 (see syllabus, you are encouraged to post earlier)
- FINAL EXAM Saturday, July 25, 2009 at 10:00 AM On-campus in room 147 Business Building. (cumulative final exam)
- Investment Problem Extra Credit will be held in conjunction with the final exam on July 25th (see syllabus).
- Must bring Scan-tron, financial calculator, pencils, and student ID to all exams.
If you have a conflict or difficulty with any of these important dates listed above, contact the Instructor during the first week of class to discuss the conflict. No make-up exams but remember, I drop your lowest grade.
Instructor Contact Information
Professor: Dr. J. Andrew Hansz, Ph.D., CFA
Office: 631 Business Building
Course Blog: http://reaeonline.blogspot.com
E-mail: reae3325online@gmail.com (Please always use this e-mail address!)
REAA 3325 Online Students:
I will post TVM Tutorial completions (pass, fail, or incomplete) on WebCT. You must complete the TVM Tutorial, otherwise, you will automatically receive an ‘F’ for the course. This is a Department requirement for all REAE 3325 students. The deadline is JULY 18, 2009 at the start of the first exam.
Overview of Class and Class Schedule (Syllabus and Orientation Video Clip)
- syllabus (pdf, please download, print-out, and read first)
- Orientation Video/Audio Clip* (1 hour 9 minutes)
*Note: This is a .WMV (file name Orientation.wmv) file. You can try to click directly on this link to start your media player, however, you will likely need to download this clip on to your desktop, then double-click on the downloaded file. To download this file, “right click” on the link above. In the menu that appears, select “Save target as…” and save this file to your desktop. Go to your desktop and double-click on the file to start.
Internet Resources (3 main online resources or tools for this course, in addition to the textbook):
- https://websites.uta.edu/hanszja/ (click on course link) This webpage (see “Important Links and Resources” below)! This is the main page for weekly assignments, announcements, video clips, practice problems, etc.. You need to use and check this page regularly (3 to 5 times per week).
- http://reaeonline.blogspot.com Student blog. This blog is set-up primarily for you! You can discuss text material and other real estate issues. I will check and post to this blog occasionally, but this is set-up primarily for student-to-student interaction related to the real estate material only. Please check this site regularly.
- https://webct.uta.edu WebCT to report grades. I am hoping to use WebCT for reporting grades only. Please, never contact me through WebCT. I only use WebCT to record grades. I will make a blog post as soon as I have grades posted to WebCT (there is no need to contact me to ask when grades will be posted…watch for the blog post).
Important Links and Resources
- Chapter Notes, Video Clips, Presentation Aids and Study Materials (Most important link and resource for this course!)
- http://reaeonline.blogspot.com (course blog)
- https://webct.uta.edu (to report grades only)
Daily Assignments (I encourage you to work ahead. At a minimum, you should keep up with the schedule below. You can start the course early too! Why wait, it is all ready to go for you!!)
Week 1: June 3rd
- Check-in by sending an e-mail to Dr. Hansz at reae3325online@gmail.com.
- Read chapters 1 and 13 and view video clips for these chapters (as always, complete all end of chapter problems and exercises).
- Read and watch the video clips for the “Review Materials for Real Estate” pdf packet. Complete problem sets 1 (review video clip for answers).
- Start the TVM tutorial.
- Record the four exam dates/times in your calendar (also include the TVM deadline date).
Census Date is Monday, June 8, 2009
Week 2: June 8th
- Record the four exam dates in your calendar (also include the TVM deadline date).
- Read chapter 14 and view video clip (as always, do end of the chapter problems and exercises).
- Read and watch the video clips for the “Review Materials for Real Estate” pdf packet. Complete problem set 2 (review video clips for answers).
- Double-check and make sure that you have recorded the four exam dates and TVM deadline in your calendar.
- Continue with TVM tutorial or turn in a Prior Completion form at the start of the first exam.
- Practice with your calculator (the time value of money menu).
- Make sure you know how to set your calculator’s “payments per year” function.
- Know how to switch back and forth between “Begin Mode” and “End Mode.”
- Read chapter 15 and view video clip (as always, do end of the chapter problems and exercises).
- Finish the TVM or the TVM prior completion form.
- Complete the “Review Materials for Real Estate” pdf packet problem sets 2 and 3. This is found near the Ch 14 materials.
- Read and watch the video clips for “Review Materials for Real Estate” pdf packet. Complete problem set 3 (review video clips for answers).
- Send two pictures to reae3325online@gmail.com if you like (not required). Include a picture of yourself and a picture that is important or of interest to you.
- I will include these photos is the slide-show above. It is nice to get to know some faces, even thought this is an on-line class.
Week 3: June 15th with Exam 1 on Saturday, June 20th On-campus
- Read Chapters 2, 3, and 4 (lots of material in these chapters), view video/audio clips, do practice problems etc. (the usual routine for each chapter).
- Chapters 2, 3, and 4 will be on EXAM 2 but you will need to cover these chapters at the beginning of Week 3.
- Exam 1 on Saturday, June 20th at 10 AM to 11 AM in room 147 Business Building.
- The exam will cover chapters 1, 13, 14, and 15. Also, this exam will have an emphasis on TVM.
- The TVM Tutorials are due at the start of the exam at 10 AM on June 20th.
- Please bring your UTA photo ID, a Scan-tran answer sheet (as specified in the syllabus), pencils, and your calculator (see exam instructions below).
- Exam 1 will be 50 or fewer multiple choice style questions.
- Bring your completed TVM tutorial (with original signed certificate page) OR your TVM prior completion form.
Attention! If you go to WebCT (www.uta.edu/webct) and log-in with your UTA user name and ID, you should find our class and your Exam 1 score (as a %) posted a couple days after the exam. I will make a blog post when the exam scores are uploaded to WebCT.
Week 4: June 22nd with Exam 2 on Saturday, June 27th Online
- Review Exam 1 on-line. Link will be posted on the course blog.
- Individual exam scores will be posted on WebCT.
- Read Chapters 5, 6, and 7 view video/audio clips, do practice problems etc. (the usual routine for each chapter).
- Exam 2 will be held online on Saturday, June 27th at 10 AM to 11 AM. Exam 2 will cover chapters 2, 3, 4, 5, 6, and 7.
- This exam will be 50 or fewer true-false and multiple-choice style questions.
- You must log into WebCT promptly by 9:50 AM (exam will start at 10 AM).
Week 5: June 29th
- Review Exam 2 on-line. Use this link to download a wmv file with the EXAM 1 review.
- Read Chapters 8, 9, and 10 view video/audio clips, do practice problems etc. (the usual routine for each chapter).
- If you are interested in pursuing the Investment Problem Bonus Option, please review the Investment Problem clips this week.
- (You will need to start practicing the IP now. Please note that for the IP Exam, you will receive the IP assumption only and you will have to work through the problem without any template or notes.)
Week 6: July 6th
- Read Chapters 19 and 11 view video/audio clips, do practice problems etc. (the usual routine for each chapter).
- Please note that Chapter 11 is a very big chapter with lots of additional materials to cover from the website.
Week 7: July 13th with EXAM 3 on Saturday, July 18th On-campus
- Read Chapters 12, 17, and 18 view video/audio clips, do practice problems etc. (the usual routine)
- EXAM 3 Tuesday, January 6th from 10:00 AM to 11:30 AM in Room 147. Exam 3 will cover chapters 8, 9, 10, 11 (big chapter!), 12, 17, 18, and 19.
- Please bring your PHOTO ID, pencils, calculator, and Scan-tron answer sheet.
- TVM Tutorial Final Deadline. Please turn-in at 10 AM. You must complete this or I have to give you an automatic ‘F’ for the course.
Week 8: July 20th with the FINAL EXAM on Saturday, 25th On-campus
- Review Exam 3. (Click this link.)
- Read Chapters 16 (the final is comprehensive but I will give extra emphasis to Ch. 16), view Investment Problem video/audio clips, do practice problems etc..
- Read Chapter 20 (no video/audio clips for this chapter) and do practice problems etc. (the usual routine).
- Continue to Review Investment Problem (IP) clips. This is an optional bonus problem that will be part of the final exam.
- FINAL EXAM (and Investment Problem Bonus option) is Saturday, July 25th at 10 AM to 12:30 PM in room 147.
- Please bring your photo ID, pencils, Scan-tron form, and calculator.
- The final is cumulative but emphasis will be placed on Chapter 16.
- The final exam is not mandatory if you do not want or need to improve your three exam scores. It is mandatory if you missed one of the three prior exams.
- You may also take the Investment Problem Exam without taking the final exam.
- Please note that for the IP Exam, you will receive the IP assumption only and you will have to work through the problem without any template or notes.
Grade Posting Information
- GRADES will be posted on WebCT. https://webct.uta.edu (login using your UTA username and password) Please do not call or e-mail requesting grades!
Other Downloads
Relevant Links
Anyone interested in receiving weekly e-mail updates on the Texas real estate market? To subscribe go to http://recenter.tamu.edu
Home-Buyers Guide: (http://recenter.tamu.edu/pdf/1044.pdf)
Homeowner’s Guide: (http://recenter.tamu.edu/pdf/1415.pdf)
Landlords and Tenants Guide: (http://recenter.tamu.edu/pdf/866.pdf)
Texas Real Estate Sales and Broker Information: http://www.trec.state.tx.us/
Fun Stuff
Cool Homes (link provided Karen Oberman): The URL below is really long, but it should take you to a link with a couple of really cool houses. The videos are about 5 minutes each, so don’t plan on watching them all at once…. But there are some really neat looks to some very unusual properties and a neat history about them.
http://video.msn.com/video.aspx?mkt=en-us&tab=m65&vid=e5d558f9-4959-4e7f-b66d-1fcad65fe905&playlist=videoByUuids:uuids:70a923f5-910b-4054-a41d-a6d7035804d1,84d730be-296b-4d63-8aeb-75511f1b81f5,db5fd4d5-6a44-45f3-82a1-49b097fb4611&from=MSNHP>1=10755
Time Value of Money Formulas (Although most students use a financial calculator, I will put these formulas on each in-class exam.)
Future value of a lump sum: FV = PV(1+i)n
Present Value of a Lump Sum: PV = FV [1/(1+i)n ]
Present Value of an Annuity: PVA = A[(1-(1/(1+i)n ))/ i]
Future Value of an Annuity: FVA = A[((1+i)n -1))/ i]
Sinking Funds: SFP = FVA [ i / ((1+i)n -1))]
Mortgage Payments: PMT = PVA [ i / ((1 – (1/(1+i)n )))]
General Exam Instructions:
Please answer the following questions by selecting the best answer on your Scan-tron answer sheet. Be very careful of erasure marks. Your mark on the Scan-tron answer sheet is your final answer. I suggest circling all answers in your test booklet and filling in the answer sheet at the end. For the True/False questions, ‘A’ equals ‘True’ and ‘B’ equals ‘False.’
Please note:
- Keep your quiz booklet closed until the quiz is officially started.
- You will need a basic calculator (no manuals), pencils, and a Scan-tron answer sheet. Place your photo ID on the desk, photo-side up. Put all other materials away.
- Do not share calculators during the exam.
- Remove baseball caps.
- Turn-off/put away all pagers/cell phones and other communication devices.
- Write your name and ‘REAE 3325 Exam’ on the Scan-tron answer sheet.
- You may mark (write-on) the exam booklets.
- Do not look around the room or make any noise. If you have a question, raise your hand and I will come to you.
- Keep your Scan-tron answer sheet and test booklet in front of you. (Don’t let the person behind you look off your papers.)
- Answer the questions that you know and return to the question you don’t know toward the end. Do not spend too much time on any one question.
- Please watch your time as we must finish on-time.
- Do not remove test booklets from classroom.
- Concentrate and do your best. Good luck!
Strategies for Success
For each chapter
- Read the assigned text chapter and view any video clips posted on the class website as homework.
- Download the chapter notes (found on my website) and review the notes.
- Try the end of chapter problems.
- Download the answers to selected end of chapter problems (found on my website) and review your answers.
- Take notes during the video clips and rewrite/organize your notes afterwards.
- Read the text chapter a second time.
- Download and complete the chapter true/false questions and discussion questions.
Other study suggestions
- Make flashcards.
- Read your notes into a tape recorder (and playback).
- Take notes as you read the text.
- Combine (rewrite) your class notes and text notes into a single set of notes.
- Study several hours per day everyday (do not wait until the night before the exam).
- Study with a friend or small group (discuss terms and topics, try problems together, and quiz each other). You could meet virtually in Second Life!
- Do the case studies accompanying the text found on the student CD (not a requirement).
General Comment
- To protect your privacy, exam scores and final grades will not be posted in public spaces, e-mailed, or released over the phone. I will post grades on WebCT.
Answers to “Review Materials for Real Estate Fundamentals” Practice Problems
TVM Problem Set 1:
- $24,464,43
- $25,093.31
- $1,738.91
- $4,755.19
- $675,764.89
- $14,381.74
TVM Review: Problem set 2 Answers:
- 10% compounded semi-annually (1.05^2 = 1.1025; 1.0238^4 = 1.0984)
- 19,236.15
- 98,111.31
- 5,575.46
- 22,601.66
- 15.94%
- 6,357.56
TVM Review: Problem set 3 Answers:
- ANN: 15 – 25,288.30 25-20,519.45 MO: 15-2,067.95 30-1614.72
- 14,043.41
- Yes, NPV = 10,850.30
- 13.22%
- PMT = 103,873.36
- Balance end of year 5 equals 961,283.21
- Balance end of year 15 equals 801,472.49
- PV = 854,972.16
- 79,612.63 + 220,436.31 = 300,048.94
- PMT = 638.58 (724.26 – 638.58 = 85.68)
- IRR = 16.2%; NPV = 1,306.20
- 68,640.81
Problem Set 4:
- a) 19,876.60 b) 1,903,479.15
- 48,076.30 + 159,263.83 = 207,340.13
- Investment 1 IRR = 9.57% Investment 2 IRR = 10.18% or 9.94% assuming annual compounding
- N=60, I = 12%, Pmt = 657.56, FV= 88,000 then 657.56 (pmt) + 120.00 (taxes, insurance, maintenance) = $777.56 rent
- $1,365.86
- 8.5%
- 12.14%
- NPV = $209.94 IRR = 12.27%
- a) 10.36% b) 4,378.29
- 163,028.46
- 1,294.88
- 137,243.36
Qualifying the Buyer Problem 1:
PI=$614.30 (n=260, i%=.10/12, PV=70,000, FV=0, solve for PMT)
MHE = $614.230+ $84+$21+$24=$743.30
TMD=$743.30+$380+$65=$1,188.30
SMI=$3,200+$240=$3,440
MDR= MHE/SMI = $743.30/$3,440=.2161 –> Make the loan
TDR=TMD/SMI=$1,188.30/$3,440=.3454 —> Make the loan