Course syllabus

Fastighetsvärderingssystem
Real Estate Appraisal Systems

VFTN01, 7,5 credits, A (Second Cycle)

Valid for: 2019/20
Decided by: PLED L
Date of Decision: 2019-04-04

General Information

Elective for: L4-fe
Language of instruction: The course will be given in Swedish

Aim

The course contributes to a deeper knowledge of property valuation. The course is intended to provide the foundation needed to critically evaluate general price information in the property sector. The course is intended to provide sufficient knowledge of relevant quantitative methods to enable the student to build models herself for analyzing the information on real estate embedded in property prices.

Learning outcomes

Knowledge and understanding
For a passing grade the student must

• interpret general information about the real estate and condominium prices, as well as on rents
• understand and describe how discrepancies in the database are handled when the information is generalized
• understand how information embedded in observed property prices can be extracted and interpreted by quantitative methods

Competences and skills
For a passing grade the student must

• establish a small database that can provide useful information
• describe how the selection and calculations are carried out, in some commonly used mass valuation systems
• evaluate the value of commercial properties, both with and without the help of special software
• analyze the interdependence in the long term of the development of property values  and changing conditions in the surrounding society and economy
• use quantitative methods to analyze, interpret and compile information on property prices

Judgement and approach
For a passing grade the student must

• evaluate the price information used in the property market and understand its uses and its limitations
• be able to critically evaluate the credibility of a valuation under different conditions
• be able to think creatively about the conditions for rising or falling property va

Contents

The course has a strong quantitative focus and the red thread consists in the analysis of the information contained in observed property prices; how it can be collected, how it can be processed and how it can be interpreted.

The course covers the demand that exists in the mass treated pricing information for real estate, focusing on real estate and how credit and so-called rating agencies such as Moody's and Standard & Poor are working.

This course examines how publicly available information can be used to achieve greater accuracy in the property valuation. From there, it continues with studies in the processing of such information may be done by privately held companies.

The course also details the compilation of prices that are not conducted in public records, particularly the housing market.

In project tasks the participants will have to build information systems using various quantitative methods.

 

Examination details

Grading scale: TH - (U,3,4,5) - (Fail, Three, Four, Five)
Assessment: Participation in project works and a final examination.

The examiner, in consultation with Disability Support Services, may deviate from the regular form of examination in order to provide a permanently disabled student with a form of examination equivalent to that of a student without a disability.

Admission

Admission requirements:

• VFTF01 Economics
• VFTF05 Real Estate Appraisal or VFTF20 Real Estate Appraisal or VFTF25 Real Estate Valuation and Analysis

Required prior knowledge: VFT015 Real Estate Market OR VFTN50 Real Estate Market
The number of participants is limited to: No

Reading list

• Compendium of articles.

Contact and other information

Course coordinator: Fredrik Kopsch, fredrik.kopsch@lantm.lth.se
Course homepage: http://www.lantm.lth.se