Income Approach Case Studies for Commercial Appraisal

One of three traditional approaches to value, the income approach converts anticipated benefits into an indication of property value.  The income capitalization approach works inter-dependently with the cost approach and the sales comparison approach in estimating value.
This course is intended to provide the participant with basic skills as it relates to terminology and application of the income approach.  Included is the development of reliable effective gross income estimates, vacancy and collection loss, analyzing operating expenses and calculating net operating income. Using the capitalization process, the participant will capitalize net operating income into an indication of value.
The case studies in this course will focus on existing improved commercial real estate in a competitive marketplace.