1. Commercial Brokerage
    1. Specialty Brokerage or Supplement to Residential Brokerage
    2. More Financial Education and Analysis Required
    3. Emphasis on Balance Sheet, Income Statement, Return on Investment Analysis and Financial Analysis
  2. Real Estate Investment - Goals - Appreciation, Cash Flow, Tax Shelter
    1. Appreciation - Inflation Protection, Equity Buildup
      1. Pyramid through Refinancing
    2. Cash Flow
      1. Income Statement Example
      2. Leverage - use of bank money
  3. Tax Shelter - Depreciation
    1. Depreciation Terminology
      1. Cost Basis (Treatment of Land/Improvements)
      2. Salvage Value
      3. Useful Life
      4. Annual Depreciation
      5. Cumulative Depreciation
      6. Book Value
    2. Depreciation Methods - Define/use examples
      1. Straight Line
      2. Sum-of-the Years-Digits
      3. Declining Balance
      4. ACRS-Review Current IRS Guidelines
    3. Capital Gains Consideration
      1. Owner Occupied vs. Non-Owner Occupied (Single Two Family)
      2. Passive vs. Active Status
        1. 000 Loss Limit
          1. - 15,000 Income Effect
      3. Cost Basis Factors
        1. Cost plus Improvement Depreciable
        2. Land not Depreciable
        3. Cost - Cumulative Depreciation vs. Sell Price
  4. Syndication
    1. Securities Exchange Laws (Blue Sky Laws)
    2. Interstate Sales
    3. Licensing Requirements
  5. Exchanges
    1. Definition
    2. Capital Gains Treatment
    3. Like-Kind Requirement
    4. Role of Exchange Agent
    5. Boot - Definition and Tax Treatment
    6. Need for Competent Legal Advice
  6. Installment Sales
    1. Definition
    2. Annual Tax Treatment
    3. Examples
  7. Trusts
    1. Real Estate Investment Trusts (REITS)
    2. Real Estate Mortgage Trusts (REMTS)
  8. Miscellaneous
    1. Financing Considerations/Sources
    2. Proforma Income Statement
    3. Environmental Consideration