School of Economics and Finance

ECOM138 - Real Estate Finance

Residential and commercial real estate is fundamental to bank lending and has become increasingly important as an asset class for investment banks and hedge funds. Its role at the centre of the financial system was highlighted by the 2008-09 financial crisis where problems in that sector led to the largest global recession since the great depression.

This module aims to provide students with concepts and techniques for analysing real estate investment and financing decisions. The module covers mortgages and debt securitisation (secondary mortgages and mortgage-backed securities like CDO's), real estate investment appraisal and risk assessment, financial leverage in real estate, and alternative financing and investment vehicles, such as real estate investment trusts (REITs).