WorksheetsReal Estate Educational
Total questions: 15
Worksheet time: 5mins
What were the major types of real estate mentioned in the educational?
Industrial, foreign investment, retail
Industrial, retail, relocation
Retail, office, industrial
Residential, retail, industrial
The U.S. REIT market has been slowly declining from 2015-2022
True
False
Which of the following is not a property class?
Hotels
Retail
Corporations
Multifamily
Real estate tends to be a particularly cyclical industry and is not sensitive to interest rates.
True
False
Largest Canadian REIF betas are within which range?
0.1-0.45
0.12-0.45
0.15-0.4
0.1-0.35
Which of the following is not a type of REIT mentioned in the educational?
Hybrid
Mortgage
Debt
Equity
Which of the following is not a reason that someone would invest in a REIT?
Access to a diversified portfolio of real estate
Exposure to the RE industry without having to manage property yourself
Low cash flows from distribution yields
More liquid, as selling a share in a REIT is smoother than selling a house
The unprecedented low interest rate environment since the recession of ‘09 has left many investors “starved for yield".
True
False
Net Operating Income (NOI) = Rental Revenue - Property Operating Expenses
True
False
P / FFO is the main earnings metric.
True
False
Which of the following is not a valuation method used in real estate?
Discounted Cash Flow
Dividend Distribution Model
Net Asset Value
Dividend Discount Model
The value of an asset is the present value of its future cash flows.
True
False
The Net Asset Value (NAV) valuation method is based on the valuation of a company's assets which have an infinite life.
True
False
The Discounted Cash Flow (DCF) is the most popular intrinsic valuation method.
True
False
The Dividend Discount Model (DDM) is relevant due to the low payout ratios seen in REITs.
True
False
