The Discounted Cash Flow Model: Concepts, Issues, and Applications
Developed for appraisers with varied appraisal backgrounds, this seminar focuses on the basic concepts and principles of discounted cash flow valuation and modeling. DCF modeling is a powerful tool when properly used and understood.
Who Should Enroll
AI CE Points
Attend:
55
Course Offerings
| Sponsor | Date | Location | Format | ||
|---|---|---|---|---|---|
| Appraisal Institute | On Demand | Online | View Details | Register |
Course Objectives
- Recognize the three categories of factors driving income property value.
- Explain why cash flows are discounted.
- Determine present values.
- Explain how the DCF model reflects how the market determines value.
- Understand the theoretical underpinnings of PV, NPV, and IRR.
- Make defensible choices of discount rates.
- Apply both blended and cash flow–specific discount rates to arrive at PV estimates.
- Explain the relationship between the discount rate(s) and the timing of expected cash flows.
- Recognize the unreliable nature of the occasional inaccurate investment forecast.
- Describe basic strategies to minimize the negative impacts of inaccurate investment forecasts.
Course Materials & Recommended Books
State Approvals
| State | QE/CE | Course & Exam | Course Only | Exam Only | Delivery Format | Start Date | Expire Date | State Code |
|---|---|---|---|---|---|---|---|---|
| AK | CE | 5 | 5 | Online | 07/27/2024 | 05/01/2027 | 19940 | |
| AL | CE | 5 | 5 | Online | 11/14/2024 | 09/30/2026 | C02860 | |
| AR | CE | 5 | 5 | Online | 06/27/2025 | 06/26/2027 | AI086 | |
| AZ | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | 77059 | |
| CA | CE | 5 | 5 | Online | 03/25/2025 | 05/14/2027 | 12CP754601029 | |
| CO | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | 2609 | |
| CT | CE | 5 | 5 | Online | 06/09/2025 | 04/10/2027 | AAL.001217 | |
| DC | CE | 5 | 5 | Online | 02/29/2024 | 02/28/2028 | 6097 | |
| DE | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | 77059 | |
| GA | CE | 5 | 5 | Online | 10/31/2012 | 05/14/2027 | 63304 | |
| HI | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | 25-031 | |
| IA | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | A518-1200 | |
| ID | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | ||
| IL | CE | 5 | 5 | Online | 01/01/2025 | 12/31/2026 | 575.001761 | |
| IN | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | 77059 | |
| KS | CE | 5 | 5 | Online | 01/01/2026 | 12/31/2026 | C119-84 | |
| KY | CE | 5 | 5 | Online | 05/31/2025 | 06/30/2026 | ||
| LA | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | A0166 | |
| MA | CE | 5 | 5 | Online | 03/23/2021 | 05/14/2027 | ||
| MD | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | 77059 | |
| ME | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | 77059 | |
| MI | CE | 5 | 5 | Online | 06/07/2024 | 06/07/2027 | 20-1212756 | |
| MN | CE | 5 | 5 | Online | 05/01/2023 | 04/30/2027 | 1027440 | |
| MO | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | ||
| MS | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2026 | MAB #49555 | |
| MT | CE | 5 | 5 | Online | 05/15/2024 | 04/23/2027 | REA-CEC-REC-17969 | |
| NC | CE | 5 | 5 | Online | 01/01/2026 | 12/31/2026 | 4565 | |
| ND | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | CE-221057, 77059 | |
| NE | CE | 5 | 5 | Online | 07/02/2024 | 07/02/2029 | 2242462.02 | |
| NH | CE | 5 | 5 | Online | 05/14/2024 | 05/14/2027 | ||
| NJ | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | 2024-3014 | |
| NM | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | 4407 | |
| NV | CE | 5 | 5 | Online | 10/10/2025 | 10/31/2026 | CE.0009973-A | |
| NY | CE | 5 | 5 | Online | 01/01/2026 | 12/31/2026 | A4019-05 | |
| OH | CE | 5 | 5 | Online | 01/01/2026 | 12/31/2026 | 923603101A 26 | |
| OK | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | 963 | |
| OR | CE | 5 | 5 | Online | 05/15/2024 | 05/15/2027 | APIN-C-0324-9026 | |
| PA | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | ||
| PR | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | 77059 | |
| RI | CE | 5 | 5 | Online | 05/23/2024 | 05/14/2027 | REA.0002176-CE | |
| SC | CE | 5 | 5 | Online | 09/01/2024 | 08/31/2026 | AC . 1491, DE1491 | |
| SD | CE | 5 | 5 | Online | 08/18/2024 | 05/14/2027 | SD 949 CE | |
| TN | CE | 5 | 5 | Online | 11/12/2025 | 11/30/2027 | 1620 | |
| TX | CE | 5 | 5 | Online | 05/16/2024 | 05/31/2026 | 03126-ACE | |
| UT | CE | 5 | 5 | Online | 06/11/2025 | 06/30/2027 | AC250614 | |
| VA | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | 77059 | |
| VT | CE | 5 | 5 | Online | 10/28/2025 | 10/28/2029 | CA-337785 | |
| WA | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | A24008911 | |
| WI | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | 77059 | |
| WV | CE | 5 | 5 | Online | 05/15/2024 | 05/14/2027 | ||
| WY | CE | 5 | 5 | Online | 04/25/2024 | 05/14/2027 | 229 |