Real Estate Project $$ Rent Versus Own

Objective $$ Build a spreadsheet to help make the decision to rent or own

For this project, you will use a simple spreadsheet to decide whether to rent or buy a house. You will record a screen capture video of yourself creating a pro forma $($cash flow projection$)$ for a proposed rent$/$own decision based on the set of project assumptions. The pro forma includes the total cash flows from the two options and a rate of return comparison.

A step$-$by$-$step video and an example spreadsheet are provided for guidance. Based on the example set of assumptions, the calculations reported can be verified. The spreadsheet you submit should follow a different set of assumptions provided called $$Actual Project Assumptions$$ that are different from those provided in the example. The project assumptions are similar to those for the example. Before you begin, be sure to review the project rubric provided on the course website.

Each student is required to create their own Excel file while recording a screen video and audio narration. You should use the simple$/$free$/$reliable online tool called www$.$screencastomatic.com $.$ If your video goes beyond $15$ minutes with the ScreenCastoMatic free version, post links to each of your videos. Do a test recording of one minute to ensure your audio can be heard and I can see your face on the webcam before completing your entire project. At the end of each recording segment, save you video to ScreenCastOMatic and copy the link provided. See instructions on for the "Intro Video" assignment for more information about recording your video$($s$).$ Paste the video links into the text area of D$2$L$\text{'}$s dropbox when you upload your Excel file.

To complete the project, upload your Excel spreadsheet to the appropriate section of the course management system and links to the ScreenCastoMatic recordings of you building the spreadsheet with voice narration. Be sure to include your Excel file and your video file$($s$).$ It should be possible to change the assumptions in the spreadsheet and the end results should change appropriately. All formulas should function properly and the spreadsheet should provide the correct answer with any changes to the assumptions. Your video should show you creating every formula and describing the process. Your video should also include a discussion at the end of whether you should rent and why. When does it make sense to rent according to the analysis you've done.

Late Policy:

As it says in syllabus$/$grading rationale, late projects are penalized $10$ points. If you are late submitting a proposal to a client or a project to your boss in the real world, you will greatly reduce the chances of getting the account or your job. The customer $/$boss will assume that you will procrastinate and be late on everything else also! Even submitting at the last minute looks bad!