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Abstract

Real estate is the world's largest asset class. It plays an important role in the economy as a whole and in the portfolios of many individuals around the world. However, most business and even finance students have little exposure to real estate concepts. This paper discusses the importance of real estate and presents a series of exercises that can be assigned in introductory finance classes. Through these exercises, students enhance their overall finance knowledge and learn concepts not usually covered by introductory textbooks, such as choosing a mortgage, refinancing decision, and house affordability.

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