What is reference-class forecasting?
Forecasting by comparing a plan to the actual outcomes of similar completed projects (cost per unit, lease-up pace, overruns, exit caps) rather than to an inside view, a corrective for overconfidence.
Where you will use it: this term comes up in the Real Estate Finance course, and the full course glossary collects every term in one place.
Related terms
From the free Real Estate Finance course by Devon Coombs, CPA, MBA.