PROBLEM TO BE SOLVED : To provide new pricing techniques for real estate ABS (asset-based securities).SOLUTION : The method of pricing the preference part of real estate ABS includes obtaining information on a risk-free bond price meeting requirements for redeeming the preference part; obtaining information on an option price for hedging a delay in redemption of the entire principal of the preference part; calculating information on an option price for hedging the falling below par of an amount to be redeemed at the time of redemption of the preference part; and determining the price of the part of the real estate ABS based on these pieces of information. The method of pricing the subordinate part of real estate ABS included setting an exercise time after the redemption period of the subordinate part; setting the entire principal of the preference part of the real estate ABS as an exercise price; calculating the price of a call option, with the real estate as an underlying asset; and determining the price of the subordinate part of the real estate ABS using the price of the first call option.