Risk Flashcards
1
Q
What are the two levels of real estate risk?
A
Property Risks (Internal)
Market / Regulatory Risks (External)
2
Q
What are the two categories of market risk?
A
Spatial Market RisksL
these are risks related to the cyclical nature of the market which introduces the risk that there may be a divergence between supply
and demand.
Capital Market Risks:
Capital market fundamentals and the availability of capital (debt and equity). Periods of restricted capital can soften valuations due
to limited demand
