Risk Management
Reducing downside through preparation and due diligence.
Introduction
Risk Management for Real Estate Investors
Every investment carries risk. Successful investors focus on identifying, understanding, and managing potential downside before committing capital.
Key Risk Areas
Due Diligence
Property condition
Title review
Neighborhood analysis
Insurance
Property insurance
Liability coverage
Vacancy considerations
Exit Strategies
Selling
Refinancing
Holding long-term
Competition Risk
Off-market opportunities may help reduce bidding pressure and competition in certain situations.