Is it risky to invest in real estate?

The risks of real estate investment are:

System risk:

1, inflation risk, for example, the longer the lease period, the greater the purchasing power risk.

2. Market supply and demand risks and changes in market supply and demand.

3. Cyclical risk is caused by cyclical fluctuations in the real estate market.

4. Liquidation risk, complicated sales process and difficult to realize.

5, interest rate risk, the state's macro-control of the economy.

6. Policy risks, changes and adjustments of government policies.

7. Political risk, coup, war, strike, etc.

8. Possible risk of loss, fire or natural disaster.

Personal risk:

1, income cash flow risk.

2. Risks of future operating expenses.

3. Risk of capital value.

4. Comparative risk, that is, opportunity cost risk.

5, time risk, timing is appropriate.

6. Holding period risk, the longer the time, the more uncertain factors.