Classification of Risks in Real Estate Development Business

Abstract

Risks generally denote the negative impact to the real estate project’s progression in regard to these will affect to the construction schedule, project cost and the quality of the products. This article highlights the importance, consequences and impacts of risks in the real estate development projects. This article also classifies risks in the general business, and then focus specifically on those in the real estate business, then it provides the academic and practitioners term of risks as well as define the risks those involve in the real estate business. The risk classifications in this article will be used to support and establish the risk assessment criteria based on the definitions of Social, Technological, Economic, Environmental and Political factors or STEEP factor, which is popularly used in the general and real estate business.