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18.122. Social environment risk

The risks of social environment are related to people’s values, society structure and society system change. For example, if people’s values changed suddenly, it will be associated with unimaginable uncertainties. Stable and orderly society is the precondition for the people to have the desire to purchase property. If there are less of social harmony and good public security, the real estate value will go down, the real estate sales will be affected accordingly, and investor have to face huge risks. Also, different custom, culture, religion belief, values not only will affect real estate investment’s cost, and also will restrict the real estate demand.