1. Risk of choosing loan mortgage type.

2. The risk of choosing the term of mortgage loan.

3. The subject qualification risk of the mortgagor or mortgagee.

4. Risk of changes in the value of land use rights.

5. Defective collateral.

6. Register abnormal risks.

7. Limited repayment and debt repayment ability when realizing mortgage.

8. Credit risk.

Legal basis: Civil Code of People's Republic of China (PRC).

Article 389 The scope of the security interest includes the principal creditor's right and its interest, liquidated damages, damages, expenses for keeping the secured property and realizing the security interest. Unless otherwise agreed by the parties, such agreement shall prevail.

Article 390 Property subrogation and subrogation of security interests; During the guarantee period, if the secured property is damaged, lost or requisitioned, the holder of the secured property right may be given priority in compensation for the insurance money, compensation or compensation obtained. If the time limit for performance of the secured creditor's rights has not expired, the insurance money, compensation or compensation may also be deposited.