United Nations – New Urban Agenda
The evaluation of real estate market risk is an integral part of the safety and soundness of the entire global financial system. The development of a uniform international real estate market risk rating system is essential so that real estate market advisory professionals can use this critical tool to provide the public with appropriate risk assessments and help avoid system collapse.
We believe that the UNECE Policy Framework and Real Estate Market Advisory Group working paper offer valuable insights in this regard. Specifically, we need to enhance real estate valuation processes and financial supervision activities relating to collateral valuation to include such real estate market risk assessments worldwide.
The impact statement above was adopted at the FIABCI-USA and Appraisal Institute roundtable on international real estate market risks at the US Senate Building on January 15, 2013. Roundtable attendees included representatives from the United Nations Economic Commission for Europe (UNECE) including FIABCI Past World President Enrico Campagnoli, who serves as Chair of the UNECE Real Estate Markets Advisory Group and FIABCI-USA President Sharon K. Young who led the organization of the event.
The Roundtable focused on the “UNECE Policy Framework for Sustainable Real Estate Markets” and the position paper “The Evaluation of Real Estate Property & Market Risks for Real Estate Backed Financial Products.” President Young and FIABCI World President Judy Shenefield welcomed representatives from the UNECE, Federal Deposit Insurance Corporation, US State Department, Counselors of Real Estate, HypZert (German Valuers Association), Center for International Private Enterprise, Appraisal Institute, National Association of Realtors and students from Georgetown University.
“We are honored to have coordinated such a distinguished group of real estate leaders at the US Capitol to discuss the continuing recovery from the worldwide financial crisis,” noted FIABCI-USA President Sharon K. Young. “The crisis disproportionately affects the poor said Ms. Young who also serves as President of Global Housing Foundation which works with the UN to build housing for the poor around the world.”