UMH Properties

1. Market Risk: UMH Properties is exposed to the risk that changes in the housing market or broader economic conditions may reduce the demand for their properties, resulting in lower income or increased expenses.

2. Interest Rate Risk: Especially given the REITs significant debt load, increased interest rates may reduce the net income of the company if they cannot refinance their loans at lower rates.

3. Competition Risk: UMH Properties faces competition from residential rental companies as well as sellers of houses. As the company continues to expand its operations, it may encounter increasing levels of competition, which could reduce the company’s revenues and occupancy levels.

4. Regulatory Risk: The company is subject to various federal, state, and local regulations, which may change over time and limit the company’s ability to operate and manage its properties.

5. Credit Risk: Given the large amount of debt the company carries, there is a risk that debtors may not pay in a timely manner or, in extreme cases, may default entirely.

6. Operational Risk: UMH Properties may encounter unexpected expenses or delays related to the operation of its properties, which could adversely affect its income and margin.