Question

If you want to protect the risk consisting in the fluctuations of the value of your home, you would ideally:

Answer 1

Answer:

Want to stay market-neutral (neither long nor short) in the market for homes in your city.

Explanation:

If you want to protect from the risk that occurs in the fluctuations of the price and value of your home, you have to neutralize the risk in such a way that any change occurs in the Price of your home i. e. higher or lower will not cause any loss in respect of financial to you. For that reason, stay market-neutral is the best option you have.