1.1 ,This practice establishes standard-of-care for evaluation and classification of the financial risks from earthquake damage to real estate improvements for use in financial mortgage transactions and capital investment evaluation. As such, this practice permits a user to satisfy, in part, their real estate transaction due-diligence requirements with respect to assessing and characterizing a property’,s potential losses from earthquakes. This practice is intended to address only physical damage to the property from site and building response.