894490--11/29/2007--BANKUNITED_FINANCIAL

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The continuation of current market conditions could adversely impact our business. Changes in economic conditions could cause an increase in delinquencies and non-performing assets, including loan charge-offs, and depress our income and growth. An inadequate allowance for loan losses would reduce our earnings. Reduced demand for our loans in the secondary market could adversely affect our financial condition and operating results. We may need additional capital resources in the future and these capital resources may not be available when needed or at all. Net interest income could be negatively affected by changes in interest rates and lag in repricing of assets as compared to liabilities. An increase in loan prepayments and on prepayment of loans underlying mortgage-backed securities may adversely affect our profitability. Changes in interest rates could have additional adverse effects on our financial condition and results of operations. The non-cash portion of our net interest income and repayment risks may grow because of our concentration in payment option loans. Our exposure to credit risk is increased by our commercial real estate, commercial business and construction lending. Negative events in certain geographic areas could adversely affect our results. Adverse market conditions in Florida could adversely impact us Competition with other financial institutions could adversely affect our profitability. We are dependent upon the services of our management team and qualified personnel. Adjustments for loans held for sale may adversely affect our profits. We are exposed to credit risk from the sale of mortgage loans. If we are unable to maintain or expand our volume of business with independent brokers, our loan-origination business may decrease. Our earnings could be adversely impacted by incidences of fraud and compliance failures that are not within our direct control. We grant residential loans under reduced documentation programs, which accounted for 31% of residential loans (excluding unearned premiums, discounts and deferred loan costs) as of September 30, 2007. Recent developments in the mortgage market may affect our ability to originate loans and the profitability of loans in our pipeline. The residential-mortgage-origination business is a cyclical industry, has started to decline from its highest levels ever, reducing the number of loans we originate and could adversely impact our business. Loan sales may be difficult or less profitable to execute if our loans are defective. Failure to pay interest on our debt may adversely impact us. If we do not manage our growth effectively, our financial performance could be harmed. Our future growth is dependent upon our ability to recruit additional, qualified employees, especially seasoned relationship bankers. We rely heavily on the proper functioning of our technology. Terrorist activities could cause reductions in investor confidence and substantial volatility in real estate and securities markets. We are subject to extensive regulation that could restrict our activities and impose financial requirements or limitations on the conduct of our business and limit our ability to receive dividends from the Bank. Changes in the regulation of financial services companies and housing government-sponsored entities could adversely affect our business. Our operations could be harmed by a challenging legal climate. Negative public opinion could damage our reputation and adversely affect our earnings. Our REIT subsidiary may fail to qualify as a real estate investment trust, which would adversely affect our future after-tax earnings. Provisions in our Articles of Incorporation, Bylaws and Florida law could impede efforts to remove management and frustrate takeover attempts. Our insiders hold voting rights that give them significant control over matters requiring stockholder approval. There are several business and family relationships among directors that could create conflicts of interest. There is volatility related to our common stock price.

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894490--11/29/2007--BANKUNITED_FINANCIAL_CORP