These hurricanes could deal a crushing blow to the real estate industry. Not just the physical devastation, but there may be massive increases in flood insurance.
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This whole flood insurance business is a real mess! Currently $24B in debt because whoever is inn charge has grossly underestimated premiums. Now we have not one, but two hurricane disasters. I think that flood maps will be redrawn and more areas will require flood insurance to cover these 500 or 1000 year floods.
We are hunkered down in Ft. Myers, Fl. 3 blocks away from the mandatory evacuation zone. Leaving is no longer an option. Your message this morning along with the weather reports…. let’s just say terrifying. BTW no flood ins. Not required. Pray for us.
I’m sort of surprised, but then again maybe not surprised, that no one mentioned climate change. As I recall there were some deniers who have posted in the past. Whether it’s man caused or not, the climate is changing. People will have to move inland. Oceans will be polluted further by oil from coastal refineries that gets washed into the oceans by storm surge. I suggest everybody move to Hawaii!
The National Flood Insurance Program has kept flood insurance rate unnaturally low for many years. Great if you are in a covered flood zone, not good if you’re the taxpayer paying for this subsidy to people that choose to live in a flood zone. I have mixed feelings about this. I think it’s time we rethink the entire process and make some radical changes. Love the beach, rivers and lakes…but, I would not be willing to pay the price to live there. If that is your choice, you probably need to foot the bill and live with the possible outcomes:( That sounds harsh, but it is a choice, not a necessity. If you look at our other natural disasters, the current fires and earthquakes, those people pay for insurance, or not, and have to live with the outcome. As do those who have been flooded out in other areas that aren’t anywhere near a flood zone. Why should flood insurance be any different from fire and earthquake insurance?
Maxine Waters has been raked over the coals for pushing flood insurance rate hikes by this site and many others. Apparently she was on the right track although a bit overzealous. Not a Waters fan but she certainly was bringing a possible issue that has come into being. Also keep in mind there was massive fraud during Katrina. Many funds diverted in the wrong direction.
Investigators at the CFPB do not understand RESPA or TILA Regulations. Documents must be ACCURATE. If lenders provide inaccurate amounts on settlement documents one could incur an additional $ 100,000 obligation which I did due to lenders errors which the CFPB cannot understand. Good Luck Texas and Florida if you have a problem. the CFPB will not help. They do not understand Texas Property Tax Codes!!!