Flood Insurance price increase (Miami, Tallahassee: low income, sale, lease)

[coastal chic]

That's a good point, but I feel like older people are also more conservative, especially with their money. If insuring the home for flood isn't an option or too cost prohibitive, there are always elevators!

[Travelassie]

Originally Posted by coastal chic

That's a good point, but I feel like older people are also more conservative, especially with their money. If insuring the home for flood isn't an option or too cost prohibitive, there are always elevators!

Well.... I'm one of those older folks who tends to be a tightwad- resulting from too many years of having to stretch those incoming dollars, I guess. What bothers me about what I'm reading in regards to flood insurance is that I get the feeling, especially now, that it'd be very difficult to actually collect on a flood claim, no matter how much one paid for the policy. For that reason, and the fact that I know FEMA is cash strapped, flood insurance is mandatory for those with a mortgage, and they're adding areas to their flood plains based on who knows what???- all makes me figure that they're looking for cash cows-

We had flood insurance on the home we sold early this year- 28 years worth of it as we were required by virtue of the mortgage and line of credit once the mortgage was paid off. I'd have it in a heartbeat on the house we currently live in ( built in 2008 and several feet above the flood base), even though we have no debt on this house so aren't required to do so. We're even located on a tidal canal so that makes me wonder about the wisdom of not having flood insurance- we've always had the insurance we needed-
But it just looks like throwing good money after bad for all the reasons I mentioned. I truly feel for the folks who must buy it, and hope that the rates of increase won't be as bad as the news media seems to suggest it might be.

[MikMal]

Originally Posted by CTC

..... This thread is getting WAY panicky!!

I don't know if I would say "panicky", but I do think there are a LOT of concerned people, me included. If my rates skyrocket, we'll have to do some creative thinking on how to pay off our mortgage so we can drop the flood insurance. Otherwise, we'll be in the camp of others selling just because we won't be able to afford both a mortgage and flood insurance too.

[MartyGras]

Do you want to know what your flood insurance is going to cost?

You can find out here.....

http://ci.punta-gorda.fl.us/depts/gr.../NFIP_Memo.pdf

Gary

[sware2cod]

Originally Posted by MartyGras

Do you want to know what your flood insurance is going to cost?

You can find out here.....

http://ci.punta-gorda.fl.us/depts/gr.../NFIP_Memo.pdf

Gary

This is very good detailed info. Thank you for posting.

[SandyJet]

I bought flood after BW and I am in a SFH zone in a split with a basement that cant be raised. Starting 10-1-2013 my rates will rise 20% every year till I am at full rate. By my calculations by year 5 I am going to have to drop flood again. It will be too expensive.

I can never get a fema payout again, and I will be forced out of flood insurance. Lots of folks are in this boat. Which means when a Sandy type storm rolls around again in ten years charities and welfare and section 8 housing wiill be left picking up a big tab.

Why no flood insurance, no fema. 90 year old widows homeless will be bad. They should exempt folks who bought flood after BW in July 2012 and before 10-1-2013 from rate hikes. Most of these folks were older sandy victims who can barely afford it now and will surely drop it once it rises and fema payouts are once in a lifetime.

[SandyJet]

Near me quite honestly the best deals are homes that were vacation homes or rental homes without flood insurance that got totaled in Sandy that were ineligible for a FEMA payout. I see a lot of the gutted homes go for 99K.

People buy them cash, fix up the little bungalows for like 30K and skip flood. So cheap folks are rolling dice.

However, next flood we will have tons of these homes and it will be a huge problem.

Down in New Orleans the majority of houses with flood after Katrina that were damaged and rebuilt but not raised dropped flood insurance. Come next flood will be a big issue. Most folks realize it is almost ten years without a second katrina, the 6k a year they saved on flood makes sense. It does not make sense next flood when govt needs a huge bail out of area.

[yellowsky]

This article from the Sarasota Herald Tribune today.

NEW: Mad scramble is on to roll back flood insurance rates | HeraldTribune.com

[MartyGras]

Originally Posted by yellowsky

This article from the Sarasota Herald Tribune today.

NEW: Mad scramble is on to roll back flood insurance rates | HeraldTribune.com

I have an idea. Let's not collect the premiums required to make the system sound and instead we can just borrow more money from the Chinese Government when ever we need it.

Gary

[yellowsky]

It is very interesting that the elected officials who voted for this increase in flood insurance premiums are now scrambling to undo what they did. Fat chance.
How Florida delegation voted on flood insurance bills | Tampa Bay Times