Wondering what to do? Asking opinions (Sarasota, Sorrento: insurance, mortgage, house)

[Nancy in Nokomis]

We have two homes we are interested in - one is in Sorrento Woods and one is in Sorrento East - they are both nice neighborhoods, HOAs under $300 - the price of each home is almost the same.

I love the one in Sorrento Woods - the actual home is larger, newer and nicer than the home in Sorrento East - BUT - the S. East home is NOT in a flood zone and the S. Woods one IS - I really did not want to buy in a flood zone and really do not want to pay an extra $1400 a year - I am also worried the insurance can go up in the future. We are in our 50s but we have younger children so I worry about the future and would like to save more money because we are getting older - the Sorrento Woods home would kinda be a dream home for me but I don't want to be older, poorer and paying for flood insurance I may never use.

What are your thoughts?

[photoman_6]

Originally Posted by Fairfax Mom

We have two homes we are interested in - one is in Sorrento Woods and one is in Sorrento East - they are both nice neighborhoods, HOAs under $300 - the price of each home is almost the same.

I love the one in Sorrento Woods - the actual home is larger, newer and nicer than the home in Sorrento East - BUT - the S. East home is NOT in a flood zone and the S. Woods one IS - I really did not want to buy in a flood zone and really do not want to pay an extra $1400 a year - I am also worried the insurance can go up in the future. We are in our 50s but we have younger children so I worry about the future and would like to save more money because we are getting older - the Sorrento Woods home would kinda be a dream home for me but I don't want to be older, poorer and paying for flood insurance I may never use.

What are your thoughts?

i think you just answered your own question. If you can't reconcile yourself to the home in Sorrento East, then give up on both of them, don't look back and keep looking forward. You'll find the one soon enough

[Florida or Bust....]

Originally Posted by photoman_6

i think you just answered your own question. If you can't reconcile yourself to the home in Sorrento East, then give up on both of them, don't look back and keep looking forward. You'll find the one soon enough

Great answer photoman!

[SoFLGal]

Wow, that's a hard decision. I actually have another client in the same situation. I think they have decided to go with Sorrento East. They just don't want that extra amount on their payment each month and, like you pointed out, the possibility of it increasing. Of course, if you don't have a mortgage you don't need flood. I don't recommend that though.

Although, on the other hand, I suppose I should take my own advice. I moved out to a barrier island in the VE zone and I have a mortgage. My plan is to get the mortgage paid off and self insure. Again, I'm not advocating for this, it's just what I'm going to do.

It's a bit hard to find a decent home in that area not in a flood zone. Are there any other options?

At least you are picking between two nice neighborhoods, if that is what you decide....Good luck with your decision.

[Florida or Bust....]

Originally Posted by Fairfax Mom

We have two homes we are interested in - one is in Sorrento Woods and one is in Sorrento East - they are both nice neighborhoods, HOAs under $300 - the price of each home is almost the same.

I love the one in Sorrento Woods - the actual home is larger, newer and nicer than the home in Sorrento East - BUT - the S. East home is NOT in a flood zone and the S. Woods one IS - I really did not want to buy in a flood zone and really do not want to pay an extra $1400 a year - I am also worried the insurance can go up in the future. We are in our 50s but we have younger children so I worry about the future and would like to save more money because we are getting older - the Sorrento Woods home would kinda be a dream home for me but I don't want to be older, poorer and paying for flood insurance I may never use.

What are your thoughts?

The only thing I can add to photoman's answer is my first concern would be my future retirement. Whatever I need to do to fit a place in that mindset would work for me as long as I was mostly happy with the home I was purchasing. We all like to be 100% content in our decisions. But sometimes 90% works just as well.

It is all based on your comfort zone.

[SoFLGal]

Originally Posted by Florida or Bust....

The only thing I can add to photoman's answer is my first concern would be my future retirement. Whatever I need to do to fit a place in that mindset would work for me as long as I was mostly happy with the home I was purchasing. We all like to be 100% content in our decisions. But sometimes 90% works just as well.

It is all based on your comfort zone.

Yeah very true. I guess my comfort zone is a bit higher than my clients.

[Florida or Bust....]

Originally Posted by SoFLGal

Yeah very true. I guess my comfort zone is a bit higher than my clients.

Because you are still young!

[Cardiff by the Sea]

No opinion on your choice. I don't know either community. But glad for you that you are honing in on what you want. Here are a few thoughts related to your choice.

I am more bothered by the chance of catastrophic risk than the insurance premiums. A catastrophic event could decimate your retirement saving more than insurance premiums.

Perhaps you would want to evaluate what you think a 15 wave would do to the house. The construction and elevation are things to consider.

As a poster in a thread a while back pointed out, a 1950s block house would survive fine. He might have to dry the place out, do a new roof and kitchen cabinets, but he had construction skills, so that would not be a big deal for him. In those circumstances, being in a flood zone sounds ok. Self insuring would make lots of sense for a house like that.

How is the house you love constructed? I am watching a house being built nearby. The lower level is block and the upper level is wood. I wonder what 150 mph winds would do to that upper level.

Does it have hurricane windows?

The actual elevation is a factor to consider. I don't know the exact base flood elevation. I am confused by the changes. But say it is 15 feet. It would be must less risk if the house you love were at 14 feet than if it were at 7 feet.

Something to keep in mind about flood insurance. The payment tops out at $250,000. I have also hear the flood adjusters try to pass off charges to the wind insurance. Do you think $250,000 would repair the house?

Another part of your assessment would need to be whether you believe there is something about the geography of the area that causes hurricanes to bypass the area. Or do you thing it is just random and the the law of averages make it more likely that Sarasota will be hit in the not too distant future.

Take my concerns in context. I have been scarred by tales of a friend's experience in Houston. When she was a teenager, a hurricane flooded the first level of their home and blew off the roof. Her family rode it out huddled on the stairwell. The flood adjusters denied payment for the first floor claiming it was not living space. I am probably the most hurricane phobic poster on the forum. But under the right circumstances, i would consider a flood zone. And I certainly respect other people's choices based on risk tolerance.

Good luck.

[Nancy in Nokomis]

The flood zone home was built in 1992 - the base flood elevation is 11 and the lowest floor level is 11.

Block construction - just one level -

Not sure if it has hurricane windows - don't think so but checking into that.

[bbronston]

I tend to think about things "differently" sometimes so, for what little it might be worth, here are a few additional things to think about. First, to some extent, every part of our area is in a flood zone but there are, of course, areas that will flood sooner than others. So, in terms of evaluating the actual risk of choosing the Sorrento Woods home, ask your agent in what zone designation is the house located. Once you know, compare that risk to the risk of flooding in a X zone and you will see how little risk difference there really is. Remember, the X zone represents like a .1% chance of annual risk but the A zones are something like 1%--I'm not sure of the numbers off the top of my head...just trying to point out that the risk is low either way. So, the Sorrento Woods home might have more risk but the risk is probably still very low. That leaves you with the flood insurance cost issue but you might want to look at that in this way. First, as I said, either property could have flood damage given the right circumstances but, with the flood zone house, you'd be covered. With the other house, you probably wouldn't have purchased flood insurance so you could actually be better off financially in the flood zone house. A stretch, yes, but something to think about. Finally, consider this: whether property values go up or go down, it seems reasonable to assume that the "larger, newer and nicer" home will increase in value faster and greater in an up market, or it will go down slower and less in a down market. In this way, the cost of the flood insurance might be offset by the house's value when it comes time to sell.