Buying properties in FEMA flood zone

[Leonid Solomonik]

Hi everyone,

Has anyone dealt with purchasing properties in FEMA declared flood zone? Any word of advise besides additional expense on flood insurance. Many properties in CO got flooded last summer and were classified as in flood zone area.

Thanks

[Bobby Beard]

I am a certified flood adjuster. End of last year the rates were in unsubsidized. Any policies written after middle of 2012 will require a elevation certificate. AND the rates will go up each year for the next 5 years to off set the rising cost of floods. The department of defense is the agency overseeing the nfip, nfip allows carriers to write policies for the nfip. There is no such thing as shopping around. All the prices are set solely by the nfip and are the same no matter what carrier you chose to go with. I strongly suggest you run away from any property that it's required on until this rate hike has come full term. If anybody has any questions I will be glad to try and help.

I fully believe this is a unforeseen home value crusher on the coast. I feel houses on the coast are about to be affordable to anybody that can afford 10k plus a year insurance.