NJ shore sandy storm damaged

[Marques Alston]

Are people reluctant to buy sandy damaged homes that only had few feet water damage on first floor? There are quite a few great deals that are homes right on the jersey shore water (step out back onto huge decks with dock feet away) that are gutted on first floor but are clean as a whistle everywhere else. 1 is priced at $225k and the arv could pull a easy $380k. All rooms and kitchen and outside are in great shape. There is potential to make a good profit. Wondering if any investor is reluctant to buy and flip due to getting flooded during sandy. I've found info that the cost to raise a 1,500-2,000 sq ft home could be $15k-$30k. But if even after a raise and repairs, there's decent profit, why not? I'm thinking the thought of raising is too much risk and time and money (shrugs)

[Rafael Floresta]

I dont invest there, but I would call a insurance company before buying anything there. If a house is now on the 100 year flood map, their mortgage company will require flood insurance which can cost big money. That will for sure make it hard to move the house after the rehab.