Investing Now in Hurricane Devistated areas

[Cody Larsen]

Hello All, just wondering what if anyone has thought about investing in some of the areas that were damaged from Hurricanes over the last year. As an example in Port Arthur Texas? Homes are definitely on sale right now, some have been repaired some are tore down to the studs. Has anyone considered investing in areas like this? 

Warren Buffett has always states, 'When people are feerfull be greedy, and when people are greedy be feerfull'. Well... People are definitely feerfull in areas along the coast that have been ravaged by hurricanes and flooding. Thoughts?

[Mike Wood]

@Ben Rothwell What you stated is completely incorrect about insurance.  In New Orleans, those that had flood insurance got paid, those without were offered payouts from the government.  

@Korey Ashton regardless if any potential property is in a flood zone or not, it would be wise to purchase flood insurance.  Many, many homes not in flood zones have flooded in the recent past, including floods from named storms and rain events. If your near the coast, you get it to be protected.  If your property is not in a flood zone, it would be very cheap (most likely less than $500 per year for non-owner occupant house).