new member here with a flood insurance question

[Chris Masons]

Chris here from NJ. Great site here guys. Look forward to spending time here and getting to know you.

I am a RE investor/Landlord here in NJ. Always loking for good deals and partners to great investment opportunities.

I actually have a great opportunity to pick up a really nice 2 family at a great price that will cash flow nicely. Not only that, my ready to move in tenant will buy the property from me in 5 years and make payments to it in meantime in edition to rent.

Issue is it is in a flood zone - mind you last hurricane irene here in NJ not a drop of water in basement.

I looked into pricing on insurance and it was pricey around 2,500 a year. Does anyone know if this can be shopped or price is set by Fema? Lastly any thoughts or ways around this? I know area well and have spoke to neighbors so i feel confident about the property enough to move forward just paying those premeiums totally kills my profitability.

thoughts? Am I SOL?