UnThreaded | Threaded | Whole Thread (25) | Ignore Thread Prev Thread | Prev | Next | Next Thread
Author: inparadise Big funky green star, 20000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 126962  
Subject: Re: What a kick in the face Date: 10/25/2013 5:23 AM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
It behooves you to consider the risks carefully. If risks to the property change over say 40 or 100 years, the value of the property will be impacted.

Buying a high risk property means taking that risk.


You assume that it is possible to see or understand these risks, particularly when it is impacted by farms 20 miles away being turned into subdivisions. Or how about the recent flooding and mudslides in CO, where a major contributing cause is believed to be the deforestation from last years fires? So many of those people did not have flood insurance. It is a misconception that a property is not at risk for flood because it it not within view of a creek or other body of water.

FEMA changed our flood maps in the area about 7 years ago. Very impressive how many homes were now subject to required flood insurance, even though the requirement was not there when the place was purchased, and there was no flowing water to be seen nearby.

Why do I need flood insurance, even though my community has never been flooded?

Flooding occurs in moderate-to-low risk areas as well as in high-risk areas. Poor drainage systems, rapid accumulation of rainfall, snowmelt, and broken water mains can all result in flood. Properties on a hillside can be damaged by mudflow, a covered peril under the Standard Flood Insurance Policy.


http://www.floodsmart.gov/floodsmart/pages/faqs/why-do-i-nee...

Someone recently expressed the erroneous belief to me that they could not buy flood insurance because they were not in a flood plain. Nor was their neighbor whose basement filled with water in recent extreme flooding. I expect flood insurance to become required by all gov't insured mortgages within the next couple of decades. So many properties that get flooded are not in flood plains, with the floods taking unexpected paths into "low risk" properties.

IP
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (25) | Ignore Thread Prev Thread | Prev | Next | Next Thread

Announcements

Useful Resources
Our Home Center has all you need to make buying and owning a home a great experience. Get or refinance a mortgage and much more!
Buying/Selling a Home FAQ

Mortgage Professor
Offsite resource for mortgage questions.
2013 Feste Award Voting Begins!
Who will win the 2013 Feste Award? Vote now for the Fool that most exemplifies the Fool Community mission of Learning Together!
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Post of the Day:
Tax Strategies

TMFPMarti-Feeling Good
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement