An Overview of Flood Insurance in the Beach Haven West Real Estate Market
Beach Haven West suffered a direct impact on Hurricane Sandy the end of October 2012. While the considerable amount of time has passed since the storm made landfall, the area still is dealing with issues caused by the storm. One of these lingering issues is flood insurance. All flood insurance has for a long time been required in coastal areas, it was not until the re-mapping of areas and an overhaul of the national flood insurance program that it became such a concern for older homes. The overhaul flood insurance coincidentally occurred in September 2012, one month before Hurricane Sandy made landfall. Beach Haven West flood insurance is important for all to understand as it has a direct impact on property values in the local economy.
Beach Haven West Flood Insurance
Flood insurance is determined by a few factors. The most influential of which are:
- The flood zones in which the home is located
- The elevation above sea level, also referred to as the base flood elevation
- The methods of construction, including breakaway walls, foundation systems, and the number of flood vents
The flood zones most commonly seen in Beach Haven West are the A and the V flood zone. While most of Beach Haven West is located in the A flood zone, the homes located in the V flood zone have to contend with a more detrimental impact. Homes located in the V flood zone will typically have a higher cost of insurance and more restrictive billing guidelines.
The elevation above sea level is the most common issue homes in Beach Haven West have had to deal with. Many homes built in Beach Haven West were small Cape Cod or single level ranches homes. Typically these homes had a very low foundation or were built on a slab. Now, with the new flood guidelines in place, many of these homes find themselves below base flood elevation which will increase their cost of insurance. It is important to point out that this is not a one-size-fits-all scenario. There are many homes that will see minimal increases in flood insurance costs, depending on their specific attributes. In addition newer homes will see very low flood insurance rates as they are built to the current guidelines.
The methods of construction also play an important role in determining the cost of flood insurance in Beach Haven West. Homes that lack or do not have a sufficient number of flood events will see an increase in the cost of insurance. Luckily, this is a relatively simple and in expensive fixed to make and cost savings can be tremendous.
Flood Insurance and the Beach Haven West Real Estate Market
Flood insurance plays a major role determining the value of a home in the Beach Haven West real estate market. Homes with a higher cost of insurance will typically have to see an adjustment in their price to compensate for the higher cost of insurance. Make no mistake, all homes in Beach Haven West are eligible for flood insurance, however the rates may make it unaffordable to do so in extreme circumstances. It is important to obtain flood elevation certificate and get a reliable estimate of what insurance cost of a home will be prior to entering into any Beach Haven West real estate transaction. For more information about the Beach Haven West real estate market or Beach Haven West flood insurance, contact the Beach Haven West Real Estate Group and we respond right away.
The Beach Haven West Real Estate Group