Flood insurance problem for house sale

Yup, I agreed it is bad. FEMA is trying to fix their financial disaster after all of these damages from several previous major weather events.

That's what I thought, too, that it was FEMA insurance only. However, we keep hearing that it is the buyers' insurance company that's insisting on flood insurance. It's very confusing.

If they begin forcing everyone here to buy the insurance, then no one will be able to afford living here, and we won't be able to sell our houses. This is bad.
 
This is pretty much double sided sword. If homeowners fought and won against FEMA re-mapped. And if true business FEMA was right, that person had iron clad clause prevent them from collecting monies for flood related damages. On other hand, if just accept, and it never happens, what a waste of money.
 
$5k for flood ins seems excessive if you are not on the coast. One house I ownes was on a hill. Still needed flood insurance but no where near $5k. Might go to the township clerk and ask if the house is in a flood plain. If not can show the ins company
How far from the coast are you? Maybe you are within the storm surge?
 
The rate that insurance set based on risk probability. For example if you live on bottom of the Dam, verses on the top of mountain next to small creek, which one will be likely to get hit? That is how they figure out, a lot of statistic BS involved.

Same with vehicle insurance, my body damage, and injury coverage is very cheap, but the liability is high, that is because of probability of my truck (F-250 Super-duty) totaling compact car is very high so I pay more for liability. Sucks! Yeah, I was in accident and there was almost no damage (just stratch and slight bent on bumper) on my truck, but other car, OMG! Same with my friend who had similar truck I had. I witness idiot trying to cut in front of my friend's truck, their car whole front end was damaged while my friend's truck damage was just a hubcap that is all! UNREAL! And the chance of passengers/driver injure in my truck is least likely going to happen as compare as compact car. A year ago, a guy who had same truck as mine, totaled a sedan and the driver in sedan got killed while his truck sustained mild damage. Also, this is what Insurance agent told me. Oh well, I rather want to keep my family safe.

$5k for flood ins seems excessive if you are not on the coast. One house I ownes was on a hill. Still needed flood insurance but no where near $5k. Might go to the township clerk and ask if the house is in a flood plain. If not can show the ins company
How far from the coast are you? Maybe you are within the storm surge?
 
$5k for flood ins seems excessive if you are not on the coast. One house I ownes was on a hill. Still needed flood insurance but no where near $5k. Might go to the township clerk and ask if the house is in a flood plain. If not can show the ins company
How far from the coast are you? Maybe you are within the storm surge?
33 miles
 
Hey, call that bluff. Buyer probably wants $5K off on the house. It's not seller's problem what insurance the buyer goes for.
 
Hey, call that bluff. Buyer probably wants $5K off on the house. It's not seller's problem what insurance the buyer goes for.
That's always a possibility. The seller already came down in price, and met several of their other concessions. I think the buyers are also paranoid about flooding, for some reason. Maybe they had a bad experience in the past.
 
The NFIP (National Flood Insurance Program) must recognize your area as a flood zone, thus making flood insurance mandatory through the lender. Otherwise, obtain a legal reason (ordinance, regulation, etc.) from lender to back up his claim, or he's taking advantage of a loophole.
 
I hope you get all this resolved and it won't affect future home sales in your community.
 
That's always a possibility. The seller already came down in price, and met several of their other concessions. I think the buyers are also paranoid about flooding, for some reason. Maybe they had a bad experience in the past.

How did it turn out with the flood insurance thing Reba?
 
How did it turn out with the flood insurance thing Reba?
The house still hasn't closed. We're hoping that it will May 17.

The realtor spoke to some engineers who are responsible for the certifications, and then took their information to the mortgage lender. He was able to convince them that the house is not in a flood zone. The lender accepted that. The buyers also accepted that (kind of), and their insurance company isn't going to insist on the $5,000/yr extra on policy but some other kind of water damage supplement that's about $500 more per year. (Honestly, I'm getting this information second and third hand, and don't really understand it all.) However, I'm not the homeowner, so I don't have any authority to ask for more details.

This is the third time the closing date has been set, so I wasn't going to post anything until it actually happened. Too many false starts. :giggle:

I'm trying to stay positive about this but I won't fully believe it until I see the moving van next door.

I'm getting impatient. We cleaned the interior of the house (again, and hopefully the last time). We also did all the yard work again (mowing, edging, trimming, weeding, picking up twigs blown down, sweeping, cleaning up area with leaf blower, etc.) yesterday. Tomorrow (if it doesn't rain) I'll do the azalea and shrub fertilizing. I hope that's the last time. I need to spend more time on my garden and yard.
 
You and TCS are awesome neighbors and friends! I hope for your sakes the new people if this sale takes place are good neighbors.
 
You and TCS are awesome neighbors and friends! I hope for your sakes the new people if this sale takes place are good neighbors.
Thanks. I hope they are, too. I don't know too much about them yet. I know the husband is in the Navy, they have two teenage boys, and one golden retriever. So far, we've had good neighbors around us.
 
Got one more thing to worry about now.

A Carolina wren (small bird) has made a nest in a potted plant near the front door. She already laid several eggs in the nest. They'll probably hatch by next week. That means, if they close the house deal on time, they'll be moving all their stuff in about the time that the baby birds will be active. I hope they will be OK. I might put up a warning sign. Also have to worry about the stray cats around here. I hope they don't attack the nest.
 
Most of the time the first or second closing date never made though. Its mortgage system. Mine had to postpone twice. Third is charm, don't forget that.
 
I know in my city a new flood map been send out and some people that never needed flood insurance now have buy it . Did you look on line to see if there been a new flood zone map for where you live?
 
I know in my city a new flood map been send out and some people that never needed flood insurance now have buy it . Did you look on line to see if there been a new flood zone map for where you live?
There is nothing published yet. It was proposed but not ratified.
 
Good luck with this situation, Reba! My parents closing for their move to a condo was postponed three times and my mom was understandably really NOT happy. My dad had taken off work - he works third shift security - for the days leading up to the original closing date and then the date changed for the first time.
Now they're in their new home and really enjoying it.
 
Good luck with this situation, Reba! My parents closing for their move to a condo was postponed three times and my mom was understandably really NOT happy. My dad had taken off work - he works third shift security - for the days leading up to the original closing date and then the date changed for the first time.
Now they're in their new home and really enjoying it.
I'm glad that it finally worked out for them. :)
 
Back
Top