The Biggert Waters Flood Reform Act of 2012 has created a harsh new normal for those requiring flood insurance in high risk flood zones. Beginning this past Oct. 1, flood insurance premiums for more than 1 million homeowners are increasing in compliance with legislation passed by the U.S. Congress last year to remedy the massive deficits plaguing the National Flood Insurance Program administered by FEMA.
As a result, the re-sale prices for many homes located in high risk flood zones around the country are declining as potential buyers balk at the new, considerably higher flood insurance premiums. The impact has been especially challenging for those connected to the real estate industry, as many buyers and seller have been caught by surprise, as documented by this story: http://www.insurancejournal.com/news/national/2013/10/24/309110.htm
To learn more about the Biggert Waters Flood Reform Act of 2012, check these FAQ’s provided by this link: http://hamptonsfloodprotection.com/2013/08/20/faqs-on-bw12-the-new-flood-reform-act/ or call me for more information.