Does the increase in hurricane activity make it riskier to buy oceanfront property?
Jan 21, 2010
in
Hurricane
I’m considering buying some beachfront property in the mid-atlantic region. It certainly seems that there is a definite trend toward more hurricane activity. Beach erosion alone would be a major concern. Its been our dream to own a modest home on the beach. It would be our only home. I wonder if I wouldn’t be taking a higher risk considering the evidence that the storms are escalating in number and strength. Any comments? Thanks.
Like this post? Subscribe to my RSS feed and get loads more!
5 comments
whitneymagnolia on January 21, 2010 at 9:18 am
I was actually wondering the same. I wouldn’t make the home a primary residence but you would need to be careful in how much you put into it. The weather has become more unpredictable in ocean areas and can cause alot of problems. Maybe this shouldn’t be your primary residence right now but use it as a secondary. I hate to see you lose everything if another storm comes (and it just might due to weather violatility)… and there is no sure thing… Just minimize your losses but go for it. I think that is what I am going to do. You gotta live life and have the things you want, we just have to be smart about it.
Rich Z on January 21, 2010 at 9:18 am
I think a bigger problem is that insurance rates in those areas are going up very high as insurance companies take advantage of those situations.
jdkilp on January 21, 2010 at 9:18 am
Yes. Insurance companies have recently announced higher rates and higher deductibles for high-risk areas, mostly because of Katrina.
Suzy on January 21, 2010 at 9:18 am
Waterfront property will hold its value because there is only so much of it. New building codes are set to withstand hurricanes. Mine withstood a Cat 4 in 2004. Beachfront owners take chances with hurricanes just as mid-westerners take chances with tornadoes.
Kenneth C on January 21, 2010 at 9:18 am
Nothing is risky as long as you have the money. Because of all of the wacky weather, you will be paying a premium for insurance. Also, we saw how insurance companies weasled their way out of paying insurance claims because of Katrina, so be forwarned.