Buying a house is an exciting time for anyone. You finally find your dream house in an amazing neighborhood, the inspection passes with flying colors, you get a great rate with your bank, negotiations run smoothly. Everything is perfect… but wait! Did you check if the property is in a flood zone?
If you’re considering buying a house, one of the things you should make sure to do is to check if the property is in a flood zone. Why? Here are a few good reasons.
Why It’s Important to Check if A Property is in a Flood Zone Before Purchasing It
Would you move into a house that’s in an area you know will flood with a few inches of rain? Would you risk losing all your possessions and jeopardize your family’s safety in a natural disaster by moving into a dangerous flood zone?
Not all flood zones are the same. And while you might be willing to risk a higher premium for a waterfront property, you don’t want to find out that you’re in an area with a high propensity for flooding when a natural disaster is upon you.
It Costs You Money
Do you know that regular homeowner’s insurance does not cover flooding? You have to purchase separate flood insurance to protect your property and all your belongings in case your new home gets flooded. And guess what determines the premium you will pay for flood insurance? The flood zone. The greater the flood risk, the more you will pay for flood insurance.
Flood insurance policies can cost you approximately between $365 to $6,410 a year. Policies in high risk and coastal areas can be several times more expensive. Smart new homeowners will quote the flood insurance of a property and add the monthly cost to their household expenses.
Things To Look Out For During A Home Inspection
Knowing the property’s flood zone will help you determine if the house is properly protected from risk of flooding. You will need to see the home’s elevation certificate to ensure that the structure meets the elevation requirements of the lowest floor (including basement) of the National Flood Insurance Program.
A professional home inspection will also help you uncover possible water damage or mold issues from any previous flooding.
Keeping flooding risk at top of mind during the home buying process is having good sense. Now that you’re well informed of the property’s flood risk and any previous history, you are better equipped to make an informed decision regarding your home purchase.