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[quote=Anonymous][quote=Anonymous][quote=Anonymous][b]I know insurance is insane but it will balance out in the future. [/b]Also, property prices are coming down compare to what they were 6 months ago. Continue looking, OP and check the numbers. [/quote]

Explain.[/quote]

DP.  Several interrelated factors: hurricanes come in waves, flood insurance premiums are being changed, and newer hurricane building codes are slowly becoming predominant. From 1919 to 1960, 10 category 4 or 5 hurricanes hit Florida. From 1960 to 2000, there was one (Andrew). For the 24 years 2000 to present, there have been 4, so we’re currently on a pace that’s more like the early part of the 20th century, if slightly slower. The 40 year lull coincided with a LOT of new population growth along the coast, so hurricanes now have more buildings in their way. On top of which, federally subsidized flood insurance encouraged people to build more, and more expensive, houses in the flood zone. Pre-flood insurance, houses along the coast were cinder block shacks. Only after federal flood insurance did we get gold plated mansions.

Post Andrew, there were stringent new building codes put in place for the Atlantic Coast, but the rest of Florida was slower to comply. Now, as the hurricanes come through, the old houses that are blown away are being replaced with new post-Andrew code construction, and for existing houses, insurance companies are encouraging upgrades by imposing much higher rates for non-compliant construction, as explained by a previous post (e.g., wind resistant structures, elevation out of the flood zone, etc). It’s going to take time to work through all the old housing stock, but over time, the combined pressure of hurricane damage and insurance rates will result in more hurricane resistant housing stock. Even if there is not another hurricane lull, insurance rates overall should normalize.

Here’s a house built to code, surrounded by non code houses, post category 5 Hurricane Micheal:

https://www.nytimes.com/2018/10/14/us/hurricane-michael-florida-mexico-beach-house.html?smid=nytcore-ios-share&referringSource=articleShare[/quote]

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