Here in the Austin and the Highland Lakes areas of the Central Texas Hill Country, we have a significant number of lakes, rivers and streams. Many of our home buyers, especially second home buyers and retirees, are interested in these types of recreational homes. The changes to the National Flood Insurance Program will have an effect on these buyers and, even sellers, of thse types of properties.
As of October 1, 2013, the Federal Emergency Management Agency (FEMA) instituted changes to the National Flood Insurance Program. These changes will impact homeonwers whose homes lie in a floodplain risk area such as by a lake, stream or other waterway. And, these changes will affect potential buyers looking at properties in these types of locations.
Information about the changes can be found in this NFIP Article.
In the Central Texas Hill Country, we work with many buyers looking at lakefront or riverside homes. In addition, there have been recent changes to the FEMA floodplain maps. You can look up your property or a property you are considering purchasing on the FEMA site where you can search by address.
Changes to the National Flood Insurance Program include:
- An average 10% premium increase for policies written or renewed on or after October 1, 2013
- The Federal Policy Fee has been increased from $40 to $44 for Non-Preferred Risk policies and from $20 to $22 for Preferred Risk policies.
- No extension of subsidy to new policies or lapsed policies for Pre-Firm properties in special flood hazard areas and Zone D
These are just a few of the modifications, so I strongly recommend that you contact your local insurance agent for full informaiton on how these changes will affect your property or a property you are considering purchasing.
If you are looking to purchase a lakefront, creekfront or other property here in the Austin and Central Texas Hill Country area including the Highland Lakes, contact the Paragon Property Group Team .
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