Your mortgage lender may require you to purchase flood insurance in connection with your purchase of a lakefront property.
The National Flood Insurance Program provides for the availability of flood insurance but also establishes flood insurance policy premiums based on the risk of flooding in the area where properties are located. Due to recent amendments to federal law governing the NFIP those premiums are increasing, and in some cases will rise by a substantial amount over the premiums previously charged for flood insurance for the property. As a result, you should not rely on the premiums paid for flood insurance on this property previously as an indication of the premiums that will apply after you complete your purchase.
In considering your purchase of this property you should consult with one or more carriers of flood insurance for a better understanding of flood insurance coverage, the premiums that are likely to be required to purchase such insurance and any available information about how those premiums may increase in the future.
For buyers who seek more information about the NFIP or flood insurance coverage or rates, please review the following links:
Lakefront Living Realty can produce a flood certificate for any property you have interest in. To determine if the lakefront property you are looking to buy may require flood insurance, or for more information in general, please contact us at firstname.lastname@example.org.
Posted by Scott Freerksen “The Lake Guy”