Raise home now or sink later
Here's why coastal residents must look into raising their homes before it's too late.
Living by the water is an ideal part of the American dream for most people; who wouldn’t want a cool ocean breeze and the sound of the crashing waves to greet them every morning/? The U.S. hub for this coastal paradise is Florida, and the statistics prove this way of life isn’t fading away. According to the Federal Emergency Management Agency, the “Miami-Fort Lauderdale-West Palm Beach area added approximately 181,000 residents to the 100-year floodplain over the period ending in 2016, the most of any region nationally, followed by Tampa-St. Petersburg-Clearwater.”
So, what can residents do to secure their beachside paradise when hurricane season comes and flood waters run rampant/?
The breakdown
First, let’s look at the data. The statistics show that there is a population increase in FEMA-designated flood zones in the Tampa Bay area, but this doesn’t mean that the insurance risk is growing at the same rate. These statistics do not consider that new homes since 2001 have been designed above the flood plain. Though the requirements to build above the floodplain were not popular when they were introduced, it was the right thing to do.
The problem is not an increase of people moving to waterfront properties — the problem is all the homes built prior to 2001. We can see this trend in Pinellas County, Fla., where the population has steadily increased but flood-risk homes have decreased. This is because homes built before 2001 are being demolished and replaced by new homes built above the floodplain. This should bring residents who live in a post-2001 home a sense of relief.
However, the real problem lies in the existing homes not yet brought above the floodplain. These houses are still at great risk of complete loss with impending hurricanes and flood waters in combination with the FEMA 50 percent rule: any house which is damaged more than 50 percent of the value of the home (minus the land value) is not be allowed to be repaired. Thus, it would either have to be raised above the floodplain or demolished.
The solution
There are two solutions in action by homeowners and developers:
- Tear down an existing home and rebuild it above the floodplain.
- Raise the existing home above the floodplain.
The most common solution is to demolish an existing home and replace it with a new home above the floodplain. This, of course, requires that the homeowner has the funds and fortitude to tackle this project.
However, it is becoming more popular lately to elevate homes above the flood plain. Not only is it less expensive, but it allows homeowners to keep their home intact instead of turning it to rubble and starting anew.
The government’s role
Current codes have continued to reduce the problem, but they don’t solve the greater issue of getting existing homes raised above the floodplain. FEMA has selected a few homes in Pinellas County with multiple claims and has footed the bill to get these homes raised above the flood plain. However, the government isn’t going to pay for the bulk of the work that needs to be done.
So, what can the government do/? For starters, it can do something to increase the number of homes that should be raised above the floodplain. It’s worth looking at what incentives could be created to prompt homeowners, builders and developers to get homes lifted to safe grounds. At the same time, the government could increase insurance costs for homes below the floodplain that are commensurate with the actual cost of the potential damage to the home.
The incentives
Obviously building materials are critical for raising homes. The government should incentivize manufacturing companies, whether financially or otherwise, to supply an increase of construction materials to support these large building projects.
Contractor and developer incentives are also necessary to increase the manpower needed to raise these homes above the floodplain. In order to properly incentivize workers in these industries, a survey of their expenses, the amount of taxes they pay, etc. is needed as a starting point. Contractors may also be motivated by special interest construction loans.
Meanwhile, homeowners in the floodplain should feel the sharp bite of flood insurance rates rising on a predictable schedule — a 10-year rate hike plan could potentially be widely published and promoted so homeowners are aware of the problem and have adequate time to take action.
These types of incentives, for all parties involved, could have far-reaching benefits for all those who reside in coastal areas. Increased economic numbers, lower unemployment rates in the construction industry and a decreased potential for major insurance payouts are just a few of the enormous benefits that could come to fruition with government intervention
FEMA has done its part to reduce the risk of homes in the floodplain — now it’s time to confront the problem of homes below the floodplain. If this issue is faced and solutions are put into action, risks will be greatly reduced in the future.
Randy Young (randy@arcdesign7.com) is CEO of ArcDesign, which specializes in residential design and drafting, and has been providing custom home design, renovations and permit designs for residents and contractors since 2003.
Opinions expressed here are the author’s own.
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