The NFIP exists because the gubbermint said that it was not right for insurance companies to charge based on acturarial rates. The formation of the NFIP essentially meant no competition in the flood insurance industry.
Now that there is no competition, they want to charge base on the actuarial rates.
Also, keep in mind that mortgage companies require flood in the amount to cover their loan. If people would have been able to calculate their monthly note using these new actuarial rate they probably would not have bought.
To change the rules in the middle of the game hardly seems fair.
And none of this takes on the whole notion of levee protection.
Its a cluster F....
but aren't most things the govt dabbles in.
Not to mention the feds also want to tamper with the Mortgage Interest deduction.
Not good times for gulf south real estate ahead IMO
This post was edited on 7/16 at 7:49 pm