CalculateRealEstateROI

Risk Management

Should I avoid hurricane/flood markets?

Not categorically — but underwrite insurance honestly and avoid flood zones.

Reviewed by Keiron Brown, Founder & Editor, CalculateRealEstateROI · Educational estimates only — not investment, financial, tax, or legal advice

Direct answer

Not categorically — but underwrite insurance honestly and avoid flood zones.

Expanded explanation

Florida and coastal markets generate strong yields but face rising insurance costs. Check 5-year insurance trend. Avoid Special Flood Hazard Areas unless ARV justifies flood premium.

Examples

  • FL property: $3,500 insurance 2020 → $9,000 by 2024 — wiped cash flow.

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