Long Beach Island Post-Firm and Pre-Firm Homes
When understanding flood insurance as it pertains to the Long Beach Island real estate market, it is important to understand post-firm and pre-firm homes. There are some important differences between these two styles of homes that can have a significant impact on the cost of flood insurance. Understanding Long Beach Island’s post-firm and pre-firm homes can help a buyer or seller understand the value of a property in the LBI real estate market.
Long Beach Island’s Post-Firm and Pre-Firm Homes
Essentially, post-firm and pre-firm homes have to do with the date the property was constructed, and the codes the construction was required to follow.
- These homes were built after 1972 on Long Beach Island
- Most of these homes should be compliant with the new base flood elevation requirements, however they may have sustained damage from Hurricane Sandy
- FEMA flood map changes generally will not impact the post-firm building, since these homes were built to code at the time of their construction
- A flood insurance policy on a post-firm home can be transferred upon closing
- These homes were built before 1972 on Long Beach Island
- Pre-Firm homes, which may have sustained substantial damage, must be raised to the current base flood elevation requirements
- It is extremely important that a flood elevation certificate be obtained for any pre-firm home
- A flood insurance policy can be transferred upon closing on the pre-firm home
- The flood insurance rate will increase 18% per year for a primary home and 25% each year for a second home or investment property until the actual rate is no longer subsidized
Long Beach Island New Jersey Real Estate and FIRM Dates
FIRM stands for flood insurance rate map. Essentially, FIRM maps help to determine the areas that are at greater risk for flooding and building requirements in accordance with these maps. A good example of this can be seen in the oceanfront areas of Long Beach Island, which are generally located in a V zone. These areas are perceived to be at a higher risk of damage, and therefore have more stringent building requirements. It is very important to understand FIRM dates, as this can significantly impact the value of a home in the LBI NJ real estate market. FIRM maps make up one segment of flood insurance as it pertains to the LBI real estate market. If you have any questions about flood insurance or home values on Long Beach Island, contact me and I will me happy to answer any questions you have.
By : Nathan Colmer | The Van Dyk Group
Cell: 609-290-4293 | Office: 800-222-0131 | firstname.lastname@example.org