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Question about hurricane properties

1,259 Views | 5 Replies | Last: 3 yr ago by jopatura
uujm
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I do a lot of business in the Pinellas County, FL area and spent October 2021-July 2022 there. It looks like I will spend a good part of 2023 there as well.

If a house was wiped out, does anyone know how the insurance companies or the banks go about selling the land?
aggiepaintrain
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AG
My best guess:

Most of the time the homeowners will want to do that themselves after insurance pays.

Rarely banks would be selling since they require insurance coverage.

A person could probably set up shop to buy properties as is from people who just want to be done with it and move out of town. Need LOTS of liquidity.


uujm
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Thank you.
agnerd
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AG
You probably already know this, but homeowners insurance in florida was about 4X what it is in Texas before the storm. Make sure to budget for 5-6X in the future.
uujm
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Thanks. I will have to run some numbers.

Spring Break season is crazy there for housing. I ended up paying $8000 for a small 4/2 last April. And nothing else was available for the amount of time I needed to house employees. My deal with Marriott went from $99 per room pre tax to $200. So anything I can do to help my budget is worth looking into.
jopatura
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AG
Problem is they are going to have to rebuild to satisfy the mortgage requirements, unless the government ends up overpaying to buy out the land. There won't be as much straight land liquidation as you think. It's going to be a slow process for someone who just wants to walk away.
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