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Home buyers flock to Florida cities devastated by Hurricane Ian
- reustle 4y ago> Federal Support for Hurricane Ian Recovery Climbs Past $1.2 Billion, FEMA Provides Over $581 Million in Individual Assistance to Jumpstart Survivor Recovery https://www.fema.gov/press-release/20221022/federal-support-hurricane-ian-recovery-climbs-past-12-billion-fema-provides https://www.fema.gov/press-release/20221022/federal-support-...
- gfhgfdhgdfhgdf 4y agoThis is a fraction compared to subsidies to Ukraine ($40+ Billion) and student loan relief ($400+ Billion)
- philjohn 4y agoAren't the subsidies to Ukraine essentially equipment we don't need, so it's more a write-off of already spent funds rather than net new spending?
- erellsworth 4y agoBoth of those are a fraction of the US defense budget, which is over 700 billion each year.
- s1artibartfast 4y agoWhich is a fraction of pandemic spending, which was on the order of 11,000 billion. I think a lot of people get number blind when it comes to big numbers and government spending. I think they should all be provided in a per capita basis. Pandemic spending was about $45,000 per us adult. Defense spending is about $3,000 per us adult IAN relief is about $5 per us adult
- erellsworth 4y agoI'm curious where you get the 11 trillion figure for pandemic spending. Because that sounds like the total spending for all the G20 nations combined, not just the US.[1] I think the US pandemic spending was "only" around 5 trillion. For comparison, the defense budget over the same period (2019 to 2021) added up to over 2 trillion. 1. https://www.cnbc.com/2020/11/19/g-20-nations-have-now-deployed-11-trillion-post-covid.html https://www.cnbc.com/2020/11/19/g-20-nations-have-now-deploy...
- s1artibartfast 4y agoyou are correct that US federal spending was around 5-6 trillion. This excludes ~ 5 trillion in federal reserve spending as it pumped money into the economy, which isn't technically "government spending". Of this. ~2 trillion was spent maintaining repo and other rates for liquidity. About 1.5 trillion in mortgage backed securities were purchased, and about 2.5 trillion in long term securities were purchased.
- chayesfss 4y agonot a good sense of community with so much outside speculation. so glad I don't have a desire to subject myself to that type of environment.
- nerdponx 4y ago"Sense of community" is a commodity to be extracted and exhausted by real estate investors, unless it's undesirable for developers (read: poor rural area or high crime urban area) or already expensive enough to price out newcomers.
- xbmcuser 4y agoLeaving morality etc aside looking at weather patterns and how over extreme weather events will increase is it really a good investment?
- yurishimo 4y agoThat's precisely why people are moving there. They're hoping to make a quick buck flipping flood destroyed homes to unsuspecting new residents moving in from out of state in 6 months when people forget about all of this.
- refurb 4y agoHow do you "make a quick buck" buying an empty lot, building a new house and selling it at market rates?
- a2tech 4y agoMost of these places won't be completely destroyed. The house will mostly be there so they'll do some cosmetic repairs, repair the most obvious damage, landscaping, and then try and sell it down the road.
- kcplate 4y ago> looking at weather patterns and how over extreme weather events will increase You know I keep hearing that repeated, yet after living through the last 43 hurricane seasons to date, I am not really seeing that blatant evidence of an increase in extreme weather events. During hurricane season, we have hurricanes. Some years are worse than others, some storms are worse than others.
- madduci 4y agoI wonder if they will ever build in European style with proper bricks and not wood
- avidphantasm 4y ago
- EricDeb 4y agoI guess it's good they will quickly rebuild but it doesn't say a lot of good things about the state of the housing market.
- hijinks 4y agotill they find out what it now costs to insure a home in Florida if you want wind/flood added to your policy
- throwawaysleep 4y agoFlood is done by the government at set rates. So there is no reason to avoid building in a flood zone. Heck, you might be able to make a profit building in flood zones with this insurance.
- refurb 4y agoProfit how? You're out a house, which will be rebuilt and insurance premiums?
- shagmin 4y agoYou're not paying the premium based on the actual risk, but instead some fixed amount. So if a flood does destroy your house you collect the insurance money to re-build at a cheaper cost than it should've been relative to the risk... kind of like insurance arbitrage. It's still an additional policy, but there's wiggle room to make the policy holder profit.
- refurb 4y agoSo instead of paying $100/month for insurance I might be paying $400/month, so $3600 per year in profit? Seems minor?
- coldcode 4y agoLosing your house and possibly family members is a poor investment strategy. When you community is wiped up it can take years to rebuild it and it might not recovered entirely at all. You might have no good place to live since everyone is in the same boat in your area; your job might vanish if you were not remotely working (like retail or manufacturing); you might lose your savings before you eventually get some of it back, or might be unable to last that long. It might be profitable to buy up property from people who are financially destitute and willing to sell at any price and then sell once everything is rebuilt, but that a long term investment. Also if you get multiple disasters at once (Florida was lucky to only be hit by 1 hurricane) you might wind up at the tail end of rebuilding like Puerto Rico and never be able to sell.
- euroderf 4y ago1) Build shoddy Potemkin house. 2) Overinsure. 3) Hurricane. 4) Profit!
- Pet_Ant 4y agoAirBnB it in the mean time… this is actually a plan.
- spicyusername 4y agoNot surprising in an era where housing demand far exceeds housing supply.
- lizardactivist 4y agoThe long-standing tradition of profiting on others misfortune.
- pookha 4y agoWhen I was a kid my town was devastated by an F5 tornado (Andover ks). Wiped out. Within a year the city was rebuilt and expanded. It continued to expand for 20+ years. This is a normal phenomenon.
- otikik 4y agoSo it turns out Aqua-man is buying houses after all[1]. For now at least. [1] https://www.youtube.com/watch?v=RLqXkYrdmjY&t=222s https://www.youtube.com/watch?v=RLqXkYrdmjY&t=222s
- alexpotato 4y agoMy brother-in-law has a great quote: "There could be another 9/11 in NYC and people would rush in and buy property around wherever the incident occurred. Why? Everyone saw how Tribeca turned into one of the hottest neighborhoods less than 10 years after 9/11" NOTE: For those not familiar with New York City, Tribeca was the area just north of Ground Zero.
- 3D30497420 4y agoExcept it seems pretty clear that these areas in Florida will continue to get hit by storms, while 9/11 level attacks can be expected to be pretty rare.
- philipov 4y agoThat's only clear to people who aren't trying to hide their heads in the sand.
- LeanderK 4y agoShouldn't, in principle, insurance costs reflect risks? If they are comparably expensive but still affordable, then living in these places is still possible.
- ianai 4y agoCosts and risks are so high huge portions of expensive Florida real estate aren’t insurable through private corporations. They simply don’t offer coverage. It’s the USG that picks up the tab and offers insurance.
- LeanderK 4y agoah well, then it makes sense. If you can insure your home then the taxpayer effectively subsidises you for your risk, but you don't have to worry.
- novalis78 4y agoThe hurricane went straight over our head and we didn’t lose power nor internet. Cleaning up trees every 10 years is a trade off people are willing to deal with. The rest is better infrastructure which keeps improving constantly.